The government must clarify if the fund manager of 1MDB subsidiary Brazen Sky Limited's "units" in Singapore is licensed, says Petaling Jaya Utara MP Tony Pua.

Pua asked this after the Finance Ministry in a written parliamentary reply said the "units" are now managed by an unnamed custodian bank, following BSI Bank Singapore's closure by authorities.

"(The) fund manager when 1MDB made the initial investment (in the Cayman Islands) was found by the auditor-general as being unlicensed.

"Is the Finance Minister's reluctance to name the 'units' fund manager due to the fact that the firm is also unlicensed, like the fund manager in the Cayman Islands?

"Is the Finance Minister afraid that if the new custodian bank is named, its licence will also be revoked by the authorities there like what happened to BSI Bank Singapore?" he asked at the Parliament lobby today.

He said Finance Minister Najib Abdul Razak "cannot protect himself with deniability" and must ensure the authenticity of the US$940 million investment "units" and how it is managed.

"It's clear from the lack of transparency in the Finance Minister's replies that there is something hidden from the people of Malaysia," he said.

The "units" held by Brazen Sky Limited is of significance to the 1MDB saga because "units" supposedly represent money redeemed from 1MDB's prematurely terminated joint venture with PetroSaudi International.

The JV project was signed in September 2009, but the deal was called off in just six months. 1MDB monies were then diverted to a Cayman Islands-registered fund before being transferred to Brazen Sky Limited in the form of "units".

In May, the Singapore Monetary Authority (MAS) forced BSI Bank to shut down its operations in the country over "serious breaches of anti-money laundering requirements, poor management oversight of bank's operations, and gross misconduct by some of the bank's staff".

Although MAS had not mentioned 1MDB for the withdrawal of BSI Bank's merchant bank licence, some former BSI Bank staff, including Yeo Jiawei, had been charged in court for matters relating to his dealings with 1MDB.

The episode eventually led to the resignation of BSI Group's CEO Stefano Coduri and other investigations in Zurich.