COMMENT | Stimulus package scandal: Game changer in our politics?

COMMENT | The latest article by a trenchant social media commentator on the nation’s political economy is yet another story of corruption and fraudulent activity involving business and politics, and enormous sums of the public’s money.

This one, though, may perhaps provide a similar game changer in Malaysia’s politics in the way that the 1MDB scandal has done.

The commentator, going by the nom de plume of Finance Twitter (FT), was following up on news reports of the arrest by the MACC of a business executive who allegedly was a "middle person" in the award of government projects under the Economic Stimulus Package between 2020 and 2022.

It was also reported that at least five individuals had come under the commission's radar over the alleged misappropriation of RM92.5 billion in public funds.

These individuals were believed to be the masterminds or middle persons to help various companies obtain government projects worth between RM50 million to RM500 million through direct negotiations.

What has been most tantalising about the article is its speculative write-up of the link between the misappropriated monies and the political infighting taking place at the highest levels of government during the past two years following the ousting of the Pakatan Harapan government.

Various names of individuals, business organisations, politicians and political parties have been identified by the article.

All, however, can be presumed to be innocent of the alleged charges.

After all, there is no law against anyone receiving commissions or payments in other forms for their services in acting as middle persons, consultants, advisers or in any other intermediary role in private or public sector projects so long as these payments are truthfully reported and accounted for by paying and receiving party.

However, given the experience with 1MDB and “court cluster cases”, and public concern over political funding which is currently driving the tabling of a new law on political donations and financing of political parties, it is important that the MACC and other government agencies and bodies walk the extra mile in pursuing the breaches of procedure, irregularities and misdemeanours that were incurred by the government during the covid period expenditure and other government expenditure, earlier and after.

Harapan’s stand against corruption

Harapan leader Anwar Ibrahim, in numerous pronouncements before the 15th general election, had voiced the importance of stamping out corruption. This issue was one of the key voter concerns that accounted for Harapan’s victory in GE14. It also played a role in shaping the outcome of GE15.

Most recently speaking as prime minister during the live telecast talk show, ‘Naratif Khas’, Anwar said the MACC, Attorney General's Chambers and alike were free to use the powers vested in them to fight corruption at all levels.

He promised: "There will not be any interference whatsoever. In fact, I have given MACC complete flexibility and authority, and many cases are slowly being exposed. The enforcement authorities are given the authority to investigate, and I won't interfere if someone is being investigated by MACC."

Anwar said robbing the nation and people's wealth was completely unacceptable and the fact that it was done by people in positions of power made it worse

He also stressed that "the tales of only the small fry and not the big sharks being caught are all gone" and that selective prosecution would not exist in his administration.

Government promises won’t be enough

In a related recent commentary, senior lecturers Khairul Saidah Abas Azmi and Rozaimah Zainudin of the Faculty of Business and Economics, Universiti Malaya wrote about the various stake players needed to uphold a robust democracy by stamping out corruption, money politics, cronyism and ensuring transparency and accountability.

According to them:

• A holistic and integrated system can combat money politics and sustain the quality of democracy.

• Four stakeholders play a significant role: public officials, political parties and candidates, people or organisations with oversight (such as an ombudsman), and donors. These all need to collaborate and provide opportunities to strengthen the accountability and effectiveness of systems and governance.

• Understanding how political and economic processes work is crucial - in particular, the incentives, relationships, and distribution and power dynamics between different groups and individuals

An important deterrent missing from their list of proposed laws and legal initiatives is that relating to the protection of whistleblowers.

In the United States, the Whistleblower Protection Act (WPA) protects federal employees who make disclosures of which the employee reasonably believes evidence (does not have to be true) of:

• Any violation of any law, rule, or regulation;

• Gross mismanagement, a gross waste of funds, an abuse of authority; or

• A substantial and specific danger to public health or safety.

Similar whistleblower protection should be enacted in Malaysia. This law can include an extension of protection to public citizen whistleblowers such as that provided by the United Kingdom’s Public Interest Disclosure Act, which ensures protection against retaliation is available to whistleblowers who disclose criminal offences and other legal violations to appropriate authorities.

Whistleblower protection in relation to high-level corruption may perhaps be the most effective weapon in the armoury the country needs to counter the fear culture pervasive in media and society, and the limited freedom of expression that has permitted this cancer in the political system to grow unremittingly.

LIM TECK GHEE is a former senior official with the United Nations and World Bank.

The views expressed here are those of the author/contributor and do not necessarily represent the views of Malaysiakini.

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