As posted by Dr. Mahathir Mohamad at Che Det on June 15, 2015
1. 1MDB entered into a JV with Petro Saudi. It is not a Saudi Government company. 1MDB paid USD 1billlion as its 40% share of the JV. As far as can be ascertained Petro Saudi did not pay a single cent.
2. Then Petro Saudi is said to have bought the assets of Petro Saudi International, which is not owned by Petro Saudi. The JV between 1MDB and Petro Saudi then requested 1MDB to pay USD 700 million to settle the loan from Petro Saudi International to Petro Saudi.
3. The ownership of the oil fields in Argentina and Kazakhstan (or is it Turkmenistan) is not very clear, nor is the ownership of drilling ships.
4. Then suddenly USD 300 million of the payment by 1MDB is converted to a Murabaha loan. This USD 300 million seemed to have changed hands with lightning speed. We really don’t know where it is. And 1MDB will not tell us either.
5. Then there is the story of the investment in Cayman Islands. 1MDB did not invest directly but the money seems to have gone to Hong Kong companies owned by Jho Low. These companies apparently invested in Cayman Islands.
6. Then we are told by the Prime Minister that actually the fund is only recorded in Cayman Islands. The money is elsewhere, probably in Hong Kong. It is apparently invested in a hedge fund in Hong Kong.
7. When there was public uproar over the money being in Cayman Islands 1MDB agreed to bring it back. Although the money was said not to be in Cayman Islands, but the money was brought back from Cayman Islands in two tranches.
8. We are not told much about the first tranch. It was claimed to have been used to pay debts.
9. Then the second tranch with over 1 billion USD was brought back but not to Malaysia. It was brought back to Singapore and was deposited in a Swiss Bank.
10. Arul Kanda said he saw the cash there and Prime Minister said the money was there. It was not brought back because Bank Negara would ask too many questions. But Bank Negara must get the approval of the Minister according to the law for approving or disapproving any transaction. And the Minister is the effective head of 1MDB. So what is so difficult about getting Bank Negara’s approval?
11. Then the true reason came out. The Swiss Bank said no money had been deposited by 1MDB in the bank. The documents presented were false.
12. Then the Prime Minister amended his reply to Parliament stating that no money was brought back – only documents. What documents?
13. The second Minister of Finance now says it is “units”. Units of what?
14. 1MDB and the Prime Minister have not shown proof of the existence of the money from Cayman Islands. Is it in Singapore or has USD 1 billion dollars disappeared?
15. Statements without documentary proof are, as we have seen, quite useless. We need proof of all the investments and payments made by the 1MDB. But no proof has been shown accept for the acquisition of the power plants and purchase of Government land in Kuala Lumpur and private land in Penang. Until signed documentary proofs and not just statements by the Chief Executive Officer or Prime Minister, are shown, we have to assume that the money borrowed by 1MDB has disappeared.
