Lim Guan Eng: 1MDB Lied About Paying Debts & Got RM7 Billion Bailouts From BN

With the newly-sworn in ministers starting their first official work day today (22nd May), nobody is wasting any time getting down to business.

Finance Minister Lim Guan Eng revealed a number of alarming insights during a press conference held earlier today.

According to the New Straits Times, it was revealed that Ministry of Finance officers encountered “red files” that contained specific reports and accounts. These files were reportedly only made accessible to specific parties and prevented officials and auditors from doing their jobs.

He was quoted by the Malay Mail as saying,

“(Deputy Treasurer-General Datuk Siti Zauyah Mohd Desa and Auditor-General Tan Sri Madinah Mohamad) briefed me on the current status on the nation’s finances and the shocking revelation that they were not able to access certain accounts and reports.”

Source: malay mail

“There were also complaints that certain “red files” that were only accessible to certain parties which impeded officials and auditors from carrying out their professional responsibilities with integrity.”

“It is clear that the previous government has conducted an exercise of deception to the public about certain hot button items, especially 1MDB, and even misrepresented the financial situation to Parliament.”

“Personnel were barred from accessing “red files”. The officials who didn’t want the files accessed were operating under orders. I’m not going to name who, but I think you guys can tell.”

#ALERT: @MOFmalaysia officers unable to access 'red files' containing specific accounts & reports: Finance Minister @guanenglim pic.twitter.com/OUcJRQKkCU

— New Straits Times (@NST_Online) May 22, 2018

When asked if the RM1 trillion debt Malaysia had incurred could lead to bankruptcy, the finance minister responded that this would have potentially happened under the previous Barisan Nasional (BN) government.

He was quoted as saying, “Under the old government, yes.”

Asked if RM1trillion debt means Malaysia is heading to bankruptcy, the Finance Minister quipped: under the old government, yes. pic.twitter.com/1kDqDu75gk

— Sumisha Naidu (@SumishaCNA) May 22, 2018

On top of that, according to Malaysiakini, 1Malaysia Development Berhad (1MDB) previously claimed that they were capable of repaying their debts from their rationalisation exercise. However, it turns out that this was far from the truth.

At the press conference, Lim Guan Eng disclosed that 1MDB actually received close to RM7 billion in bailouts from the previous government. He told the press,

“Based on the list, the payments by the Finance Ministry on behalf of 1MDB has amounted to RM6.98 billion.”

Source: lim guan eng | twitter

“The sum included payments made to the International Petroleum Investment Company (IPIC) as part of the settlement agreement, amounting to RM5.05 billion.”

“The above confirms the public suspicion that 1MDB had essentially deceived Malaysians by claiming that they have been paid via a “successful rationalisation exercise”. All this while, it has been the Finance Ministry who bailed out 1MDB.”

Well, it definitely looks like the current government has a lot of work ahead of them. Let’s hope all of these issues will be sorted out fairly and appropriately.

Also read: Past Scandals Including the Scorpene Deal Will Be Investigated, Says Mat Sabu