Notice given for Monday urgent motion in Parliament for Royal Commission of Inquiry  into multi-billion ringgit  Tajudin-MAS buy-out and sell-back,  RM30 billion Bank Negara forex losses and other mega financial scandals in the past two decades

_____________________
Media Statement
by Lim Kit Siang  
______________________

(Parliament, Friday) I have yesterday given notice to the Speaker, Tan Sri Ramli Ngah Talib to move a motion of urgent definite public importance in Parliament on Monday – asking Cabinet to set up Royal Commission of Inquiry to conduct public investigations into the  multi-billion ringgit  Tajuddin-MAS buy-out and sell-back, RM30 billion Bank Negara forex losses and other mega financial scandals in the past two decades to establish the  transparency, accountability, integrity and good governance of the Abdullah  administration.

Without going into the suit and counter-suit between Danaharta and Tan Sri Tajudin Ramli over the RM1.8 billion sell-back of Tajudin’s MAS shares  to the government in 2000 at RM8 per share when the market price was only RM3.68 or a premium of RM4.32 or 117 per cent and regardless of the outcome of the  litigation, fundamental good governance and public interest issues already in the public domain warrants immediate attention by Parliament and Cabinet, particularly with regard to the following questions:

1. Whether Parliament and the nation had been misled for a decade and more on (a) Tajudin MAS buyout of 32% stake in MAS in 1994 and the RM1.8 billion sellback to the government in 2000; and (b) the RM30 billion Bank Negara foreign exchange losses 1992-1994 as a result of speculation in the international currency market;

2. Whether Parliament and nation had been misled by the then Finance Minister, Tun Daim Zainuddin in his reply during question time in the Dewan Rakyat on March 21, 2001 making false claims, including:

(a)    that no special considerations were given to Tajudin in the buying of MAS shares from Naluri.

(b)    the suggestion that the RM8 per share for Tajudin’s MAS stake was the best price possible in the national interest;

(c)    that  Tajudin was a “reluctant seller” at RM8 per share when the market price was RM3.68.

In the past two weeks, Parliament has given the 26 million Malaysians the unfortunate impression that MPs are not serious in their responsibilities  as the voices of the people as they appear   more concerned about petty, trivial and even personal issues, like the spat between the MP for Jasin, Datuk Mohd Said Yusof and the Customs Department over his unprecedented “privilege” to purchase confiscated luxury cars at a special price and his dissatisfaction in being offered a Mercedezs-Benz Masterpiece when he wanted the latest Mercedes model, the CLK!

It is time Parliament demonstrates that it could rise up to the challenge of the occasion to address the fundamental good governance and public interest issues surrounding the circumstances of the Tajudin-MAS buyout and sell-back, including the RM30 billion Bank Negara forex losses, by adjourning Parliament on Monday to have a special debate on the hottest current topic in the country.

Deputy Prime Minister, Datuk Seri Najib Razak  said the Cabinet had discussed in 2000 the buy-back of Tajudin’s MAS stake in Naluri Berhad but he was not aware of the 1994  “overriding agreement” that Tajudin claimed he had with the former Prime Minister Tun Dr. Mahathir Mohamad and former Finance Minister Tun Daim Zainuddin to buy MAS  shares.

According to Tajudin, under the “overriding agreement”, his  purchase of MAS shares was  “a national service…to help Bank Negara recover from foreign exchange losses in 1994”, acting “at all times only as a nominee/agent of the government” with assurance that Tajudin would not suffer any losses or be held liable for anything arising from his purchase of the MAS shares.

As Najib has confirmed that the RM1.8 billion  Tajudin-MAS sell-back to the government in 2000 had been discussed in Cabinet, Parliament should be informed on Monday whether before giving its approval,  the Cabinet in 2000 had sought explanation why the MAS shares were being bought back  at RM8 per share when the market price was only RM3.68 or a premium of RM4.32 or 117 per cent.

Wasn’t there a single Cabinet Minister in 2000 who sounded the alarm and  questioned the propriety and  integrity of the RM1.8 billion  Tajudin-MAS sell-back to the government at 117 per cent premium of the market price – as such a decision was in clear breach of public trust to safeguard public funds. And if there had been such queries in Cabinet in 2000, who were the Ministers and what were the answers given by  Mahathir and Daim?

This is particularly pertinent as about half of the  current  Ministers were also in the 2000 Cabinet – so as to forestall any allegation that they are not only  “half-past-six” Ministers now but even under the previous Prime Minister.

There should not be any attempt to continue to trample on the principles of accountability, transparency, integrity and good governance by refusing to give proper and full disclosure so that it would not be perceived as “half-past six Ministers” hiding their past failures.

The nation should also be told whether in the other blockbuster bailouts in other mega financial scandals in the past two decades,  whether  “overriding agreements” like the one described by Tajudin in the MAS buyout and sell-back scandals had existed, and if so, to give a full report and proper accounting to Parliament.

(07/07/2006)