Closing the Books on Murder in Malaysia

The episode of a sensational killing of a Mongolian translator appears to be about finished

The closing of a case earlier this week by Malaysia's attorney general over allegedly false statements by a private investigator that tied Prime Minister Najib Tun Razak to the 2006 murder of Mongolian translator Altantuya Shaariibuu literally lets unknown persons close to the prime minister get away with murder.

The closure of the case appears to write the final chapter in one of Malaysia's most sensational murder cases, one involving a gruesome death, intrigue in high places, more than 100 million euros in alleged bribes and a trial that appeared to be rigged to keep prosecutors as far as possible away from Najib, then the deputy prime minister, and his wife, Rosmah Mansor.

The private investigator, P Balasubramaniam, was hired in 2006 by Abdul Razak Baginda, one of Najib's best friends and a defense analyst from the Malaysian Strategic Research Centre think-tank, to attempt to keep Altantuya away from Baginda because he had jilted her. She was demanding revenge and US$500,000 for her role as a translator in the sale of French submarines to Malaysia. A French prosecutorial team continues to probe the sale of the subs to Malaysia and whether kickbacks were paid to top French and Malaysian politicians.

In July of 2008, as the trial droned on, Balasubramaniam issued a statutory declaration alleging that Najib, then the deputy prime minister, was involved in the murder, only to retract the entire contents of the declaration a day later and issue a second saying he had made the first under duress (Note: Both declarations can be found here).

Balasubramaniam's lawyer, Americk Sidhu, denounced the closing of the case, saying that if the supposedly false statements were investigated thoroughly by police, they would have led to the conclusion that people close to Najib were involved in the murder.

De facto Law Minister Nazri Aziz, in a written statement to parliament, said the case was closed because Balasubramaniam had given conflicting statutory declarations, and that anyway, they didn't affect the trial of two of Najib's personal bodyguards and Abdul Razak Baginda, which ended in April of 2009 after a 159-day trial in which the bodyguards were sentenced to death. They are appealing the verdict, with suspicions running high that they will somehow be given their freedom in exchange for their silence on whoever ordered them to kill the woman.

"Although there are contradictions between the two statutory declarations, the contradictions do not affect the outcome of the trial of Altantuya," Nazri said. "Moreover, the individual (Balasubramaniam) is still believed to be abroad." Nazri added that the decision to close the case was made after "careful consideration" of the results of the police probe and witness statements.

Although the two bodyguards were convicted of the crime, Baginda was acquitted under controversial circumstances without having to put on a defense. He then hurriedly left the country for England, where he has remained ever since. One of the two bodyguards said in a cautioned statement that they had been hired to commit the killing and were to be paid RM100,000 to do it. But the statement was never introduced into the marathon trial and never was anybody asked who had done the hiring or made the payment offer.

The 27-year-old Altantuya, the translator in some phases of the billion-dollar purchase of French Scorpene submarines that netted Baginda's company €114 million in consulting fees, was shot in the head and her body was blown up with explosives in a patch of jungle near the suburban city of Shah Alam. Before she died, she told Balasubramaniam she had been promised US$500,000 for assisting in the submarine transaction.

In the bodyguard's cautioned statement, it emerged that Altantuya, almost with her last words, told her two assailants that she was pregnant and begged them not to kill her. That has led to speculation that her body was blown up with C4 explosives to hide any DNA evidence of who the father might be.

Balasubramaniam, who remains somewhere in Chennai, has continued to insist loudly that Razak Baginda, who is married, had told him that the translator had been Najib's sexual companion before the then-deputy prime minister passed her on to Baginda because it wouldn't look good for a prospective prime minister to have a girlfriend.

After making the first declaration, Balasubramaniam was hauled into a Kuala Lumpur police station, where he was forced to recant it in a second under threat to his family, he later testified. After that, according to statements he made under oath, he was taken to meet with Mohamad Nizam Razak, Najib's brother, and Deepak Jaikishan, described as a "business associate" of Najib's wife, Rosmah Mansor, where he was promised RM5 million to leave the country and shut up. He later displayed cancelled checks showing he had been paid RM750,000 out of an account maintained by Jaikishan. According to his sworn statement, Balasubramaniam said Rosmah was "very pleased" that he had agreed to retract the statutory declaration and wanted to have breakfast with him.

Nazri told the parliament that Balasubramaniam was initially investigated for providing false statements, which would make him liable to three years in jail and a fine. That makes it a mystery why the case was dropped against him, since one of the statutory declarations was demonstrably false – either the one implicating Najib and describing the murder, or the one recanting it.

