Ex-Malaysia PM Mohamad urges refrendum on incumbent premier

Malaysia’s former Prime Minister Mahathir Mohamad has urged people in the country to push for a referendum on incumbent Premier Najib Razak’s leadership, after US prosecutors filed new lawsuits against an already scandal-hit government-owned company.

Mohamad said on Thursday that Malaysians should hold a “peaceful rally” to demand the removal of Najib.

He made the comments a day after the US Department of Justice brought lawsuits aimed at seizing dozens of properties linked to Malaysian state fund 1Malaysia Development Berhad (1MDB), claiming that more than $3.5 billion in funds from the company had been misappropriated.

Najib, who founded the 1MDB in 2009, became embroiled in the scandal after documents were leaked last year suggesting that $681 million deposited into his personal accounts may have come from entities linked to 1MDB.

Najib and 1MDB both deny that the $681 million involved the investment company’s money but the premier’s critics, including Mohamad, say he should step down and face trial.

The lawsuits, filed in Los Angeles, are aimed at seizing more than $1 billion in assets allegedly tied to money stolen from the 1MDB. The Malaysian premier’s name has not been mentioned in the legal case, however.

According to the lawsuits, the alleged financial crimes were committed during a span of four years and a number of people, including Malaysian officials and their associates, were involved.

Riza Aziz, Najib’s step-son, is implicated in the case.

The 1MDB is currently under international inquiries in at least six countries, including Switzerland and Singapore, over charges of money laundering and bribery.

Meanwhile, a spokesman for the prime minister said in a statement that the company had been the subject of a number of probes in Malaysia but “the Attorney General found that no crime was committed.”

In January, Malaysian Attorney General Mohamed Apandi Ali cleared Najib of any wrongdoing, saying the money was a private donation from the Saudi royal family.

In April, Saudi Arabia had to admit that it had given nearly $700 million to Najib. Saudi Foreign Minister Adel al-Jubeir also claimed that the $681 million Riyadh offered to the premier was a “genuine donation with nothing expected in return.”

According to the attorney general, Najib had returned $620 million of the money to the Saudi royal family in August 2013, about five months after the original transfer.

However, the opposition has criticized the ruling, arguing that the transfer of personal donations did not rule out corrupt motives or transactions.

Following the scandal last year, Najib reshuffled his cabinet to oust a number of his critics, such as his deputy and the attorney general.

Najib came into office in 2009 promising a government free of corruption.

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