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Malaysia Today - Your Source of Independent News

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• Is there a secret sand deal with Singapore?
• The need to chart Nurul Izzah’s career path (UPDATED with Chinese Translation)
• Again, didn’t I say so? (UPDATED with Chinese Translation)
• The hags and their bags
• 9Bio
• WIKILEAKS: ANWAR TELLS DIPLOMATS HIS FUTURE IS PRIME MINISTER OR JAIL
• Redrawing the Boundaries
• WIKILEAKS: The PR parties clearly have different visions for Malaysia
• WIKILEAKS: How in 2008 BN paid for its 2006 sins
• WIKILEAKS: Anwar tells the US he has documentary evidence of Najib's corruption

Is there a secret sand deal with Singapore? Posted: 17 Dec 2011 01:11 PM PST Channel News Asia reported: Najib hints of secret dealing with Lee Hsien Loong. According to the news report, early next month both governments are going to make a 'significant announcement'. Is this significant announcement about Malaysia selling 1 billion cubic meters of sand to Singapore at SGD30 per cubic meter? And has Tun Dr Mahathir Mohamad agreed to this? If not….then….hmm…. THE CORRIDORS OF POWER Raja Petra Kamarudin Najib hints at major announcement at next meeting with PM Lee By Teo Cheng Wee, Channel News Asia JOHOR BARU: Improving ties between Singapore and Malaysia will see their leaders meeting for a fifth time early next month, when a 'significant announcement' will be made, Malaysian Prime Minister Najib Razak promised yesterday. While he did not elaborate on what this would be, he said that they will touch on the progress of initiatives to improve connectivity between their countries, as well as the 'iconic project' that they are developing in Johor's Iskandar development region. The meeting is part of a series of regular retreats that Mr Lee Hsien Loong and Datuk Seri Najib have had since May 2009, and which have led to major breakthroughs in longstanding disputes that previously hampered bilateral ties. Among others, they worked out a landmark land swop involving Malayan Railway land and agreed to work together on multi-billion-dollar projects in Johor and Singapore. An MRT link between Johor Baru and Singapore is also set to be operational by 2018. Companies from both countries were reportedly invited last month to bid for the right to do an architectural and engineering study of the link, which is expected to take a little over two years to complete. These tie-ups, initiated since Mr Najib took office almost three years ago, have deepened bonds across the Causeway. Indeed, targeting Singaporean investors and identifying mutually beneficial growth sectors were included among the key strategies outlined yesterday by Malaysia's investment arm Khazanah Nasional and the Iskandar Regional Development Authority (Irda). It has been five years since the Iskandar development region in southern Johor was launched, and yesterday saw Mr Najib officiating at the showcase of the project's achievements. In his speech, the Malaysian Prime Minister underlined the importance of working with Singapore. Improvements in links between Johor Baru and Singapore, he pointed out, would help create a 'mutually beneficial economic unit' in this region to compete with the rest of the world. 'In today's increasingly globalised world, competition is as much between regions as between countries,' he said. 'Regions must work to make themselves truly competitive on a global scale.'  Since it was first launched in 2006, Iskandar Malaysia has attracted RM77.8 billion (S$31.9 billion) worth of investment commitments. Private schools and universities, theme parks and hospitals have been built or are set to spring up from what were previously vast empty tracts of land. Yesterday, Mr Najib had a bird's eye view of the progress when he took a 30-minute helicopter ride over the region, accompanied by Johor Menteri Besar Abdul Ghani Othman, Khazanah managing director Azman Mokhtar and Irda chief Ismail Ibrahim. Another 12 projects worth RM1.73 billion were also announced at the event, from both domestic and foreign investors. These included plans by international consultancy Frost & Sullivan to establish a Global Innovation Centre to house financial and research centres. The company will invest about RM600 million, creating more than 800 new high-value jobs. Meanwhile, Singapore's education services provider Raffles Campus will form a joint venture company with Malaysian property developer UMLand to develop an international school at Bandar Seri Alam. Called the Excelsior International School, it will be spread out over 8.1ha of land and offer international curricula for children aged three to 18 years old. The campus is expected to be completed by June 2013. Earlier in the day, Mr Najib also announced that recently opened designer discount chain Johor Premium Outlets will spend another RM100 million to expand further. Located in Iskandar and housing labels such as Burberry, Gap and Coach, another 60 shops are set to be added, bringing the total number to 130. He also announced a 942-strong auxiliary police battalion to be based in Iskandar Malaysia to boost safety and security - an issue that has been a concern for some investors here. He handed out appointment letters to the first batch of 13 officers yesterday.

The need to chart Nurul Izzah’s career path (UPDATED with Chinese Translation) Posted: 16 Dec 2011 09:45 AM PST Nevertheless, Nurul Izzah must first be groomed and trained for national leadership. In the next election she should contest a state seat, maybe in her 'home-state', Penang. Then, if she wins that state seat, she should be made one of the Deputy Chief Ministers, or at the very least a State EXCO Member of an important portfolio. THE CORRIDORS OF POWER Raja Petra Kamarudin Malaysia's Anwar Ibrahim sex trial verdict might push for political heir (Press TV) - Malaysia's opposition leader Anwar Ibrahim's supporters say the verdict of his sex trial, scheduled for January 9, would indicate the transparency of the country's judiciary. Anwar, who stood trial for sodomy, has repeatedly said he did not get a fair trial throughout the two-year court proceeding. He also accused the government of trumping up the sex charge to end his political career and popularity. Anwar was charged with sodomy for the second time a few months after he led the opposition to an unprecedented victory at the general election in 2008, which denied the government its two third majority. His party loyalists say that the judgment is crucial in determining if the government had meddled into the trial. The government has denied any political conspiracy. Anwar lost his position as the deputy prime minister when he was arrested and charged for corruption and sodomy in 1998. He served a six-year jail sentence and was released in 2004 when the federal court overturned his conviction. Government leaders say the country's judiciary is independent and alleged that Anwar is orchestrating conspiracy theories for his political gain. If seen to have manufactured the sex charge, political observers say that it would cost prime minister Najib Tun Razak votes at the next general election, which is expected to be called early next year. Political analysts say that the verdict for the sex trial of opposition Anwar Ibrahim would not just determine his political future but also that of the opposition coalition. But there is a widespread speculation that Anwar's eldest daughter, who herself is a member of parliament, might take over the leadership from her father. *************************************** Many are now no longer talking about whether Anwar Ibrahim is or is not going to jail but talking about who will take over the leadership of the opposition coalition, Pakatan Rakyat, once Anwar goes to jail. And there is already talk that Nurul Izzah can most likely be that candidate. Of course, some say Nurul Izzah, at only 31, is still too young. That is, of course, a very subjective view. At 30, Alexander the Great had conquered almost half the world. And in these modern times many have became multi-millionaires or billionaires before the age of 30. So, is 31 really an age that is too young? I made my first million at age 27 (my good friend, Michael Toh, can testify to that because he was my mentor). By age 37 I went bust when 'Black Monday' swept the world (because I became too big for my britches and did not listen to Michael Toh who advised me to focus and consolidate rather than expand and diversify indiscriminately). So it was a very short ten years of life as a millionaire before I was reduced to a life of begging. So, again, is 31 really an age that is too young? Nevertheless, Nurul Izzah must first be groomed and trained for national leadership. In the next election she should contest a state seat, maybe in her 'home-state', Penang. Then, if she wins that state seat, she should be made one of the Deputy Chief Ministers, or at the very least a State EXCO Member (State Minister) of an important portfolio. This will give her the opportunity to learn the ropes. Her job as a state minister would give her the experience she needs to eventually take on the task of a federal minister, or even as one of the Deputy Prime Ministers (assuming by then Malaysia has three Deputy Prime Ministers once Pakatan Rakyat takes over the federal government). Furthermore, this will also allow Malaysians the opportunity to gauge her performance as a Deputy Chief Minister or a State EXCO member. Whether she also contests a parliament seat so that she still has a presence in parliament is up to the party to decide. To me that is not as crucial as her training in the state government to eventually play a prominent role in the federal government. Even if Pakatan Rakyat gets to win the next election and gets to form the federal government there is no problem with Nurul Izzah spending a stint in the state government before moving up to the federal government in the 14th General Election -- assuming, of course, Pakatan Rakyat wins the 14th General Election. By then Nurul Izzah will be about 40 or so and at just the right age to take centre stage in the federal government. Anyway, that is just my opinion, not that my opinion means anything to those who walk in the corridors of power or aspire to walk in the corridors of power. But the point is, Nurul Izzah's stint in the state government not only allows her to gain the experience that she will need but also allows us to gauge her suitability to play a bigger role at federal government level. "And why Penang and not Selangor?" you might ask. Well, because Umno is saying that Penang is controlled by the Chinese and with Nurul Izzah as one of the Deputy Chief Ministers she can demonstrate that the Chinese do not control Penang and that Lim Guan Eng is not the dictator who runs Penang like it is his personal kingdom. Furthermore, Nurul Izzah would have no problems working with Guan Eng plus we Malaysians would not be losing any sleep wondering whether she would sell out the opposition and go join Umno. This would put to rest the 'frog' issue. Translated into Chinese at: http://ccliew.blogspot.com/2011/12/blog-post_23.html

