The Malaysian Insight

A TRUST deficit in government agencies is mounting because the public no longer views them as effective in carrying out their duties, civil societies and politicians said.

They said public perception is that the very institutions that were set up to weed out wrongdoings have now become the subject of scrutiny, referring to the Malaysian Anti-Corruption Commission and Securities Commission fiasco.

This, coupled with various other scandals over the years and a lack of good governance, means the public trust in public in government institutions is at an all-time low.

Munirah Alatas, exco member of Pergerakan Tenaga Akademik Malaysia (Gerak) said the central issue of this lack of trust in Malaysia is poor governance.

“What has been happening lately with MACC chief commissioner Azam Baki, the MACC and the SC is about the growing abuse of power by our elites,” she told The Malaysian Insight.

“Both institutions are supposed to monitor such abuses, yet these are the very institutions embroiled in abuses.”

Given the fact that no independent investigation was conducted on Azam and the SC inquiry was not made public, it is no wonder there is a trust deficit, she said.

“This is a constant occurrence where the public is not taken seriously, despite the numerous appeals for an independent and open inquiry,” Munirah said.

“Of course, there will be a mounting trust deficit.”

Azam admitted allowing his brother to use his trading account to purchase shares in two companies.

The shares were 2.15 million in Excel Force MSC Bhd in 2015, as well as the 1.93 million shares in Gets Global Bhd the same year and 1.02 million shares the following year. At this time Azam had been Malaysian Anti-Corruption Commission’s (MACC) director of investigations.

The MACC advisory board cleared him of wrongdoing following his admission.

The SC, which opened an inquiry into his conduct, said it was unable to determine whether Azam breached section 25(4) of the Securities Industry (Central Depositories) Act 1991 (Sicda).

Section 25 stipulates that every central depository securities account opened must be in the name of the beneficial owner of the deposited securities or an authorised nominee.

The SC is now under pressure to make its findings public.

Munirah said looking at how the country has progressed over the past 10 years, the public is now fed up with the shenanigans of the government and its agencies.

“There has been one scandal after another, mounting abuses, shameless behaviour by leaders, and rampant corruption.

“The punishment of these leaders has been left hanging, and trials are perpetually postponed.

“Malaysians are growing more disgusted with corruption and the double standards dealing with it.

“There is growing unhappiness in the country.”

No transparency

Thomas Fann, chairman of the Coalition for Free and Fair Elections (Bersih 2.0), said trust can only exist when there is transparency.

“Much of what transpired behind closed doors of such investigative committees is opaque to the public, and to make matters worse, the statements issued over the outcomes are devoid of details and vague,” Fann said.

The public wants to know whether Azam committed wrongdoings but the answer they received was puzzling.

“To the public, the question as to whether Azam has violated the rules is a binary one, yes or no.

“A statement that the investigation is inconclusive is not an exoneration and the case should not be closed. The SC has to explain why it is inconclusive.”

Cynthia Gabriel, executive director of the Centre to Combat Corruption & Cronyism (C4 Centre) also agreed with Fann that the SC needs to explain itself or risk its credibility.

“Only way to redeem some credibility is for SC to make public its findings and how it arrived at this uncertain conclusion.”

Given that both agencies were investigating each other, she said hopefully there were no backdoor dealings to sweep the issue under the rug.

“We hope there was no quid pro quo involved here given the tit for tat complaints against each other.”

On January 11, five days after the SC announced that it was investigating Azam, the MACC confirmed that it had received a report from Rakyat Malaysia Prihatin, a civil society group alleging it had evidence that senior SC members, board members and politicians were involved in graft.

The first involves the son of an SC manager, who holds the highest position in a company investigated by the SC; the second involves a conflict-of-interest issue; and the third involves high-ranking officials who allegedly accepted bribes for turning a blind eye to enquiries into public companies that committed trading offences.

Missed opportunity for institutional reform

Petaling Jaya MP Maria Chin Abduallah said Prime Minister Ismail Sabri Yaakob should have used this episode to execute institutional reforms but has botched the opportunity.

“It’s time for Ismail to say something about institutional reform. It’s the best time to strengthen the institutions we have.”

In line with reforms, the Special Select Committee on Agencies under the Prime Minister’s Department should have proceeded with its hearing on January 19, she said.

“The committee should not have postponed the hearing, it is independent. If nothing shows up, Azam can go free, but the hearing should have gone on.

“Azam cannot tell the committee that he doesn’t need to be there. He has stepped out of line. Parliament is Parliament, you are a commission.”

Azam was told on January 10 to attend the meeting set for January 19.

Two days before the hearing, committee chairman Abdul Latiff Abdul Rahman announced the meeting was postponed indefinitely after receiving a letter from Azam.

In his letter to Latiff, Azam said the hearing was in breach of the Dewan Rakyat’s standing orders.

The MACC chief also said he had filed a civil suit over allegations that had been made against him and that he was under investigation by other agencies.

Maria said perhaps it is time to hand the investigations to the police.

“If you (SC) say their findings are inconclusive, despite Azam openly admitting to his brother using the account, so when there are transactions, where did the brother get the money to buy the shares?

“When he transacted, where did the money go? The SC has to tell us, if not the police have to take over.

“The police will also have to investigate whether before or during Azam’s term in the MACC, did he declare his assets?” she asked. – January 19, 2022.