(Nov 17): Government-linked companies (GLC) and Finance Ministry Incorporated vehicles have channelled funds to politicians and political parties through corporate social responsibility (CSR) programmes, Putrajaya says.

These included financial aid for the funding of certain community activities, such as supporting sports day at schools, helping flood victims, buka puasa events and Hari Raya contributions to orphans, single mothers, the disabled and more.

“The total amount of contributions every year depends on the number of applications received and the ability of the companies’ finances to prepare allocations for CRS programmes,” Finance Minister Datuk Seri Najib Razak said in a parliamentary reply.

Bandar Tun Razak MP Tan Sri Abdul Khalid Ibrahim had asked the Finance Ministry to state the amount of funds contributed to politicians and political parties by GLCs from 1981 until 2014, and if there were any plans to put a stop to the practice.

Government-linked CSR programmes came under question following a The Wall Street Journal expose that some of the RM2.6 billion transferred into Najib’s personal accounts had allegedly come from Ihsan Perdana Sdn Bhd.

Ihsan Perdana is a company that undertakes CSR programmes for controversial 1Malaysia Development Berhad’s (1MDB) charity foundation.

In its report, WSJ also revealed documents, which it said were sourced “from a Malaysian government investigation”, including three remittance application forms by Ihsan Perdana.

It showed RM27 million and RM5 million transferred to a recipient listed as AmPrivate Banking – 1MY on Dec 26, 2014, while RM10 million was remitted on Feb 10, 2015.

In the forms, details of payment were listed as fund transfers for “CSR programme”.

Najib, in his written reply today, said incorporated companies and GLCs did not have a specific allocation for contributions to politicians and political parties.

“Whereas, if there was an application by the parties, it is handled just like how applications for contributions from non-governmental organisations, that is based on the organisation’s needs and if there was balance from the company’s budget for CSR programmes when the application is received,” the prime minister said.

Najib is facing scrutiny following revelations that RM2.6 billion, which he later claimed was “donation” from a Middle Eastern source, was channelled into his bank accounts and also over 1Malaysia Development Bhd, a state-owned investment vehicle that has amassed RM42 billion in debts. – The Malaysian Insider