Again, didn’t I say so? (UPDATED with Chinese Translation) Posted: 15 Dec 2011 07:07 AM PST PAS vice-president, Mahfuz Omar, has suggested that Hasan Ali -- who openly indicated his willingness to become the matchmaker for Prime Minister Najib Abdul Razak to unite the Malays and Muslims, plus who said he was prepared to leave PAS (presumably to join Umno) -- leave the party and join Umno if he wants to. THE CORRIDORS OF POWER Raja Petra Kamarudin Well, this is what I wrote almost three years ago back on 15th February 2009: Dr Shad Faruqi gives his opinion on what many now perceive as a Constitutional Crisis in Perak. Call it a constitutional crisis or a political crisis if you want, but Perak is not the only state that is going to fall to Barisan Nasional. Kedah and Selangor may be next on the cards. Five Pakatan Rakyat State Assemblypersons from Kedah have already met the higher echelons of Umno and have given their undertaking to cross over en bloc once the numbers enable Barisan Nasional to form the new government in Kedah. RM100 million has been allocated to the Kedah exercise and those crossing over are going to be well rewarded. In Selangor, Hasan Ali has been promised the post of Menteri Besar if he can convince enough of his people to join him in crossing over. This is of course further to the millions he and his gang are going to receive. So far he has only two from PAS and another two or so from PKR who have agreed to join him. So he will need a couple more to finalise the plan. Rest assured it is all about power and money. Hasan Ali wanted to be the Menteri Besar of Selangor way back in 1999. The only problem is that in 1999 the opposition did not win Selangor. He still wants to be Menteri Besar. And if crossing over to Barisan Nasional with enough of his supporters to enable Barisan Nasional to form the new Selangor government is what it takes, then that is how he will do it as long as he can become Menteri Besar. Even Hee Yit Fong, the State Assemblywoman who had been with DAP for 20 years, crossed over for money. She has thus far received RM15 million from Vincent Tan of Berjaya fame. She will probably be paid another RM10 million once the dust settles. It seems she needed the money to bail out her husband who was heavily in debt. This was the same situation with Lee Lam Thye who was forced to leave DAP so that he could bail out his wife from her gambling debts. Barisan Nasional, of course, helped settle all his wife's debts once he 'abandoned his cause' and turned pro-establishment. When we told Pakatan Rakyat that Perak was going to fall, they replied they have things under control. Now we are telling them that Kedah and Selangor too are in a precarious situation and they had better do something about it. Please don't tell us you have everything under control and then, a few weeks down the road, we see these two states go the way of Perak. Anyway, while Pakatan Rakyat figures out how to defend Kedah and Selangor from the RM200 million onslaught by Barisan Nasional, read Dr Shad Faruqi's take on the Perak crisis. ******************************************** And I wrote the following article on 23rd September 2009: Many ask me why I refuse to go into active politics. I try to tell to these people that I am not a politician but a political activist. Most do not appear to understand the difference. I try to explain it as simply as I can. A politician seeks power. A political activist seeks change. I seek change, not power. So I am a political activist, not a politician. That may not be the most accurate way to explain it but I think this would probably clear the air as to why I wish to be one and not the other. The analogy I normally use is the comparison between Fidel Castro and Che Guevara. Castro wanted power. Che just wanted change. And when they toppled the Cuban government and formed the new government, Castro went on to become its new leader while, after only six years in government, Che went off to start a new revolution in another country -- and died, of course. Make no bones about it. Most people who are in politics are in it because of their lust for power -- be it the ruling party or the opposition. They are not in politics for the sake of change or to serve the people. Most times, serving the people is the last thing on their minds. It's all about their lust for power and the pursuit of power. And that is why it is very difficult to comprehend the actions of politicians, even those in the opposition. Take the Selangor issue as an example. Way back in 1999 there was already a power struggle between the two Alis -- Hasan Ali and Azmin Ali of PAS and PKR respectively. Both thought that their party was going to win the most number of seats in Selangor so both wanted to become Selangor's new Menteri Besar. In the end, the opposition did not win, of course, so this 'settled' the dispute. That was ten years ago. But when the opposition did eventually win Selangor in March last year, the power struggle resurfaced. PKR won the most number of seats while DAP came in second. PAS was at the bottom of the list of number of seats. This means the new Menteri Besar has to come from PKR, not PAS. So the question of whether Hasan Ali should become the Menteri Besar is not even open for discussion. There was no way he could become the Menteri Besar. The Menteri Besar has to come from PKR. But if Anwar appoints Azmin Ali as Menteri Besar this would antagonise Hasan Ali. In fact, Hasan Ali was already engaged in secret negotiations with Umno to explore the possibility of Umno and PAS forming the new state government with Hasan Ali as the new Menteri Besar. It was not about whether Umno, instead of PKR-DAP, is a better partner for PAS Selangor. It is about which equation would benefit Hasan Ali. With PKR-DAP, Hasan Ali would not be able to become Menteri Besar. With Umno, he could. But a PAS-Umno alliance would not offer them enough seats to form the government. They would need more seats than that and only if there were some crossovers from PKR would they have enough seats. So it can't be done with just PAS and Umno. It has to be PAS and Umno plus some from PKR as well. However, since they could not get any PKR state assemblypersons to crossover, the plan was a non-starter. DAP thought it could get the most number of seats in Selangor. A problem would then arise that since DAP did not have any Malay assemblypersons then how are they going to take the Menteri Besar's post? This, in fact, happened in Perak. Although DAP won the most number of seats in Perak they had to offer the post of Menteri Besar to the party that won the least number of seats, PAS -- which was actually not a bad choice on reflection considering that Nizar Jamaluddin is an ideal candidate. DAP could accept the fact that PKR won the most number of seats in Selangor so the Menteri Besar has to come from that party. But DAP won the second highest number of seats so at least they could hold the post of Deputy Menteri Besar. After all, the opposition won Selangor because of the non-Malay votes and not because of the Malay votes. The Malays were split 50-50. It was the non-Malay votes that saw the opposition victorious. But this posed two problems. First was the fact that Selangor was won with the support of the non-Malays and not the Malays, who were split 50:50. This, no one can deny. But this also means that the Malay support is very dicey. Umno is already saying that the Chinese now control Penang, Perak and Selangor. If a Chinese Deputy Menteri Besar were to be appointed in Selangor, then the opposition would play right into Umno's hands. The opposition would actually be helping Umno 'prove' that Selangor is now under the control of the Chinese and that Umno's rhetoric is an undeniable fact and no lie. It is not about the opposition not wanting a Chinese as the Deputy CEO in Selangor. It is about being very careful and not giving Umno the ammunition it needs to exploit the sentiments of the Malays in the race game that Umno is playing. Umno is screaming that the 8th March 2008 General Election is a repeat of the 11th May 1969 General Election. Therefore, said Umno, they need a 13th May 1969 'solution' to the problem. Remember Hitler's 'final solution'? It was very crucial that the opposition does not allow Umno to use the argument that Selangor has been 'lost' to the Chinese. They are already saying that about Penang and Perak -- being lost to the Chinese. And Selangor is the jewel in the crown of the three states that control more than half the economy of Malaysia. The second problem is within DAP itself. DAP Selangor is split into various factions, each at odds with the other. So, who from DAP should become the Deputy Menteri Besar if the opposition dared throw caution to the wind and appoints a Chinese from DAP to become the Deputy Menteri Besar? Some aspirants from DAP were even organising protests and demonstrations to pre-empt the 'other side' from getting appointed as the Deputy Menteri Besar. DAP Selangor would break up and some might even leave the party and declare themselves 'independent' candidates just like our DAP lady from Perak. If nobody from DAP gets the post of Deputy Menteri Besar then everyone would be happy. Never mind if I don't get it as long as no one else gets it. But if you appoint someone from one faction, the other faction would revolt. And that is the same reason why Anwar decided that Khalid Ibrahim should become the Menteri Besar. Khalid is not the best choice of candidate. Some even go so far as to say he is the worst choice. Azmin Ali, they argue, would be a better choice. I think so too. But if Azmin Ali were to be appointed as the Menteri Besar then Hasan Ali will merajuk (sulk) and would seriously consider the Umno proposal to form a PAS-Umno government in Selangor. Hasan Ali is not realistic enough. No doubt Umno is courting him. However, they are courting him not because he is a fantastic guy but because they know he lusts for the post of Menteri Besar. So they dangle this sweet carrot in front of his face and watch his mouth drool. Once Umno grabs Selangor they will then move into phase 2 of the plan. And phase 2 is how to get rid of Hasan Ali. Actually, it is not that difficult to kill off Hasan Ali once he goes to bed with Umno. Umno knows that the Sultan of Selangor does not like Hasan Ali. And I got this confirmed by my palace sources. So, all they need to do is to announce that PAS and Umno are now going to form the new Selangor government and then request an audience with the Sultan. Since Umno and PAS -- with some 'independents' from PKR/DAP they hope -- now control the most number of seats in Selangor, the Sultan will have no choice but to swear in the new government. However, while the Sultan has no choice but to agree to a new PAS-Umno government, he does not have to agree that Hasan Ali becomes the new Menteri Besar. And, in fact, he will not agree. So Umno can then just shrug their shoulders and say that we agree you become the Menteri Besar but the Sultan does not. So, sorry mate, you can't become the Menteri Besar after all. It has to be someone from Umno. Hasan Ali can be shot down even while he is still taxiing on the runaway and before he can take off. Remember Pearl Harbour and what the Japanese did to the Americans? Hasan Ali will meet his Pearl Harbour at the hands of Umno and with the help of the Sultan. It is therefore not difficult to understand why there is so much chaos in Pakatan Rakyat Selangor. Not only are PKR, DAP and PAS trying to outmanoeuvre each other. Internally, within PKR, DAP and PAS, there are many factions and each is trying to kill off the other. We have inter-party and we have intra-party wars going on. And it is all because no one is interested in bringing changes or to serve the rakyat. They are only interested in seeking power because politicians naturally lust for power. So we, the people, need to keep them in check. If power goes to their heads they will very quickly forget that it was the people who put them there. They will forget that they are supposed to work for the rakyat. They will become just like Barisan Nasional in thinking that the rakyat are the slaves while they are the masters. Never trust politicians. They will use us when it best suits them. Then they will turn on us and betray the trust we gave them. And that is why the need for some of us to remain as political activists and not become politicians. This is so that we can whack the politicians when they forget themselves, which will be as soon as they win the election and form the new government.   Translated into Chinese at: http://ccliew.blogspot.com/2011/12/blog-post_8882.html

