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Cabinet told: No two ways over the 1MDB issue
Published on: Tuesday, June 02, 2015
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Selangor: Cabinet members who are against the Prime Minister on the 1Malaysia Development Berhad (1MDB) issue should quit. "I agree but on three conditions," said Defence Minister Datuk Seri Hishamuddin Hussein in a tweet on Monday, voicing his support for Datuk Seri Najib Tun Razak.

He added in the same tweet that the investment arm should be rationalised and that there should be accountability.

"1) Rationalisation of 1MDB (and) 2) Accountability if there are any wrongdoings 3) Transparency," Hishammuddin tweeted.

The Prime Minister's remarks came after Finance Minister II Datuk Seri Ahmad Husni Hanadzlah finished talking to the ministers about the plan for the restructuring of the debt-ridden 1MDB.

Najib's ultimatum was revealed by Umno-controlled daily Utusan Malaysia, which also reported that none of the ministers declared he or she would not support the prime minister on 1MDB.

Hishammuddin has been in Singapore since May 29, the same day Najib convened a special cabinet meeting to unveil plans to restructure 1MDB, which has chalked up debts of RM42 billion.

A few social media users responded immediately to Hishammuddin's tweet.

A Twitter user Erwan79, using the handle @A_One79, said: "before you ask Cabinet members to resign, ask members of the 1MDB board of directors to resign. Investigate thoroughly." Another Twitter user Mazlan Razak, @ Mazlan Razak, said: "congratulations, I like ministers with balls."

However, another Senior Cabinet Minister denied Najib had issued an ultimatum to Ministers.

Datuk Seri Mohamed Nazri Aziz said Najib had specifically highlighted the need for his team to stand united on the issue, which has been plaguing his administration for months now.

"The PM merely told us the need to stand together and anything decided must be of one voice.

"PM said if there are ministers who are not comfortable with the 1MDB issue, they can send their (resignation) letters, and he would understand," the tourism minister said.

Nazri also confirmed that not a single minister challenged the prime minister, despite being given the opportunity.

"The prime minister asked any Cabinet member who was not with him on the 1MDB issue to resign but not a single person did so," a Cabinet source was quoted saying in the news report published here.

The prime minister's surprise declaration comes after calls from several veteran Umno leaders, including Tan Sri Shahrir Samad and Tengku Razaleigh Hamzah who urged the ministers towards taking collective responsibility for the 1MDB controversy.

Shahrir, who is also chairman of the Barisan Nasional Backbenchers' Club, told the ministers last Tuesday that those who disagreed with the Cabinet's decision on 1MDB to relinquish their government positions.

Ahmad Husni had announced 1MDB's rationalisation plan last Friday in which he reportedly said the investment firm is to receive US1 billion (RM3.6 billion) shot in the arm after sealing a deal with Abu Dhabi firm, International Petroleum Investment Company (IPIC) and its subsidiary Aabar Investments.

According to Husni, IPIC will make the payment by this Thursday and the money will be used by 1MDB to repay its RM3.5 billion loan ahead of a deadline set by a consortium of international of banks.

1MDB was incorporated in 2009, after the prime minister announced the decision to turn the TIA state fund into a federal agency.

Since then, 1MDB has been dogged by negative publicity over its finances and a debt pile that has reportedly hit RM42 billion, and most recently cash flow problems that saw it struggle to meet a RM2 billion loan payment.





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