Malaysia’s anti-graft agency detains former minister over probe into S$483m siphoned from rural Sabah projects

KUALA LUMPUR — Malaysia’s anti-graft agency on Thursday (Oct 19) arrested a former United Malays National Organisation (Umno) minister as part of an ongoing investigation into alleged embezzlement of RM1.5 billion (S$483 million) meant for rural development projects.

Former Rural and Regional Development minister Shafie Apdal was detained at 9pm, confirmed the Malaysian Anti-Corruption Commission (MACC) deputy commissioner Azam Baki.

Mr Shafie’s arrest came just hours before his 60th birthday, which falls on Friday (Oct 20).

He was detained by graft investigators after three-and-a-half hours of interrogation at the MACC headquarters in Kota Kinabalu, Sabah. He is expected to appear in court on Friday.

Mr Shafie left Umno after he was dropped from the Malaysian Cabinet last year following his open criticism of Prime Minister Najib Razak’s government handling of troubled state investment firm 1Malaysia Development Berhad as well as the RM2.6 billion being deposited into the premier’s private accounts.

He then formed the opposition Parti Warisan Sabah (Warisan), which he now heads.

Warisan deputy president Darell Leiking appealed to a crowd of almost 100 people, who were waiting in front of the MACC office, to remain calm.

“He requested everyone to remain calm, don’t act out, yell or get emotional. He wants to respect the law and due process,” said Mr Leiking.

Mr Shafie has been speculated to be a key figure in investigations into embezzlement from RM1.5 billion worth of projects under the rural development ministry from 2009 to 2015, when he was minister.

MACC’s Mr Azam had previously said that the amount was part of the RM7.5 billion allocated to Sabah from 2010 to 2016 for water and electricity supply projects for the poor and needy in rural Sabah.

The agency believes it has uncovered a network of 60 firms that had colluded with officials from the Rural and Regional Development Ministry to divert the staggering amount.

During the course of its investigation, the MACC also seized some RM180 million held in various accounts.

Earlier this month, Mr Shafie stressed he has no links to the companies under investigation and said the ongoing probe was meant to destroy him.

Deputy Prime Minister Ahmad Zahid Hamidi, however, denied that the move by the MACC was politically motivated.

The agency has so far arrested 10 others to facilitate their investigations. They include Mr Shafie’s brothers, Warisan leaders, a Sabah-based construction company owner, and a former deputy secretary from the ministry. AGENCIES