Malaysia police probe Bloomberg report for alleged defamation over anti-corruption chief's shareholdings

KUALA LUMPUR: Malaysian police have launched investigations over a Bloomberg article for alleged defamation over the shareholdings of the country’s anti-corruption chief. 

Criminal Investigation Department director M Kumar said the police received a report on Friday (Feb 13), local media reported. There were no details on who lodged the report. 

Kumar said the probe relates to an article published on Tuesday by Bloomberg which reported that Malaysian Anti-Corruption Commission (MACC) chief Azam Baki held 17.7 million shares in a financial services company that were currently worth about RM800,000 (US$204,668), well above the RM100,000 limit allowed for public servants. 

The article on Tuesday is suspected of containing defamatory statements, Kumar said on Friday. 

“Investigations are being conducted under Section 500 of the Penal Code for defamation and Section 233 of the Communications and Multimedia Act 1998 for improper use of network facilities or network services,” he was quoted as saying by Bernama. 

Kumar reminded the public not to make any speculation on the case while the authorities are completing the probe. 

This comes as Malaysia’s Communications Minister Fahmi Fadzil on Friday said that the government will form a special committee to investigate the allegations against Azam. 

The task force will be led by the country's Chief Secretary to the Government Shamsul Azri Abu Bakar, Fahmi said during his weekly press conference.

Azam said earlier on Friday that he was willing to be investigated amid calls for him to step down, adding that he had "nothing to hide" as all his financial and asset declarations have been made according to public service laws.

"I am confident that the truth will prevail through a fair and independent process," he said in a statement.

Local news outlet New Straits Times had previously reported him as calling Bloomberg's report on Tuesday malicious and misleading, saying that he had declared to the public service department the shares, which he said he had bought last year and disposed of in the same year. 

Bernama reported on Thursday night that Azam has commenced legal action against Bloomberg over its report on his share purchases, with his lawyers from Messrs Zain Megat & Murad sending a letter of demand to its offices in the United States and in Malaysia. 

The Bloomberg report has prompted opposition lawmakers and civil society groups to renew demands for Azam's resignation and call for major reforms to the anti-graft agency, including the removal of the prime minister's power to appoint the MACC chief.

Bloomberg has said it stands by its reporting, according to the New Straits Times. 

In another report on Thursday, Bloomberg said the MACC officials were also helping a group of businessmen to seize control over companies, citing internal documents and interviews with witnesses.