Malaysian PM pressured to act in ‘NFC - Cowgate’ scandal

16.02.2012

A scandal involving a RM250 million-loan disbursed by Malaysia’s Ministry of Agriculture to a company linked to a senator’s family has put Prime Minister Najib Razak in a tight spot as the country’s 13th general elections draw near.

Nevertheless, Najib is seen to be keeping his cool about the issue, in the midst of increasing public pressure for him to make Sharizat Abdul Jalil, the women’s wing chief of United Malays National Organization (UMNO), resign over allegations that the loan disbursed for a cow-rearing centre – known as National Feedlot Centre (NFC)- was used by Sharizat’s family to purchase luxury condominiums and vehicles instead.

When pressed whether or not Sharizat would resign, he declined to comment more than to say her resignation was the prerogative of the prime minister.

One of the issues that Najib would have to face is finding a credible replacement for Sharizat, who not only holds the position as chief of Women’s Wing of UMNO, but also the portfolio of Women, Families and Communities Minister in his Cabinet. Sharizat lost her seat in the 2008 general elections, but managed to stay afloat as a politician via her senatorship.

One view is that Najib has yet to find a replacement and therefore, is seen to be playing down the issue publicly. However, the NFC scandal is increasingly taking a toll on Najib’s image as a reformed leader, which is especially crucial for him at a time when general elections are drawing near.

The NFC case is currently being investigated by the Malaysian Anti-Corruption Commission. Sharizat had vehemently denied her involvement in the scandal, but the opposition has claimed to have further damning evidence of her apparent involvement in the scandal. Nevertheless, some politicians, including ex-Prime Minister Dr Mahathir, may begin to feel that Sharizat is a burden to the party and was reported to have asked her to leave. “Do not love your post so much that you refuse completely to part with it…eventually, we will have to part with it,” he warned.

Sharizat’s days as a politician may be numbered, as she is also seen to be losing the support of prominent UMNO party members. A few days ago, de-facto Law Minister Nazri Aziz told reporters that the NFC had committed a breach of trust with the federal government if the money disbursed were used for something else other than the cattle-rearing project. “The loan was given just for that. If you use the money for something else, you don’t need to be a lawyer to see that there is a breach of trust, it’s so simple,” he said here.

The minister also commented to a Malay tabloid newspaper that he had asked Sharizat to repay the loan to end the controversy and avoid facing a resignation out of public pressure. Nevertheless, Nazri denied that he had said that later.(acc)