The hags and their bags Posted: 11 Dec 2011 04:36 AM PST A  red crocodile Hermès Birkin handbag has just set the world record for being the most expensive bag ever to be sold at a public auction, after it sold for an eye watering US$203,150. Everybody knows that Birkin bags, the iconic handbags made by family business Hermès, are expensive. But the one that sold last week in Dallas was outrageously priced, even by normal standards. THE CORRIDORS OF POWER Raja Petra Kamarudin Hermès Birkin bag sells for over €150,000 Everybody knows that Birkin bags, the iconic handbags made by family business Hermès, are expensive. But the one that sold last week in Dallas was outrageously priced, even by normal standards. The bag, made of red crocodile leather and featuring 18-carat white gold and diamond-encrusted fittings, was sold for US$203,150 (€151,776) to an anonymous private collector. According to Heritage Auctions, the auction house that organised the sale and initially expected it to sell for US$80,000, this makes the red Birkin the world's most expensive handbag. It was one of four Hermès handbags on sale at the auction, which also included more than 500 designer bags from brands such as Fendi and Louis Vuitton. In comparison to the Birkin, the other three Hermès bags were bargains, going for between US$80,000 and US$113,000.   "The Hermès Diamond collection is the most limited of all Hermès productions. With only a few pieces created each year, even major collectors cannot find these pieces," Matt Rubinger, director of luxury accessories at Heritage, said in a statement. "A Birkin from this collection, in signature Rouge Hermès crocodile, is singularly the most desirable bag in the world and, between its desirability and its rarity, truly an investment piece," he added. Hermès was founded in 1837 by Thierry Hermès. Today, nine members of the Hermès family work at the company, including Bertrand Peuch, who serves as executive chairman, and sixth-generation Pierre-Alexis Dumas, who is the creative director. http://www.campdenfb.com/article/hermes-birkin-bag-sells-over-150000 ********************************** (Picture: Rosmah Mansor and Shahrizat Abdul Jalil: The Star, 11 December 2011) Hermes Birkin Bag Sold For US$203,150 At Auction Before today, the most expensive bag we could conceive of was The Backpack, made by the Olsen twins' line The Row. The Backpack rings in at US$35,000 or US$39,000 depending where you check (these days, The Row website simply says "email for pricing"). But today our world has been rocked, as Women's Wear Daily reports that an Hermes Birkin has been sold for US$203,150. To which we say: holy shit. The deets: the bag was not your average US$7,000 Birkin but rather an "Exceptional Collection Shiny Rouge H Porosus Crocodile 30 cm Birkin Bag with Solid 18K White Gold & Diamond Hardware." (Yep, that's its official name). In other words, the bag is made of red croc skin with white gold clasps covered in diamonds. The bag was sold at public auction in Dallas, where it fetched a much higher price than anticipated. Matt Rubinger, director of luxury accessories at Heritage Auctions, told WWD, "... This was certainly an exceptional price, exceeding our highest expectations at every corner." You can say that again. Considering we'll never be shelling out US$200K on a bag, we wondered and subsequently began to daydream: what else would we spend that cash on? FOR US$203,150, YOU COULD BUY... * 5,805 pairs of Missoni for Target rain boots * 1,934 bottles of Chanel No. 5 perfume * 200 Louis Vuitton Speedy bags * 131 hours on a chartered private jet * 5 The Backpacks by The Row * 3.5 years' undergraduate tuition at Harvard University * 2/3 of Beyonce's Birkin collection http://www.huffingtonpost.com/2011/12/08/hermes-birkin-bag-auctioned_n_1137673.html *************************************** This Hermès Birkin sells for over US$200,000; sets world record A  red crocodile Hermès Birkin handbag (pictured above) has just set the world record for being the most expensive bag ever to be sold at a public auction, after it sold for an eye watering US$203,150. The 'Hermès Exceptional Collection Shiny Rouge H Porosus Crocodile 30cm'  – to use its full name – was sold to an anonymous bidder at Heritage Auctions in Dallas, Texas but was originally only expected to fetch US$80,000. We don't need anyone to tell us that Birkins are special, but apart from the fact that this one features white gold and diamond hardware, what makes it so special? "This is an extraordinary example of one of the world's most exceptional handbags, and this was certainly an exceptional price, exceeding our highest expectations at every corner," Matt Rubiner, a spokesperson for Heritage Auctions told WWD after the sale. "Just a year ago another Birkin, without the jewels and in lesser condition than this one, sold for the equivalent of US$77,000 at auction in England. Everything about this bag measures up much better than that one – it all combines to make this a singular bag and an extraordinary opportunity for a high-end collector." Well, there you have it. http://www.myfashionlife.com/archives/2011/12/09/this-hermes-birkin-sells-for-over-200000-sets-world-record/

9Bio Posted: 04 Dec 2011 10:54 PM PST So, instead of correcting an obvious wrong, more public funds were piled into the project to cover it up and this decision could only have been approved by the Fourth Floor. The decision to do so was so hush-hush and the cover up so brilliantly successful that even YB Lim Kit Siang did not get a whiff of the stench emanating from Putrajaya. THE CORRIDORS OF POWER Hakim Joe Not many Malaysians have heard of 9Bio let alone know what this company is all about but what they should know is that it is a wholly government owned company that has misused, wasted and siphoned away public funds equivalent to the cost of erecting the Petronas Twin Towers. Ninebio Sdn. Bhd. or 9Bio was launched and conceptualized by the then Minister of Health, Dr. Chua Soi Lek (aka Pornstar), in 2003 but did not receive official government sanction as a National Project until September 2006 when a budget of RM350 million under the 9th Malaysian Plan (9MP) was fast tracked and infused into the company to create an environment whereby research and development of halal vaccines will eventually lead to the mass production of such medicinal products for the Islamic world, making Malaysia the hub of halal vaccine R&D and production worldwide. Good intentions, superb conceptual marketing, plentiful of funds to kick start the project, officially sanctioned by the Malaysian Government and ably managed by a group of medical professionals. What could possibly go terribly wrong? Well, nothing because nothing substantial was achieved during the subsequent five years except for the changing of its company name from 9Bio to the Malaysian National Institute for Natural Products, Vaccines and Biologicals, signing a JV agreement with Emergent Bio Solutions Inc. of the US, getting the recognition of the Organization of the Islamic Conference (OIC) as a key center for halal vaccinations, and the tiny issue of a bill submitted by Ekovest-Faber Sdn. Bhd. (a 60%-40% JV company owned by Ekovest Berhad and Faber Group Berhad) to the Government for RM1.9 billion in their capacity as the turnkey contractor for the design, construction, completion and maintenance of the research and development facility on a 784 acre plot in Nilai, Negeri Sembilan (called the Enstek Park). Inflation works wonders especially in this part of the world. Apparently 9Bio started off with just one individual - Datuk Dr. Nor Shahidah Khairullah from the Malaysian Ministry of Health who was seconded from the MOH to become the pioneering CEO of 9Bio in January 2007 (with a RM45,000 monthly salary) and nothing irregular was detected until the Jabatan Audit Negara (JAN) reported otherwise in their 2008 Auditor General's Report, bearing similarities to the National Feedlot Center case. In the report, the AG accounted failures, mismanagement, weaknesses, false claims and financial irregularities on the part of 9Bio's CEO and a special MOF Tribunal was convened to investigate these findings by the Auditor General. Part of the AG's findings also stated, "Datuk Dr. Nor Shahidah binti Khairullah had intentionally: (1) Transferred money from Company's account in the form of payments to her personal Credit Card account for a totaled sum of RM108,747.60 (USD8,000, GBP6,000, EURO7,700); (2) Transferred money from Company's account in the form of Traveler's Cheque under her personal name for a totaled sum of RM21,484.10; (3) Transferred money from Company's account in the form of Bankers Cheque under her personal name for a totaled sum of RM128,648.40; and (4) Transferred money from Company's account in the form of Cash via Cash Cheques for a totaled sum of RM208,979.80." The Auditor General also recommended that "Datuk Dr. Nor Shahidah should be found guilty for criminal breach of trust (CBT) and cheating when she purposely and intentionally siphoned Company's money for a totaled sum of RM467,859.90 without the approval of the board of directors." Dr. Shahidah did not possess carte blanche when acting on behalf of 9Bio as Dato' Sri Dr. Mohd. Nasir (MOH Secretary-General) was the 9Bio Chairman and the board of directors included Tan Sri Dr. Ismail Merican (MOH Director-General) and Datuk Ir. Dr. M.S. Pillay (MOH Deputy DG). How was it then possible for Dr. Shahidah to give authorization (for anything to be done that is above the limitation order) without board approval unless it was actually approved by the board of directors? One. Dr. Shahidah approved the full payment of RM4.1 million consultation fees to Frost & Sullivan, a consultant appointed by 9Bio to prepare a working paper for the proposed manufacturing and process control of the new 9Bio facility in Nilai, even before a single piece of A4 paper was completed by the consultancy firm at the quoted price of RM3.9 million. Two. The appointment of Frost & Sullivan was done only after twelve months of inactivity by the CEO and the board of directors. 