8 March 2015
The Public Accounts Committee (PAC) will proceed with its investigations on 1Malaysia Development Board (1MDB) once it received the audit report from the Auditor-General’s Department.
PAC chairman Datuk Nur Jazlan Mohamed, in a statement last night, said this is because the committee requires an audit basis from the Auditor-General’s Department before it can start the proceeding on 1MDB.
He said this in response to deputy prime minister Tan Sri Muhyiddin Yassin that public funds should not be used to bail out 1MDB and suggestion that PAC start their own probe into the strategic investment company which has raked up RM42 billion in debts since 2009.
"I welcome Tan Sri Muhyiddin Yassin's statement and is proud that our No 2 has full confidence in PAC's credibility and transparency. At the same time, PAC will bring forward the DPM's suggestion in a meeting next week," he said.
The Pulai MP said the people and leaders needed to understand that PAC was under the purview of the Parliament, the legislature, while the Auditor-General’s Department was under the executive branch.
Getting the audit report first, he added would ensure that both PAC and Auditor-General's Department maintained its neutrality, transparency and credibility as stipulated in the Federal Constitution.
As an example, he said when PAC embarked on its own to look into problems involving klia2 – before an audit was done on the infrastructure – the government and related agencies have yet to act based on the committee's suggestions.
He said the report on klia2 was submitted in November last year but the government has yet to instruct the Auditor-General's Department to conduct an audit based on its recommendations.
"That is why we need an audit basis and the auditor-general need to be given enough time to launch the audit based on its procedures.”
At the same time, Nur Jazlan said it was also important that the Audit Oversight Board (AOB), under the Securities Commission, to be roped in to look at the auditing done by the appointed audit firms.
He said AOB could evaluate and determine if the audit conducted by these firms were in accordance with the guidelines, laws and in line with the international standards.
He said that although 1MDB was not a public-listed company, AOB could still find out if the firms had followed procedures because the firms were also involved in auditing companies in Bursa Malaysia.
"All parties should cooperate with the auditor-general in this process which should start from the 2009 financial year until now. This should also include operational performance aspects and the company's investments.
"Everyone, including those from the government and opposition, should trust the Auditor-General's Department to do its job and not make any speculations before the report is ready."
PAC recently also welcomed Datuk Seri Najib Razak’s directive for the audit, saying that it should start immediately without interference. – March 8, 2015.
Original Source: themalaysianinsider.com