Deputy Prime Minister Tan Sri Muhyiddin Yassin today calls for a thorough audit of 1MDB's accounts. – The Malaysian Insider filepic, March 6, 2015.Efforts to handle 1Malaysia Development Bhd's (1MDB) debts must not involve a bail-out of the government-owned strategic investment firm using public funds, Deputy Prime Minister Tan Sri Muhyiddin Yassin said tonight.He also said the 1MDB board of directors must explain some of the company's transactions that has appeared not to be profitable in the long run to the firm or government, in a departure from the Cabinet's statement on Wednesday that cleared 1MDB of any wrongdoing in its business transactions."I am of the opinion that the Auditor-General must audit 1MDB's accounts in a transparent, independent and comprehensive manner since the company's inception, as the allegations of dereliction relates to transactions done since 2009 which were not included in the 2013 annual accounts audited by the Deloitte firm," Muhyiddin said in the statement when welcoming the prime minister's directive to the Auditor-General to verify 1MDB's accounts.He also said the Public Accounts Committee (PAC) can start their own probe into the strategic investment company which has raked up RM42 billion in debts since 2009."This included allegations of wrongdoings during the cooperation between 1MDB and PetroSaudi International as reported by whistleblower website Sarawak Report."I believe that only through a transparent, independent and comprehensive audit will the government-owned strategic investment fund be able to clear its name," he said.Najib on Wednesday ordered the Auditor-General to vet 1MDB's accounts after the Cabinet was briefed about the company's accounts and told that allegations against it were related to transactions by third parties such as PetroSaudi.In the same statement, Najib had said that after the briefing by 1MDB and its auditors Deloitte, the Cabinet had expressed confidence that no wrongdoing had been committed within 1MDB as well as its desire for the company to be allowed to implement the proposed outcomes of its strategic review.Muhyiddin today said that due to the complexity of the allegations made against 1MDB and that the issue involved the nation and government's interest, the Auditor-General should be provided with the necessary resources in order to prepare a complete and comprehensive audit report "in a short time"."A forensic audit should be done to determine no wrongdoing in 1MDB transactions. At the same time, the PAC can initiate its own investigations and not wait until the report is ready," he said.At the same time, Muhyiddin said 1MDB should take seriously all allegations made against the company and if needed, take legal action against those who made unsubstantiated allegations."The 1MDB board of directors should also take responsibility and be prepared to face legal action if results of the investigation showed negligence or discrepancy." he said.Recently, Sarawak Report has embarked on a series of exposés regarding 1MDB, saying it had obtained "thousands of documents" on 1MDB's operations, as well as the roles of certain individuals who are known associates of Najib.This includes businessman Low Taek Jho or Jho Low who is listed as one of 1MDB's advisers.The exposés have prompted opposition politicians, former Umno leaders and anti-graft bodies to demand a thorough investigation into 1MDB, and piled pressure on Najib, who is also the finance minister and chairs the 1MDB advisory board. – March 6, 2015.
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