9Bio has failed to submit its business plan to either the MOH or MOF since its inception but company records showed that Dr. Shahidah has already collected RM540,000 in wages and has 52 days of paid leave by the first year on the job. During the subsequent MOF Tribunal, Dr. Shahidah argued intensely that JAN had no right or executive privilege to question her alleged excessive travel expenses as it was covered by a special Research and Development grant and not by 9Bio. Dr. Shahidah also claimed that prior approval was given by the Ministry of Health's Director General, Tan Sri Dr. Ismail Merican, for her to travel to Germany and Switzerland. When questioned as to why she was accompanied by a (male) consultant from a different company (Mr. Julian Ding of First Principles Sdn Bhd) on the trip, Dr. Shahidah stated that she needed the consultant for matters relating to a special project negotiation with Emergent Bio Solutions Inc. When questioned further as to the reasons why she had 9Bio pay for the consultant's travel expenses when the 9Bio is already paying First Principles RM1.2 million in consultation fees, Dr. Shahidah finally admitted that she had personally approved it without prior obtaining authorization from the 9Bio Board of Directors. Datuk Dr. Nor Shahidah was subsequently terminated as the CEO of 9Bio and a police report was made with the PDRM and yet another report with the ACA. When Dr. Shahidah was sacked from 9Bio in May 2008, thirty other 9Bio staff resigned voluntarily from the company and (coincidentally) joined Ekovest-Faber. One question why Dr. Shahidah, a relatively unknown researcher/doctor from the MOH, was specially selected from a group of better qualified and far more experienced candidates to head 9Bio and how she could have accomplished the things (as reported in the 2008 Auditor General's Report) she attempted within sixteen months as the CEO of 9Bio. Additionally, why was the Director General of the Ministry of Health (Tan Sri Datuk Dr. Hj. Mohd. Ismail Merican), the Deputy DG (Datuk Ir. Dr. Mukundan Sugunan Pillay), and the Secretary General (KSU) of the MOH (Dato' Sri Dr. Hj. Mohd. Nasir Bin Mohd. Ashraf), as the controlling officer, all protecting and covering up for her? After the departure of Dr. Shahidah from 9Bio, the MOF decided to take control of the project (from the MOH) and appointed Prof. Dr. Mohd. Azmi Mohd. Lila to become the new CEO of 9Bio. Datuk Ir. Dr. M.S. Pillay was then appointed as the Chairman of 9Bio after retiring from the MOH, the first non-medical (engineer) individual to rise to the number two post in the MOH. What influence and control did Dr. Shahidah hold over the three men, even to the extent that Tan Sri Dr. Ismail Merican reappointed her as a consultant to the MOH to supervise 9Bio's purchase of specialized medical manufacturing equipment, irrespective of the on-going PDRM and ACA investigations and regardless of the damning report by the Auditor-General, and for Dato' Sri Dr. Mohd. Nasir (9Bio's Chairman) and Datuk Ir. Dr. M.S. Pillay (9Bio's Executive Director) to agree to this appointment? It was during this transitional period that Ekovest-Faber hit the MOF with the RM1.9 billion bill. Included with the invoices were six Variation Orders (VO) approved by Dr. Shahidah. So, instead of attempting to determine the basis for the super-duper inflated cost to build the 9Bio facility, the government decided to sweep it all under the proverbial carpet and pay the asking price instead. What's a couple of billion between friends anyway? Additionally the MOH was just slowly only recovering from its Minister's admittance of being a porn superstar and the federal elections being around the corner did not help either. The Abdullah government was also concerned by the upcoming PKFTZ scandal in which quite a few Tun(s) were involved and how the accumulation of these losses of public funds could be detrimental to his government seeking another 5-year mandate from the people. So, instead of correcting an obvious wrong, more public funds were piled into the project to cover it up and this decision could only have been approved by the Fourth Floor. The decision to do so was so hush-hush and the cover up so brilliantly successful that even YB Lim Kit Siang did not get a whiff of the stench emanating from Putrajaya. Another thing that was not reported in the AG Report was that when Dato' Sri Dr. Mohd. Nasir became the 9Bio chairman, one of the first things he did was to approve the rental for temporary office space at Metropolitan Square in Damansara Perdana until the 9Bio facilities in Nilai were completed. It was then reported that 9Bio's rental (for two floors) amounted to RM61,193 a month and that another RM2 million were spent renovating it (renovation contract awarded to Environ Ventures Sdn. Bhd. by Hotel Ninety Six from Melaka). Hotel Ninety Six? Questions remained unanswered and to this day, Dr. Shahidah remains free as both PDRM and MACC has yet to complete their respective investigations. Could the Gang of Four somehow have managed to get away with it?

WIKILEAKS: ANWAR TELLS DIPLOMATS HIS FUTURE IS PRIME MINISTER OR JAIL Posted: 03 Dec 2011 11:07 AM PST Anwar Ibrahim told 40 assembled diplomats on July 22 he would either become Prime Minister or end up in jail, "and this time I'm not going to jail." While Anwar put on a brave face for the gathered diplomats, if indeed there are only two possible outcomes, at this point it is far more likely that Anwar finds himself behind bars rather than sitting in the Prime Minister's office. THE CORRIDORS OF POWER Raja Petra Kamarudin Classified By: POLITICAL SECTION CHIEF MARK D. CLARK, REASON 1.4 (B AND D).   Summary 1.  (C) An energetic and seemingly confident Opposition leader Anwar Ibrahim told 40 assembled diplomats on July 22 that in the face of government attempts to use sodomy charges to derail his political challenge, he would either become Prime Minister or end up in jail, "and this time I'm not going to jail."  Anwar claimed that he had new information that revealed his accuser's extensive contacts with senior police officers prior to the alleged sodomy incident, as well as a medical report that found no evidence of sodomy on the accuser's body.   Nevertheless, Anwar and his lawyer anticipated prosecutors would soon file formal charges. Anwar said he quickly would announce his decision to run in by-election so as to become a member of Parliament by September.  Anwar's entry into Parliament was "critical" as a condition for those MPs who have agreed to defect to the Opposition.  Anwar specifically thanked Ambassador Keith and the State Department for statements of concern, looked to the EU to take a similar stand, and urged other countries at least to raise privately their human rights concerns with Malaysian leaders.  While Anwar put on a brave face for the gathered diplomats, if indeed there are only two possible outcomes, at this point it is far more likely that Anwar finds himself behind bars rather than sitting in the Prime Minister's office.  End Summary.   Two Possible Outcomes 2.  (SBU) De facto Opposition leader Anwar Ibrahim on July 22 briefed 40 foreign diplomats, including polchief, for over 90 minutes at the Petaling Jaya headquarters of his Peoples Justice Party (PKR).  In his presentation, Anwar, looking energetic and confident, laid out a general proposition that given political conditions in Malaysia under UMNO party rule, he would either become Prime Minister or go to jail, "and this time I'm not going to jail."   Review of Sodomy Allegations 3.  (SBU) Anwar reviewed in detail the sodomy allegations he faces and the signs of political manipulation, drawing ready comparisons with his earlier prosecution for corruption and sodomy in 1998.  He highlighted contact between his accuser, Saiful, and Deputy Prime Minister Najib, Najib's wife, and Inspector General of Police (IGP) Musa Hassan, stating he would release new evidence of calls or meetings between Saiful and the IGP weeks before the official sodomy complaint.   The Opposition leader also claimed to have medical reports from an examining doctor who concluded that Saiful had not been sodomized or assaulted, but police suppressed the information.  Anwar explained his concern over providing DNA samples that could be planted by police to falsify evidence against him, as reportedly happened in the 1998 case.   GOM Leaders' Mala Fide Involvement Plain to See 4.  (C) Anwar pointed out that no one was investigating the high level government mala fide involvement in the case, evident to the public on a daily basis.  On his "commando style" arrest on July 16, Anwar said the "police tactics were intended to intimidate me, and show me as a dangerous criminal."  Nevertheless, recent polling showed that the Malaysian public believed the case to be politically motivated.  Anwar said he had forgiven those who acted against him in the 1998 corruption and sodomy cases.  Showing some emotion, however, he vowed that once in power he would strike back at those involved in the current "frame-up," and then immediately clarified that they would face legal consequences.   Charges Imminent     5.  (C) Anwar explained the government likely would proceed to charge him with sodomy (a criminal offense in Malaysia, whether or not consensual) as a clear means to "derail" Anwar and the Opposition's political ambitions.  The GOM already had identified a pliant judge and was assembling a prosecution team.  If the government decides to proceed, "they must charge me very soon."  Anwar's lawyer and PKR vice president Sivarasa Rasiah told polchief in even clearer terms that charges against his client were imminent.   Quick By-Election "Critical" to Anwar's Plans 6.  (SBU) Anwar claimed that the sodomy allegation had been timed to frustrate his previously planned announcement of a by-election bid.  "My by-election is critical," he explained, because East Malaysian and other government MPs who wish to cross-over want Anwar to be a member of Parliament before they proceed with a vote of no-confidence against the government.   (Note:  Only as an MP would Anwar be eligible to become Prime Minister.  End Note.)   All but "several" MPs have stuck with their promise to cross-over, Anwar claimed, and the ruling UMNO party and police internal intelligence (Special Branch) knew this.  Noting the Electoral Commission must hold a by-election within two months of a vacancy, Anwar indicated he would very soon decide on which race to pursue so as to become an MP by "mid-September."   7.  (SBU) Why was it critical to seek the cross-overs and bring down the UMNO-led government rather than waiting until the next election, Anwar asked rhetorically.  The Opposition parties would not face a free and fair election, he argued, and the provision for legal challenges to election results was designed to frustrate most challenges.   Royals Will Uphold Constitution 8.  (SBU) In response to a question on the views of the Malay rulers toward the Opposition's goals, Anwar said that normally politicians must be very cautious in making comments about the King and other Royals.  "We need to keep then informally informed" of Opposition views and plans.  "I understand they will act strictly in accordance with the Constitution," and Anwar said the Perak Regent's July 21 widely publicized remarks on the role of the monarchy "affirm that belief."   PAS-UMNO Talks 9.  (SBU) Regarding controversy within the Malaysian Islamic Party (PAS) over talks with UMNO, and the risk that PAS leaves the opposition fold, Anwar said this represented an internal party matter for PAS that the government was playing up in the media.  PAS president Hadi Awang had spoken with Anwar on July 21 to reaffirm PAS's commitment to the Opposition coalition.  Anwar said he had also received overtures from PM Abdullah, but had "promised to keep this confidential."   Governance, Foreign Policy 10.  (SBU) Anwar briefly described his approach to governance and foreign policy.  "I'm a firm believer in market economics.  Promoting democracy and market economics are critical, and go hand-in-hand," he stated.  "We need to make Malaysia more attractive as an investment destination," something that UMNO had lost by its insistence on Malay preferences under the New Economic Policy, which disproportionately benefit Malays elites, not the poor. Malaysia needed "social and distributive justice" not based on race, but on need.  In foreign affairs, Anwar said he would seek to maintain strong relations with the U.S. and EU, while also pursuing close ties to all countries, including "Iran and Sudan."  He noted his strong objection to the U.S. "occupation of Iraq," while recognizing the Saddam Hussein committed many atrocities against the Iraqi people.   Appeal to Foreign Governments 11.  (SBU) Speaking to the group, Anwar thanked the U.S. State Department, Senator Biden and various international non-governmental groups for their statements of concern over his July 16 arrest.  He noted that he had received private expressions of support from the South African government, and was in touch with prominent figures in Europe and Canada. Anwar said he expected the U.S. and the EU (heretofore silent) to speak out on important human rights and rule-of-law aspects of his situation.  He skillfully prodded other countries by noting he understood their concern for their bilateral relations with the Malaysian government, and urged them at least to take up such human rights issues in private.  "You must demonstrate the international community is not deaf and dumb to these human rights violations," he concluded.   12.  (C) In a pull-aside with polchief, Anwar conveyed his personal thanks to Ambassador Keith for his remarks on the day of the arrest, and for the Spokesman's press statement in Washington later the same day.  Polchief said these statements did not reflect partisan politics, but important principles for the United States.   Comment 13.  (C) Anwar put a brave, defiant face on the current situation for his first gathering before diplomats since he returned to active political life in late 2006.  He appeared animated, energetic and at times emotional.  Nevertheless, if indeed there are only two possible outcomes, under current circumstances it is far more likely that Anwar finds himself behind bars rather than sitting in the Prime Minister's office.  We agree with his assessment that the government will soon take the next step and bring charges.  While Anwar is an extremely resourceful politician, and largely enjoys public sympathy in this situation, the ruling UMNO party sees the case as a critical power match, controls the law enforcement apparatus and appears willing to do whatever it takes to stop Anwar's political designs. KEITH (July 2008)

