Governor Zeti–Malaysia’s “Taichi”Queen

http://www.financetwitter.com/2015/08/thanks-taichi-queen-zeti-now-everyone-can-do-money-laundering.html

Bank Negara Malaysia’s (Central Bank of Malaysia) Governor – Zeti Akhtar Aziz – has finallyrevealed herself to the public since the mass “arrest, firing and hiring” exercise carried out by Prime Minister Najib Razak to “cleanse” himself from an allegation of pocketing a staggering RM2.62 billion (US$696 million) found in his personal account.

It does not take a genius to figure out the supposedly iconic and respected Zeti has most likely made a deal with the tainted Najib regime for a win-win solution. Interestingly, Zeti has been awarded the Wharton Dean’s Medal in March this year, the same Wharton School of the University of Pennsylvania where controversial Jho Low received his education.

Let us not speculate that it was the bad boy Jho Low who “bought” the medal for Madam Zeti, shall we (*grin*)? Isn’t it scary that a renowned Bloomberg columnist, William Pesek, had named her as a candidate for the post of IMF president following the resignation of the former president Dominique Strauss-Kahn (due to sexual assault charges) in May 2011?

It seems the deal agreed between Governor Zeti and PM Najib would ensure nobody go to prison, simply because both parties are on the same boat tainted with RM2.62 billion dirty money. Understandably, a new set of scripts needed to be drafted for a new chapter for this drama.

Here are some statements from Zeti.

• She said the investigation papers and the “appropriate enforcement action” were submitted to the new A.G. Apandi Ali earlier this week.
• She said Bank Negara was not an enforcement body and could not take action against any alleged wrongdoing.
• She said it was the responsibility of financial institution (Najib’s private account was with Ambank) to conduct due diligence, not the central bank.
• She said will sue those spreading rumours about her over issues surrounding 1Malaysia Development Berhad (1MDB) Scandal.
• She said will remain in office until her term ends in April next year (2016).

The first statement is the most important among all. It is fabulous because the word“enforcement” gels superbly with the new Attorney-General. The word used is “enforcement” instead of “prosecution”, which would make life easy for the “friendly” A-G. So, how do you know PM Najib can sleep soundly tonight hugging his beauty legend wife?

If we read this correctly, the “appropriate enforcement action” will be applied to “new” offenders, and not applicable to PM Najib’s RM2.62 billion “donation” money. In other words, what the seven hundred million dollar man had received is considered “past tense” so let the bygones be bygones. Any punishment(s), if there is any, is for “future tense” and offenders.

The second statement is laughable. If Bank Negara could not take action against any alleged wrongdoing, which in this case presumably to be against the Prime Minister himself, then who the heck gave Zeti the authority to raid Genneva Malaysia suspected in scam involving gold trading in 2012, and in the process seized gold, monies and other properties?

Assuming Zeti is miles smarter then “3.85 CGPA” Ahmad Mazlan, surely she doesn’t buy the story that the US$700 million was a donation, does she? In comparison, Genneva Gold scam looks so much innocent. Well, at least Genneva investors received their physical gold, although not all of them did. Isn’t that more legitimate than getting US$700 million in private account for doing absolutely nothing?

The third statement only goes to show how birds of same feather flock together, not to mention Malaysia now has a new “taichi” queen. Besides passing the buck to financial institutions in Malaysia, Zeti has also shown how irresponsible she is as the guardian of good governance in the country’s financial industry.

By putting the “blame” squarely on banks (presumably Ambank in this scandal), does that mean the central bank couldn’t and wouldn’t care as long as banks conduct money laundering, loan sharking, arm dealings, secretive money transactions and whatnot without informing Zeti and her boys?

Cool, banks now have license to do whatever they like. Just remember not to inform the central bank. And how do you expect prosecutor to be informed of any illegal financial transactions or non-compliance if the central bank isn’t interest in enforcing and monitoring them in the first place?

What could be the rumours linking herself with 1MDB that have gotten her worries so much? Was it about allegation of corrupt scandal involving her hubby? Of course, after her statements issuance today, which are as good as acknowledging the US$700 million is as clean as a whistle; she can safely keep her job till the contract ends.

Hence, it is a win-win solution. Zeti will not be sacked and humiliated the same way former A-G Gani Patail was, so she has a clear path to probably take up international role. PM Najib can now tell all and sundry that since there are no irregularities found by the central bank, that means the US$700 (RM2.6 billion) donation is legitimate. Everybody can go home very happy and very rich.