A team from the Malaysian Anti-Corruption Commission first made an appointment to interview Balasubramaniam in the UK, where he was staying out of fear for his safety, but cancelled the appointment without an explanation.

"The evidence is staring you in the face," Sidhu said in a telephone interview from Australia. "A whole pile of witnesses can confirm the first statement and who have been investigated by the police have said the original statement was made of his own free will. If they had investigated, they would have had to interview Rosmah, Nizam and Jaikashan over the checks to Bala.They can't afford to charge him. If they do that, they would hang themselves. They had no alternative but to close the file to save Najib and his entourage."

To say Balasubramaniam's first statement was explosive is an understatement. In addition to saying Najib had been Altantuya's lover before he turned her over to Razak Baginda, Balasubramaniam wrote that Najib had a sexual relationship with the Mongolian woman and that she liked anal sex. Before she was killed, according to the statement, she told Balasubramaniam that she, Baginda and Najib had been together at a dinner in Paris during the transaction over the submarines.

Najib has repeatedly denied he had ever met the woman, swearing to Allah that no meeting had taken place. During the trial of the two elite bodyguards, a friend of Altantuya who had accompanied the woman to Malaysia said there was no record in immigration that she had ever been in the country. 

Asia Sentinel.com 

Malaysia's Submarine Scandal Surfaces in France

Murky arms deal linked to international pattern of kickbacks

A potentially explosive scandal in Malaysia over the billion-dollar purchase of French submarines, a deal engineered by then-Defense Minister Najib Tun Razak, has broken out of the domestic arena with the filing of a request to investigate bribery and kickbacks from the deal in a Paris court.

Although the case has been contained for eight years in the cozy confines of Malaysia's courts and parliament, which are dominated by the ruling National Coalition, French lawyers William Bourdon, Renaud Semerdjian and Joseph Breham put an end to that when they filed it with Parisian prosecutors on behalf of the Malaysian human rights organization Suaram, which supports good-government causes.

Judges in the Paris Prosecution Office have been probing a wide range of corruption charges involving similar submarine sales and the possibility of bribery and kickbacks to top officials in France, Pakistan and other countries. The Malaysian piece of the puzzle was added in two filings, on Dec. 4, 2009 and Feb. 23 this year.

For two years, Parisian prosecutors, led by investigating judges Francoise Besset and Jean-Christophe Hullin, have been gingerly investigating allegations involving senior French political figures and the sales of submarines and other weaponry to governments all over the world. French news reports have said the prosecutors have backed away from some of the most serious charges out of concern for the political fallout.

The allegations relate to one of France's biggest defense conglomerates, the state-owned shipbuilder DCN, which merged with the French electronics company Thales in 2005 to become a dominant force in the European defense industry. DCN's subsidiary Armaris is the manufacturer of Scorpene-class diesel submarines sold to India, Pakistan and Malaysia among other countries. All of the contracts, according to the lawyers acting for Suaram, a Malaysian human rights NGO, are said to be suspect.

With Najib having moved on from the defense portfolio he held when the deal was put together in 2002 to become prime minister and head of the country's largest political party, the mess has the potential to become a major liability for the government and the United Malays National Organisation. Given the power of UMNO, it is unlikely the scandal would ever get any airing in a Malaysian court, which is presumably why Suaram reached out to French prosecutors.

"The filings are very recent and have so far prompted a preliminary police inquiry on the financial aspects of the deal," said a Paris-based source familiar with France's defense establishment. "There isn't a formal investigation yet. The investigation will most likely use documents seized at DCN in the course of another investigation, focusing on bribes paid by DCN in Pakistan.

The source said police have confined their inquiry to bribery allegations so far and have not looked into the 2006 murder of a Mongolian woman in Malaysia who was a translator on the deal for Najib and his friend, Abdul Razak Baginda, during a visit to Paris.

There have been numerous deaths involving DCN defense sales in Taiwan and Pakistan. Prosecutors are suspicious that 11 French submarine engineers who were murdered in a 2002 bomb blast in Karachi – first thought to have been the work of Al Qaeda – were actually killed in retaliation for the fact that the French had reneged on millions of dollars in kickbacks to Pakistani military officers.

The Malaysian allegations revolve around the payment of €114 million to a Malaysia-based company called Perimekar, for support services surrounding the sale of the submarines. Perimekar was wholly owned by another company, KS Ombak Laut Sdn Bhd, which in turn was controlled by Najib's best friend, Razak Baginda, whose wife Mazalinda, a lawyer and former magistrate, was the principal shareholder, according to the French lawyers.