Redrawing the Boundaries Posted: 28 Nov 2011 10:02 PM PST The 26 new seats introduced into GE11 include 5 in Sabah (all won by BN), 6 in Johor (all won by BN), 5 in Selangor (all won by BN), 3 in Pahang (all won by BN), 2 in Penang (Karpal Singh became the only exception when he won the new Bukit Gelugor seat) and the remaining 5 new seats distributed over the remaining states (all won by BN) except for Kedah, Kelantan and Terengganu (where PAS scored a resounding victory during GE10). This meant that BN won 25 of the new 26 contested seats nationwide. THE CORRIDORS OF POWER  Hakim Joe In both 1995 and 1999 when Malaysia held GE9 and GE10 respectively, the total number of parliamentary seats that were contested was 192 and 193. This was increased to 219 in 2004 during GE11 after Badawi took over and subsequently the number rose to 222 in 2008 during GE12. One of the few reasons for this corresponding increase in constituencies is the population growth in Malaysia. In 1995, Malaysia had 20.14 million citizens. In 2004, the number increased 16.8% to 23.52 million and to 25.27 million or another 7.4% in 2008. As of 2011, the population of Malaysia stands at 28.73 million, an increase of 13.7% over the 2008 figures. 26 new seats were added in 2004 and another 3 seats in 2008. Will we therefore witness an increase in the number of parliamentary constituencies during GE13? Let us review the massive increase in parliamentary seats during GE11 (2004) when BN won a record 90.41% of all contested seats under Badawi. It must be noted that the incumbent government only won 63.9% of popular votes but yet won 9 out of every 10 contested seats. In comparison, when BN won a record 65.2% of popular votes in 1995, they only had 84.4% of seats in Parliament. The 26 new seats introduced into GE11 include 5 in Sabah (all won by BN), 6 in Johor (all won by BN), 5 in Selangor (all won by BN), 3 in Pahang (all won by BN), 2 in Penang (Karpal Singh became the only exception when he won the new Bukit Gelugor seat) and the remaining 5 new seats distributed over the remaining states (all won by BN) except for Kedah, Kelantan and Terengganu (where PAS scored a resounding victory during GE10). This meant that BN won 25 of the new 26 contested seats nationwide. The 3 new seats in 2008 (GE12) were Igan, Sibuti and Limbang and were the result from a border re-demarcation exercise in Sarawak and were all won by BN (PBB). Igan was won uncontested, Sibuti won by a decisive 16% majority and Limbang by a mere 3% majority. Of the new parliamentary seats introduced since the 2003 delineation exercise by the Elections Commission (EC), BN has won 96.6% of these contested seats or 28 out of the 29 in total. It must also be especially noted that no new parliamentary seats were created in any Malaysian states that showed a swing to the Opposition. Penang had 2 new seats in 2004 because Badawi was from Bayan Lepas in Penang and traditionally a state that produces the PM is a sure-win for the government. Kedah, Kelantan and Terengganu had zero new seats because the 1999 elections exhibited a significant swing to PAS. The trend also shows that the EC possesses a tendency to create new parliamentary seats in pro-BN areas and especially in semi-urban districts. In Kedah, for example, it moved an area that UMNO had won by over 5,000 votes in 1999 into a constituency that PAS had won by 3,000 votes. When this happens, instead of each party having one seat in Parliament, only BN is left with the parliamentary seat, albeit with a reduced majority but since Malaysia practices a "First Past the Post" voting system, a win from just one single vote is identical to a win of over 10,000 votes. Delineation exercises conducted by the EC are performed every 8 years and the last one was carried out in March 2003, which means that the probability of a new delineation exercise being held on or before March 2012 is extremely high. Malaysian should also take note that if more than 100 individuals object to the delineation, the EC must hold a public enquiry. The law provides that the EC can still go ahead with the exercise but it must now justify why it did not take the objections into account. The Malaysian government tells us that every citizen has to right to vote and that every registered voter possesses one single vote. What they do not tell you is that every vote does not carry the same weight. Putrajaya with one parliamentary seat only possesses 6,608 registered voters while Kapar in Selangor, with also one parliamentary seat has 112,224 registered voters. It is therefore an extremely steep uphill battle for Pakatan even before a single vote has been cast as everything is heavily stacked against them. The Opposition requires a minimal 15-point lead on polling day merely to obtain an overall majority of one parliamentary seat. And that is why we need to give our full support to BERSIH 3.0.

WIKILEAKS: The PR parties clearly have different visions for Malaysia Posted: 27 Nov 2011 06:14 PM PST Reaching out to the two East Malaysian states is crucial to PR's bid to wrest federal power from the BN as the two states command about a quarter of the total number of parliamentary seats but have a tenuous relationship with UMNO which the opposition believes can potentially be exploited. In the meantime, PR leader Anwar faces a court trial and probable conviction on sodomy charges in early 2010. Still, the very existence of PR as a viable political force, coupled with the emergence of the uncensored and influential blogosphere that helped the opposition get its policy message to the public, has changed the political dynamics in Malaysia.   THE CORRIDORS OF POWER Raja Petra Kamarudin Classified By: POLITICAL COUNSELOR BRIAN D. MCFEETERS, REASON 1.4 (B AND D)   Summary and Comment 1. (SBU) Summary.  The three main Malaysian opposition parties held their first official joint convention on December 19, agreeing to a core platform of unified party positions and setting their sights on taking over the government during the next general elections.  The opposition coalition known as the People's Alliance (PR) had previously been a well-organized but unofficial coalition consisting of the People's Justice Party (PKR), the Democratic Action Party (DAP), and the Islamic Party of Malaysia (PAS).   This is the first time the three opposition parties cooperated on conducting a large-scale function that was open to the public, during which they approved a common policy framework which will be the cornerstone of the coalition's campaign to oust the ruling National Front (BN) when elections are held sometime before the end of June 2013.   The PR coalition's agreed framework provides clear policies that it would implement should they gain power -- such as increasing oil revenue-sharing with oil-producing states from five to 20 percent -- while debunking the BN's claims that the PR is a collection of squabbling parties that fight more often than they agree.   2. (C) Comment.  The importance of unity at the PR convention, including the much-photographed and widely disseminated image of the three opposition leaders holding their joined hands aloft, cannot be overstated.  That picture serves to counter the campaign the government-influenced media has waged to undermine the coalition by highlighting the problems between the parties, treating  their minor differences as major rifts, and exaggerating the inevitable infighting through selective use of quotes and false rumors. The parties clearly do have different visions for Malaysia, ranging from DAP's quest for race-blind liberal democracy to PAS's ultimate goal, placed on the back burner, of establishing an Islamic state.  Even so, the leaders managed to convey that they were on the same page at the convention when they codified their areas of agreement in a lucid charter.   For now, cohesion is winning, since the parties are united by their desire to unseat the BN -- whose United Malays National Organization (UMNO) has controlled the government since independence in 1957 -- and establish a more ethical government.   3. (C) Comment continued.  The People's Alliance carried out a successful convention but faces an uphill battle.  BN strategists have told us the ruling coalition is determined not only to win the next general election -- which Prime Minister Najib will likely not hold until he must in 2013 -- but is also determined to win back a two-thirds majority in Parliament, in part by offering popular reforms.   In the meantime, PR leader Anwar faces a court trial and probable conviction on sodomy charges in early 2010.  Still, the very existence of PR as a viable political force, coupled with the emergence of the uncensored and influential blogosphere that helped the opposition get its policy message to the public, has changed the political dynamics in Malaysia.   Many of the values that the People's Alliance stresses -- such as accountable government and press freedom -- are in line with U.S. interests.  While the opposition has a marked lack of clarity on many major foreign policy issues, it has a tendency toward protectionist rhetoric on trade, and would continue the current government's anti-Israel stance.  End Summary and Comment.   Party Leaders Pledge to Work Under One Banner 4. (U) The opposition coalition, called the People's Alliance (Pakatan Rakyat or PR in Malaysian), comprising the People's Justice Party (PKR), the Democratic Action Party (DAP) and the Islamic Party of Malaysia (PAS) held its first convention on December 19 with the theme of "Guiding change to ensure victory."  Polcouns, Poloffs, and diplomats from other embassies attended the convention held in Shah Alam, the capital of the PR-controlled state of Selangor.   This is the first time the three parties have come together to formalize the coalition after announcing its formation on April 1, 2008, right after the March 2008 general election.  The election, which has been described as a "political tsunami," saw the opposition capture five of thirteen state governments and 47 percent of the popular vote, with the opposition parties winning 82 out of the 222 parliament seats and thereby denying the ruling National Front (BN) coalition its customary two thirds majority in parliament.   (Note: this is significant because it denies the BN the ability to amend the constitution, an option it frequently used in the past for political advantage.  End Note.)   Approximately 1,500 delegates from all three parties attended the convention. The three parties recently submitted their application to the Registrar of Societies to formally register as an official political alliance; they are currently awaiting a response from the registrar.   5. (U) After a raucous opening that featured Malay drummers and Chinese dragons, the convention started with speeches by three key leaders representing each of the three opposition parties.  PKR Advisor and de facto opposition leader Anwar Ibrahim represented PKR; Penang Chief Minister and DAP party Secretary General Lim Guan Eng represented DAP; and PAS party president Hadi Awang represented PAS.   All three leaders pledged their party's commitment to the coalition.   Anwar Ibrahim stated that the People's Alliance is not just a political party but "a political movement that will bring about genuine change in the country."  He urged the PR component parties to emerge from the "cocoon of their narrow sectarianism" and "to be fair to all the people" if they are serious about defeating the BN in the next general election.   6. (U) DAP Secretary General Lim Guan Eng, to laughter and applause, described the ruling BN as "the dark side" that "oppresses, depresses and suppresses the people forever." Echoing Anwar's call, Guan Eng urged the people to support PR whereby its policies will focus on "justice, freedom, truth, welfare and devotion to God," a clear a message to win over Muslim support.  He pointed out that the PR leaders' objective is to "defend the national interest" compared to the BN leaders who only defend "their own self interest."  He concluded his speech by pointing out that PR is fighting for the future generation of the country.   7. (U) PAS President Hadi Awang reassured the coalition partners that his party is committed to the People's Alliance, and would never join the BN's dominant party, the United Malays National Organization (UMNO).   (Comment: Since the March 2008 general election, several senior PAS leaders have been promoting the idea of a PAS-UMNO unity government for the sake of Malay and Muslim unity.  These PAS leaders who have been advocating this unity government were at the convention, including Hadi himself, indicating that the party is firmly committed to align itself with the PR. End Comment.)   In his speech, Hadi quoted extensively examples from the Koran that promoted a plural society based on justice.  He stated that in Islam it is cruel to discriminate against minorities, and urged non-Muslims not to take seriously the brand of Islam as promoted by UMNO, which he described as "not holding on to the true teachings and principles" of the religion.  The three leaders avoided lashing out at Prime Minister Najib or other BN leaders by name, but Hadi drew applause when he noted that Putra Jaya, the federal capital, was only a few kilometers away from Shah Alam.   Common Platform -- Accountability and Transparency Galore 8. (SBU) Pakatan leaders unveiled a 33-page common policy framework described by a journalist from the BN-influenced "Star" newspaper as "a masterpiece of compromise between three dissimilar political visions" that contained promises of sweeping reforms and equality.   The common platform, unanimously adopted by the 1,500 delegates at the end of the convention, has four major points: a transparent and genuine democracy; a high-performance people-centric economy; social justice and human development; and a better federal-state relationship and foreign policy. All three political parties pledged in the common framework to defend the Constitution; to practice needs-based affirmative action (as opposed to the race-based policy practiced by the BN); abolish all laws that violate human rights including the Internal Security Act; and restore and respect the separation of powers between the three branches of government.   Other pledges include introducing a minimum wage (Malaysia has none); providing more powers and funds to the states; making the Election Commission, Malaysian Anti-Corruption Commission (MACC), Human Rights Commission (Suhakam), National Oil Company Petronas and other major government institutions directly accountable to Parliament, and having Parliament approve the appointment of important government posts such as the inspector general of police, attorney-general, MACC commissioner and auditor-general. 9. (U) With regard to the contentious issue of religion, the coalition pledged to establish a "comprehensive mechanism" (including forming a royal commission) to resolve cases where there is an overlap of civil and Islamic Syariah laws. On foreign policy, the PR wants to strengthen Malaysia's role in the international arena by promoting a foreign policy that is based on "universal justice, (conflict) resolution through negotiations, and emphasis on inter-civilization dialogues for peace, security and prosperity."  The Alliance also wants to strengthen diplomatic and trade relations with regional partners, especially with ASEAN member countries.   10. (SBU) The common platform also made special reference to the East Malaysian States of Sabah and Sarawak, where PR promised to increase the oil royalty from the current five percent to twenty percent (as promised for all other states with oil and gas revenue) and resolving long-standing problems faced by indigenous peoples.  PR also promised to form a royal commission to resolve the outstanding issue of illegal immigrants, a major problem in Sabah which has been largely ignored by the federal government.   PKR Vice President and prominent Sabah politician Jeffrey Kittingan, rumored to be at odds with PR leader Anwar, told Poloffs that, on the contrary, he was very happy the PR had given special attention to the two East Malaysian states. (Comment: Reaching out to the two East Malaysian states is crucial to PR's bid to wrest federal power from the BN as the two states command about a quarter of the total number of parliamentary seats but have a tenuous relationship with UMNO which the opposition believes can potentially be exploited. End Comment.)   Differences Still Exist 11. (SBU) Despite the euphoria over the unveiling of a common platform, differences exist among the parties.  PAS leaders have told us that the party is not abandoning its objective of forming an Islamic state in Malaysia, while DAP leaders are continuing to promote the dismantling of race-based policies and secularization of the government.  The parties also are squabbling over representation at the state level. For example, PAS-controlled Kedah does not have a DAP politician in the state cabinet, much to the chagrin of DAP. The reverse is true in the DAP-controlled state of Penang. In Selangor, PAS wants the state government to ban the sale of alcohol in Malay majority neighborhoods, but the PKR and DAP-dominated state government have balked at this suggestion.   12. (SBU) The most prominent spat de jour between the parties is the restoration of local elections.  Local elections in Malaysia were suspended in 1969 following large-scale race riots and abolished in 1972.  Under the status quo, local councilors are appointed by the respective political parties that control the state government.  In the run up to the March 2008 general election, opposition parties pledged to restore local elections if elected.  However PAS and some PKR leaders opposed the restoration of local elections as they were worried that some local governments would be dominated by non-Malays should elections be held openly.   To overcome these differences in opinion, PR has decided to postpone and tone down the discussion on restoring local elections, stating that the coalition is committed to "strengthen local government democracy and democratically enhance the competency and effectiveness of the delivery system and guarantee transparency at all levels." KEITH (December 2009)

WIKILEAKS: How in 2008 BN paid for its 2006 sins Posted: 24 Nov 2011 04:04 PM PST When tension rises, the blood of Malay warriors will run in our veins. UMNO is willing to risk lives and bathe in blood in defense of race and religion. Don't play with fire. If they (non-Malays) mess with our rights, we will mess with theirs. Since the tragic racial riots in 1969, UMNO and the Malays have been too patient and tolerant. The special rights of the Malays and the position of Islam as the official religion are enshrined in the Federal Constitution. UMNO should stand firm on these issues and not back down for the sake of the Malay race. We should defend it to the last drop of our blood. THE CORRIDORS OF POWER Raja Petra Kamarudin Classified By: Political Section Chief Mark D. Clark for reasons 1.4 (b, d). Summary 1.  (C) The defense of Malay rights, heated racial rhetoric, and Islamic themes dominated the 2006 UMNO General Assembly, with the often jolting Malay speak reaching Malaysians directly for the first time through unfiltered, live television coverage.  Deputy Prime Minister Najib opened the 2006 UMNO General Assembly with the declaration that there was no time limit for the "Malay Agenda" and its plethora of race-based affirmative action plans aimed at raising the status of ethic Malays.  Prime Minister Abdullah reaffirmed the need for the New Economic Policy and pledged to continue the focus of reducing the income gap between races. Abdullah's key-note address focused on the goals he set three years ago when he took office.  Abdullah celebrated a more open society, but urged restraint in dealing with "sensitive issues" of race and religion.  He criticized Islamic extremists in Malaysia and questioned Malaysia's intolerance. Other speakers focused heavily on race-based issues, and heaved blame and criticism on Chinese and Indian coalition parties.  Coalition partners received a warning: don't question the status of Malays and Islam in Malaysia. Recognizing the effects of such rhetoric, Abdullah and Najib issued statements to mend fences with coalition partners. UMNO has had second thoughts on live telecasts of future general assemblies.  This is the second in a series of reports covering the 57th United Malays National Organization's (UMNO) General Assembly which was held in Kuala Lumpur, November 13 - 17.  End Summary. The Malay Agenda: UMNO's main task 2.  (U)  In his November 13 speech opening the General Assembly for UMNO's Wanita (Women), Puteri (Young Women) and Pemuda (Youth) wings, Deputy Prime Minister Najib Tun Razak began a discussion on the Malay Agenda that would reverberate throughout the week in nearly every speech from every delegate.  Najib began, "The Malay Agenda is UMNO's main task in uplifting the status of the Malays.  In the course of history, from 1511 to 1957, we were under the rule of foreigners.  After those 446 years of oppression, it is impossible that what is owed to the Malays can be repaid in a mere 20 or 30 years.  In this struggle for the Malays, it must be firmly said that there is no time limit. . . " Najib's statement echoed Prime Minister Abdullah Badawi's remarks to Parliament issued the same day.  Abdullah had declared that Malaysia will always need a policy and agenda on wealth distribution so long as economic disparity among the races exists.  "The effort to correct the economic disparity involves several steps or affirmative actions to raise the economic and education achievement among the races, particularly the bumiputras, so that they are comparable with non-bumiputras," declared Abdullah. "This includes," Abdullah continued, "reviving the New Economic Policy (NEP). . ." 3.  (U) In his presidential address to the UMNO assembly, Abdullah expounded on the same topic: "the twenty years allocated to achieve the objectives of the NEP (1970-90) was too short a period; an unrealistic time frame to successfully restructure society and eradicate poverty. . .The objectives of the NEP . . . are larger than equity targets.  The government will focus on reducing the income gap between races.  True balance is a prerequisite for sustainable development." Strong words, sleepy presentation 4.  (C) Cast with the fanfare of an American president's State of the Union Address, Abdullah's key-note address should have been the highlight of the party.  Instead, it was a rather monotonous monologue with very little enthusiasm either from Abdullah or from the audience. One journalist told emboff, "In Mahathir's time, we (the journalists) would sit with baited breath waiting to see what he would say next. With Abdullah, no one wanted to sit through it all.  We could hardly stay awake.  No one wanted to be in there." Unlike the charismatic Mahathir who delivered his speeches using teleprompters so that he could always look at the audience, Abdullah read his 90 minute speech from a printed copy.  Head down, reading from the text, observers faulted Abdullah for reading on when he should have paused for applause, and pausing at awkward moments when there was no cause for cheer. 5.  (C) Publicly, only the Mahathir family dared comment that the speech was "nothing new" (ref. A) or that the assembly lacked the "rah, rah" of previous UMNO assemblies.  But privately many people commented that the presidential address was little more than a rehash of previous speeches promoting the twelve pillars Abdullah addressed when inaugurated three years ago, renewed somewhat with the 9th Malaysia Plan. Perhaps an UMNO-linked newspaper (New Straits Times) editorial phrased it most politely: "His delivery was typically Abdullah-ish -- no shouting, no threats, no playing to the gallery. . . (but) when he finished. . .no one had any doubts about the message."  As dull as some accused it of being, there was no doubt that Abdullah had a message to deliver concerning his vision for Malaysia.  Hidden in the pages and pages of text were some strong words from a soft spoken leader.  He championed education, rural economic development, the rule of law, anti-corruption efforts, openness and democracy, freedom of the press and religious tolerance. Freedom of the Press - Malaysian style 6.  (SBU) With a country awash in recent controversy ranging from Mahathir to economics to religious expression, Abdullah did not shy away from his desire for a more open press. Abdullah applauded constructive criticism and reminded politicians that they would not be immune from the scrutiny of a more open press.  "The truth is that I would rather see heated exchanges in the pages of the press than to see raging riots on the streets," said Abdullah.  If Malaysia was to become a truly advanced society, openness was a prerequisite. "It is meaningless," he said, "to develop infrastructure for information technology if the leadership flinches from a culture that is more open to and accepting of the media."  In typical style, Abdullah then threatened the press regarding his "sensitive issues." "Freedom has its limits," he warned. "We cannot and will not compromise when it comes to the unity and harmony of our multi-racial and multi-cultural society. We will continue to be vigilant when it comes to national security and public safety.  I would like to warn those who abuse this freedom that I will not for a moment hesitate to use the law against them."  "Democracy does not mean absolute freedom to raise sensitive issues relating to religion, race, culture and language," Abdullah reminded. Islam Hadhari versus the ultra-conservatives 7.  (SBU)  Like many of the issues debated throughout the assembly, Abdullah's address focused heavily on religious issues.  Returning to his religious philosophy launched three years ago, Abdullah declared: "Islam Hadhari. . .is a philosophy that reminds Muslims that our faith unequivocally requires us to succeed in the world.  We perpetuate a great disservice to Islam if we reject development, if we are obsessed with conflict and if we live in ignorance." Abdullah lamented that some people had misinterpreted Islam Hadhari as an excuse to become more conservative and radical. Lamenting that some clerics had condemned Muslims for wishing their neighbors a Merry Christmas or Happy Deepavali, Abdullah asked, "How can we have reached such a level of intolerance? . . .When did we become ultra-conservative? This is not Islam Hadhari." 8.  (SBU) "It is these same groups who make such proclamations (condemning other religious celebrations)," continued Abdullah, "that are conjuring imaginary threats aimed at inciting Muslims, hoping that they (Muslims) will become more intolerant of others.  Their agenda is to see Malaysia torn apart, for us to fail as a multi-racial, multi-religious nation.  This is not Islam. . .Let me be clear-- Islam Hadhari is not a blank cheque to bring about conservative revivalism in this country. . .While I will protect Islam's position and the role of the Shariah courts from being undermined, I will also ensure that no one tries to hijack Islam in Malaysia in order to breed intolerance and hatred." UMNO Youth lash out at other BN parties 9.  (SBU) In the midst of all the rhetoric championing Islam and the rights of Malays, UMNO Youth chief Hishamuddin Tun Hussein delivered his speech to the UMNO Youth and without a thought to hypocrisy in his words, threatened politicians of other races: "We must remember that creating a Malaysian nation will not be possible on narrow thinking and chauvinism.  Don't gamble the future by championing race politics.  We know them, we know who they are and we know what they are saying.  We are not afraid to face the opportunist leaders and we will not compromise with them." Hishamuddin also declared, "Do not make fun, question and challenge the position of Malays and Islam in the country. Any movement in the name of freedom of religion, freedom of speech or freedom of the media will not be allowed to challenge our rights.  If such negative efforts are not curbed, they will have a huge implication on our harmony." 10.  (SBU) Taking a cue from their leader, members of UMNO Youth lashed out at other race based parties, including their Barisan Nasional coalition partners.  "When we, the Malays, are weak, the Chinese will take advantage.  If it is the DAP (opposition Democratic Action Party), it is ok. But when our 'roommates' are doing this to us, we can't accept it," cried a Selangor delegate, later unleashing his tirade on leaders of the Malaysian Indian Congress (MIC), Malaysia Chinese Association (MCA) and the Peoples Movement Party (Gerakan). "The special rights of the Malays and the position of Islam as the official religion are enshrined in the Federal Constitution.  UMNO should stand firm on these issues and not back down for the sake of the Malay race.  We should defend it to the last drop of our blood," said the Youth chief from Ledang.  As one editorial stated, there was no denying the message to BN component parties: Don't question the position of Malays and Islam. 11.  (SBU)  UMNO Youth information chief, Azimi Daim, continued the rhetoric claiming he could not understand why BN component parties were becoming braver and braver in questioning sensitive issues (meaning religions preferences for Islam and bumiputra economic preferences).  "When tension rises, the blood of Malay warriors will run in our veins," he warned. 12.  (SBU) Racist rhetoric, however, was not restricted to the Youth wings.  A delegate from Malacca bluntly stated, "UMNO is willing to risk lives and bathe in blood in defense of race and religion.  Don't play with fire.  If they (non-Malays) mess with our rights, we will mess with theirs," he declared.  "Since the tragic racial riots in 1969, UMNO and the Malays have been too patient and tolerant," he said. "UMNO faces challenges from DAP who are Chinese chauvinists, the ignorant PAS (opposition conservative Islamic party) and threats from overseas.  Friends in Barisan Nasional, too, have questioned us."  Even old party veterans joined the assault on other racial groups.  As one former BN Secretary General remarked, "Please don't test the Malays; they know 'amok'. We don't want to reach that level. . .but efforts to enhance the Malays' economy need to be intensified."  The Malays's sacrifices, he said, must be paid back with sacrifices of the same magnitude by the non-Malays, particularly in questions involving the economy. Abdullah tries to soften the blow 13.  (SBU) The deleterious effects of the harsh rhetoric and racism was not lost on UMNO leadership.  This was the first year the UMNO general assembly had been televised in its entirety, and though the rhetoric was perhaps no worse than usual, public exposure seemed to certainly raise awareness. After a week of race-based politics, it was evident that many of UMNO's coalition partners were stinging from the blows they had taken.  In his closing speech to the assembly on Friday evening, Abdullah focused on mending UMNO's ties to the other BN parties.  He tried to soften the effect of the assembly by explaining, "Don't be frightened by the speeches made.  We do things openly.  When others get hit, there will be some reaction, but the situation remains under control.  The heat does not burn, the anger does not lead to quarrels. We are rational, fair and want the interest of all races taken care of." 14.  (C) Gerakan Vice President Vijayaretnam admitted to poloffs that there were concerns at the Gerakan grassroots over the speeches made at the assembly.  However, party leaders have urged the members to look "at the bigger picture."  Vijayaretnam jokingly added that people in general and Gerakan members in particular were jolted by the speeches "because of the live telecast of the conference.  In normal circumstances, no one would have bothered about the assembly." 15.  (SBU) Just days after the assembly concluded Deputy Prime Minister Najib announced that UMNO was considering whether to continue having live telecasts of future assemblies.  Najib said it could not be denied that some of the speeches "had gone overboard."  Forgetting that some of the harshest rhetoric came from senior UMNO officials, Najib conceded that "sometimes inexperienced speakers tend to get carried away by the occasion.  They were playing to the gallery, but they should realize that when they speak, the others outside the party are also listening.  Abdullah's son-in-law and UMNO Youth Deputy, Khairy Jamaluddin, also commented that the events at this year's assembly were not necessarily out of the ordinary, but that "those who have never seen the assembly before (were) shocked by the no holds barred debates when delegates spoke on religion and race." "While the debates were hot," he said, "the spirit of consensus in the BN will not be affected, as we are committed to it.  MCA, MIC and others understand this." Comment 16.  (C) The single greatest effect of this year's assembly may not be felt for over a year when Malaysians go to the polls.  The racist nature of politics is nothing new to Malaysia, but unfiltered, live television brought public awareness of UMNO's internal chauvinistic rhetoric to a new height.  Some ten days after UMNO's assembly, the national media continues to carry Malaysian politicians weighing in on the racial politics raised during the UMNO assembly. Even before the assembly, Chinese component parties of the Barisan Nasional coalition feared a public backlash (ref C) at the election booth.  These same parties now must face their constituents and explain to a more skeptical electorate that aligning with Malay racism and a patent anti-Chinese domestic policy remains their best option. 17.  (C) Despite his lack of charisma as a leader, Abdullah offered a breath of reason and moderation throughout the assembly.  He reiterated the importance of tolerance and racial harmony, themes missing from so many other speeches. Softly but clearly, he criticized the Islamic ultraconservatives and warned them that their brand of Islam was out of step with his vision of Islam Hadari and incongruous with a successful multi-religious Malaysia. Although the assembly reiterated UMNO's rejection of inter-faith councils and its support for ever-expanding shariah courts, Abdullah attempted to reassure his fellow Malaysians that the country would stay on a path of moderation and harmony with its non-Muslim citizens. LAFLEUR (November 2006)

