This article first appeared in The Edge Financial Daily on August 1, 2017

KUALA LUMPUR: The national audit department and the public accounts committee (PAC) have no plans for now to reopen their investigations into 1Malaysia Development Bhd (1MDB).

Auditor-General Tan Sri Dr Madinah Mohamad said the audit department would only carry out a review of 1MDB’s accounts if instructed to do so by the government.

“We will wait for instructions from the government. As and when there is [an] instruction then the national audit department would act on it,” she told a press conference at Parliament building yesterday after the Auditor-General’s Report 2016 (Series 1) was tabled in the Dewan Rakyat.

Also present was PAC chairman Datuk Hasan Ariffin, who said there is no need for the bipartisan parliamentary committee to reopen investigations into 1MDB despite the revelations by the US Department of Justice (DoJ) in its 1MDB-linked lawsuits.

“The PAC has tabled its report in parliament, [so] the report is completed,” said Hasan. “It is up to the government to take action based on our report.”

“We would not be investigating 1MDB following the DoJ’s suits. PAC has nothing to do with that. DoJ is DoJ, PAC is PAC,” he added.

On possible conflict of interest if the government were to probe 1MDB, which is owned by the government, Hasan said the government inquiry would be based on the laws and protocols between the US and Malaysia.

Meanwhile, the Dewan Rakyat was told that Putrajaya will not send observers to attend the proceedings of the DoJ’s suits against 1MDB as Malaysia respects the rule of law in the US.

The Malaysian government also respects DoJ’s freedom to take any legal action it deems fit against 1MDB, Minister in the Prime Minister’s Department Datuk Seri Azalina Othman said when replying to a question.

The DoJ, in a series of suits, is seeking to recover assets worth US$1.7 billion that were bought with funds allegedly misappropriated from 1MDB.

“We are aware that the DoJ has started civil proceedings against 1MDB [but] no Malaysian individual has been accused of criminal charges. There is also no court decision on this matter,” said Azalina.

As a result, she said the Attorney-General’s Chambers has decided not to send its lawyers to the US to observe the civil proceeding.

Opposition lawmaker Gobind Singh (DAP-Puchong) retorted that that was not acceptable as the suits involved billions of ringgit and that many facts would be disclosed during the proceedings.

“[This] could impute criminal or civil liability against individuals connected with the case. We must protect our country and its assets. The best way to do that is to appoint lawyers to attend and observe the proceedings,” he said.

Speaking to reporters later, Gobind said it would be irresponsible for Malaysia not to do anything with regard to the DoJ suits.

“The fact that no criminal charges have been filed against any individual as yet does not mean we must wait aimlessly until something happens. We should be proactive, particularly where so much money is involved and this has become a matter which has gained global publicity,” he said.