"Over the past years, serious cases have been investigated in France by judges involving DCN," lawyer Renaud Semerdjian told Asia Sentinel in a telephone interview. "This is not the first case of this kind that is being investigated. There are others in Pakistan and there are some issues about India. To a certain extent, every time weapons of any kind have been provided, suspicion of violation of the law may be very high.

As defense minister from 2000 to 2008, Najib commissioned a huge military buildup to upgrade Malaysia's armed forces, including two submarines from Armaris and the lease of a third, a retired French Navy Agosta-class boat. There were also Sukhoi supersonic fighter jets from Russia and millions of dollars spent on coastal patrol boats. All have come under suspicion by opposition leaders in Malaysia's parliament but UMNO has stifled any investigation. Asked personally about the cases, Najib has responded angrily and refused to reply.

Despite efforts to bury it, the case achieved considerably notoriety after the murder of Altantuya Shaariibuu, a 28-year-old Mongolian translator and Razak Baginda's jilted lover, who participated in negotiations over the purchase of the submarines. By her own admission in a letter found after her death, she was attempting to blackmail Razak Baginda for US$500,000.

She was shot in October 2006 and her body was blown up with military explosives by two bodyguards attached to Najib's office after Razak Baginda went to Najib's chief of staff, Musa Safri, for help in keeping her away from him. Not long after being acquitted in November 2008 under questionable circumstances of participating in her murder, Razak Baginda left the country for England. The bodyguards were convicted but no motive was ever established for their actions despite a confession by one which was not allowed in court, but which said they would be paid a large sum of money to get rid of her.

The submarine deal was never brought up in court during a months-long murder trial that was marked by prosecutors, defense attorneys and the judge working studiously to keep Najib's name out of the proceedings. A private detective hired by Razak Baginda to protect him from the furious Altantuya filed a statutory declaration after the trial indicating that Najib had actually been the victim's lover and had passed her on to Razak Baginda.

The detective, P. Balasubramaniam, said later that he was unceremoniously run out of Kuala Lumpur. He eventually emerged from hiding in India to say he had been offered RM5 million (US$1.57 million) by a businessman close to Najib's wife to shut up and get out of town. He also said he had met Nazim Razak, Najib's younger brother, and was told to recant his testimony.

In the current complaint in Paris, the issue revolves around what, if anything, Razak Baginda's Perimekar company did to deserve €114 million. Zainal Abidin, the deputy defense minister at the time of the sale, told parliament that Perimekar had received the amount – 11 percent of the sale price of the submarines – for "coordination and support services." The Paris filing alleges that there were neither support nor services.

Perimekar was registered in 2001, a few months before the signing of the contracts for the sale, the Paris complaint states. The company, it said flatly, "did not have the financial resources to complete the contract." A review of the accounts in 2001 and 2002, the complaint said, "makes it an obvious fact that this corporation had absolutely no capacity, or legal means or financial ability and/or expertise to support such a contract."

"None of the directors and shareholders of Perimekar have the slightest experience in the construction, maintenance or submarine logistics," the complaint adds. "Under the terms of the contract, €114 million were related to the different stages of construction of the submarines." The apparent consideration, supposedly on the part of Perimekar, "would be per diem and Malaysian crews and accommodation costs during their training. There is therefore no link between billing steps and stages of completion of the consideration.

"As Asia Sentinel reported on April 1, services for the subs are being performed by a well-connected firm called Boustead DCNS, a joint venture between BHIC Defence Technologies Sdn Bhd, a subsidiary of publicly-listed Boustead Heavy Industries Corp Bhd, and DCNS SA, a subsidiary of DCN. Boustead's Heavy Industries Division now includes Perimekar as an "associate of the Group. PSB is involved in the marketing, upgrading, maintenance and related services for the Malaysian maritime defence industry," according to Boustead's annual report.

Originally Boustead told the Malaysian Stock Exchange that the service contract was for RM600 million (US$184.1 million) for six years, or US$30.68 million annually. However, the contract later ballooned to RM270 million per year. Boustead Holdings is partly owned by the government and has close connections with UMNO.

"There are good grounds to believe that [Perimekar] was created with a single objective: arrange payment of the commission and allocate the amount between different beneficiaries including Malaysian public officials and or Malaysian or foreign intermediaries," the complaint states






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