WIKILEAKS: Anwar tells the US he has documentary evidence of Najib's corruption Posted: 23 Nov 2011 05:09 PM PST Anwar raised as examples the alleged cover-up in the Altantuya murder case and kick-backs paid to fronts for DPM Najib Tun Razak for the procurement of French submarines and the 2003 purchase of Sukhoi aircraft. He felt emboldened to raise these matters in recent press conferences because he possessed solid information, including documentary evidence in the case of the Sukhoi deal. Much of the information about the latter cases came directly from senior officials who met with Anwar, including the Director General of at least one ministry and a senior officer at the Central Bank. THE CORRIDORS OF POWER Raja Petra Kamarudin Classified By: AMBASSADOR CHRISTOPHER J. LAFLEUR, REASON 1.4 (B AND D). Summary 1.  (S) Former Deputy Prime Minister Anwar Ibrahim, speaking with polchief January 18, amplified his recent attacks on Deputy Prime Minister Najib, alleging official cover-up of Najib's connection with the Altantuya murder case and Najib's involvement in corrupt military procurements.  Anwar (protect) asserted that DPM Najib's aide-de-camp ordered the killing of Altantuya and that Anwar possessed firm evidence of the 2003 Sukhoi kick-back scheme.  A January 19 court affidavit by jailed Najib confidante Razak Baginda revealed a link to Najib's ADC, allowing Anwar to sharpen his public calls for police to question the Deputy Prime Minister. Anwar expressed hope that PM Abdullah's "weakness" could allow for a somewhat fairer playing field for Malaysian opposition parties in the next national elections and asserted that opportunities for democratic reform would end if and when DPM Najib took over.  Anwar now is attempting to shift his political opposition role into higher gear.  At this point, however, it is not clear that Anwar has a winning game plan and his expressed electoral hopes are very modest at best.  End Summary. Najib-Linked Scandals Damage Malaysia's Integrity 2.  (C) Former Deputy Prime Minister and opposition politician Anwar Ibrahim, accompanied by his wife Wan Azizah, told polchief during their January 18 meeting at Anwar's Damansara home that high-level corruption had reached dangerous levels and had damaged the nation's integrity. Anwar raised as examples the alleged cover-up in the Altantuya murder case and kick-backs paid to fronts for DPM Najib Tun Razak for the procurement of French submarines and the 2003 purchase of Sukhoi aircraft.  He felt emboldened to raise these matters in recent press conferences (picked up mainly by internet news services) because he possessed solid information, including documentary evidence in the case of the Sukhoi deal.  Much of the information about the latter cases came directly from senior officials who met with Anwar, including the Director General of at least one ministry and a senior officer at the Central Bank. 3.  (S) On the Altantuya Shaariibuu murder (see below), Anwar (protect in this paragraph) claimed that Najib had been romantically involved with the Mongolian woman prior to her relationship with Abdul Razak Baginda (Najib's confidante accused of abetting the woman's murder), and implied that Altantuya had intended to incriminate Najib as well as Razak Baginda.  Leaning forward and in a hushed voice, Anwar asserted that he had firm information that Najib's aide-de-camp ordered the two members of Najib's security detail (who are charged with murder) to kill Altantuya. Based on his information, Anwar said he had called publicly for the police to question Najib.  (Comment:  In December we heard from one of Anwar's lawyers that Razak Baginda's wife was in contact with Anwar and Wan Azizah, suggesting one possible source for Anwar's information.  End Comment.) Background on Altantuya Murder Case 4.  (C) Note:  In November 2006, Malaysian police arrested urbane think tank analyst Razak Baginda, a close confidante of DPM/Defense Minister Najib and a beneficiary of an enormous broker's fee for the Defense Ministry's purchase of French submarines.  Police charged Razak with abetting the October 19, 2006, murder of a young Mongolian woman, Altantuya Shaariibuu, with whom he reportedly had an affair. Police also brought murder charges against two police officers assigned to the Special Operations Force that protects the Deputy Prime Minister.  Publicly the case has attracted sensationalist media coverage, while privately the rumor mill has gone into overdrive fueled by speculation of Najib's possible connection to Altantuya and her murder. Perceived irregularities on the part of prosecutors and the court, and the alleged destruction of some evidence, suggested to many that the case was subject to strong political pressure intended to protect Najib. The trial phase will begin in March 2008. Razak's Affidavit Supports Anwar's Public Calls 5.  (SBU) Note continued:  Anwar used his January 10 press conference to urge police to question Najib, while clarifying that, "we are not inferring that (Najib) is in the know or gave the instructions (to murder Altantuya)."  On January 19, Abdul Razak Baginda presented a court affidavit in support of his unsuccessful bail application.  According to press accounts, Abdul Razak Baginda's affidavit confirmed that he sought the help of Musa Safri, later identified by reporters as Najib's ADC.  On January 20, Anwar told a political rally, "It was clearly stated that Abdul Razak had gone to the deputy premier's office to meet with the head of Najib's bodyguards.  Why can't we question this?  Why can't we investigate?"  Mainstream media subsequently carried articles citing the Altantuya family's lawyer asking for prosecutors to reopen the case based on new information in the affidavit. End Note. Abdullah's Weakness Creates (Limited) Political Opening 6.  (C) Anwar confided to polchief that Prime Minister Abdullah Badawi's "weakness" and his inability to control fully the government, police and party apparatus could allow for a somewhat fairer playing field during the next national elections.  PM Abdullah, however, had already shut down discussion of significant electoral reforms, which the Electoral Commission chairman had urged in public comments made in early January.  Anwar expected the government would continue to shut off his access to the mainstream media. (Comment:  There has not been a complete black-out on mainstream press coverage of Anwar; however, his activities and public remarks find rare mention in major papers, and none that we have noticed on television.  End Comment.) Democratic openings and prospects for reform would end, Anwar argued, if and when the DPM replaced Abdullah, given Najib's character and his inner circle of supporters. 7.  (C) Anwar's Malaysian People's Justice Party (Keadilan) and the Democratic Action Party (DAP) identified opportunities to make some electoral gains in Penang, Sabah and Selangor states in the next national election.  Anwar noted that he spent a large amount of time brokering meetings between DAP and the Islamic Party of Malaysia (PAS) in order to foster a better working relationship among these opposition parties.  Given limited access to the media, Anwar stated that he had difficulties reaching rural Malay voters to explain his positions, particularly his opposition to the current Malay set-aside programs, which he believes should be based on need, not race.  Polchief raised 2006 polling data that indicated a strong racial divide among young Malaysians and, when asked, Anwar did not identify any trend away from race-based politics. 8.  (C) Anwar stated that he was encouraging foreign democracy NGOs to initiate activities in Malaysia in hopes their programs and presence would contribute to a freer political climate.  He was reaching out to organizations from the U.S. (NDI, IRI), Europe, Turkey and Indonesia.  Anwar noted, in particular, the importance of non-American groups taking up issues of democracy in Malaysia, and indicated his own desire not to become closely identified with the U.S. out of concern his opponents would use this against him.  Anwar noted he would continue to engage in international meetings, but would curtail or resign from official roles in some overseas organizations to better position himself for politics in Malaysia.  Expressing disappointment with the limited influence of MAFREL, an election monitoring NGO, Anwar supported efforts to stand up a more high-powered, independent election watchdog, possibly headed by noted lawyer and former UN special envoy Param Cumaraswamy (who is part of Anwar's legal team in his suit against former Prime Minister Mahathir). 9.  (C) Anwar, surrounded by boxes in his home, told polchief he had sold the house in the elite Damansara neighborhood and purchased a large home in a poorer neighborhood further from the city.  He implied that the reasons for the move were financial. Comment 10.  (C) Due to his conviction in April 1999 for misuse of his official position, Anwar remains barred from seeking political office until April 2008.  However, he now is clearly back in Malaysian politics and attempting to shift his political opposition role into higher gear after spending much of his time overseas following his 2004 prison release. Using press conferences to lob bombshells focused on Najib-linked corruption and the sensationalistic Altantuya murder case is a tactic whose impact is limited by Anwar's modest coverage in the government-dominated mainstream media but which is in keeping with the gadfly function traditionally played by the weaker Malaysian opposition parties. 11. (C) Political gossip is Malaysia's favorite indoor sport, and some here speculate that Anwar nurses bigger ambitions. Najib personifies the privileged UMNO elite into which he was born and lacks Anwar's Islamic activist credentials or personal magnetism.  However, after Abdullah, UMNO currently has no serious alternative to Najib.  By chipping away at Najib's reputation, Anwar could be looking to raise doubts inside UMNO about the wisdom of that succession and perhaps weaken resistance to Anwar's eventual return to the fold and perhaps even to leadership.  Some speculate, too, that Abdullah is well aware of this dynamic and intends to use Anwar to keep Najib in check.  However, as Anwar also continues to take pot shots as well at Abdullah, there remains uncertainty about the likelihood of real reconciliation with the PM. 12.  (C) At this point, it is not clear to us that Anwar in fact has a winning game plan and his expressed electoral hopes seem very modest at best.  In 2006, former Prime Minister Mahathir's challenge to PM Abdullah ironically stole much of the opposition's thunder, or at least the public's attention.  With the Mahathir threat largely diffused for the time being, the field may be more open for Anwar to stake out a position as Malaysia's primary opposition voice in the year ahead. LAFLEUR (2007)

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