Scorpene’s Submarine Scandal: Malaysia’s Bribery & Murder Scandal

“The magistrates have documents that show that the money was funneled from Thint Asia to Terasasi – [EUR] 3 million of it when Terasasi was still domiciled in Malaysia, and [EUR] 33 million after it was incorporated in Hong Kong…. theorize that it was part of [EUR] 146 million that may have been funneled to officials of the United Malays National Organization and Najib…. One payment was for [EUR] 360,000 accompanied with a handwritten note saying “Razak wants it to be paid quickly.”
 
Courtesy of Defence Industry Daily
The Franco-Spanish Scorpene diesel-electric attack submarine competes on the global market against an array of competitors, foremost of which is ThyssenKrupp HDW’s U209/212/214 family. In June 2002, the Malaysian government signed a EUR 1 billion contract with Armaris (now DCNS) and Spanish naval shipbuilder Izar (now Navantia) for 2 SSK Scorpenes and associated support and training. Both submarines have been delivered to Malaysia, though there have been some technical problems.

Within Malaysia, the sale has been compromised by an ongoing trial and set of legal actions around the public kidnapping and private execution of Mongolian modeling student, translator, and paramour Altantuya Shaariibuu. Full and impartial accountability for public figures is not a prominent feature of Malaysian justice, but French Journalist Arnaud Dubus added to the pressure with a March 5/09 report in France’s Liberation, “Un cadavre très dérangeant: L’étrange affaire du meurtre d’une interprète mongole qui gène le pouvoir en Malaisie” (Page 30-31). It named very prominent names, offers details, and reveals the contents of documents that Malaysian courts have refused to admit…French investigating magistrates are reportedly looking into a Hong Kong-based company called Terasasi (Hong Kong) Ltd. Abdul Razak Baginda is listed as one of the 2 directors of the company. The other director? Abdul Malim Baginda, his father.

The case took a dramatic turn when the victim was closely connected to EUR 114 million in “commission” payments to Perimekar, a firm owned by a close associate of Malaysia’s current Defence Minister and impending Prime Minister. The monies were paid by Armaris (now DCNS) for for “support and coordination services,” a term that may bring to mind the murder of Taiwanese Captain Yin Ching-feng in connection with a bribery scandal involving Taiwan’s DCNS frigates. 

If the documents are true, Altantuya was murdered on the orders of Abdul Razak Baginda. Baginda is a close associate of Najib Razak, who was Malaysia’s Deputy PM and Minister of Defence, and now Prime Minister. Baginda has been acquitted in a Malaysian court, but Razak himself has been implicated in the associated bribery deal, and Dubus’ report includes details of text messages Baginda was reportedly sent by Razak, which strongly imply efforts by Razak to cover up the case and interfere with police investigations. 

The motive for Altantuya’s death was reportedly twofold: EUR 500,000 she wished to claim as her share of the “commission” for the submarines, and the public embarrassment caused to Baginda’s marriage after his paramour tried to collect. The kidnapping was carried out by by agents of the Malaysian Special Branch police, in broad daylight, in front of Baginda’s house, with witnesses present. Malaysian sources have not published full details, but media organizations outside of Malaysia have.

As is usually true in these operations, it’s the small details that matter. The entire wet operation came undone over the non-payment of Altantuya Shaariibuu’s cab fare. The taxi driver hired by Altantuya for the day did not appreciate that his passenger was kidnapped under his eyes, without payment for the fare. He took note of the registration plate of the kidnapper’s car – and filed a complaint at the local police station. This established that the kidnappers’ car was a government vehicle, and fingered its owners.

The Scribe says that the current BN/Umno Regime must be removed from office at all cost. The Regime is a cancer that must be dealt with. The problem here is that the Civil Service, the Judiciary, the Elections Commission, the Police, the Armed Forces and even the Royalty are under BN/Umno control. In fact, it is rather sad that the country's King and Sultan's are silent on the fact that the BN/Umno Regime of Najib Razak through their thugs in uniform, the Royal Malaysian Police have intimidated and brutalized innocent Malaysians during BERSIH 3.0, makes one ponder what is actually the role of the Monarchy in Malaysia when they can't even speak up or stand up for their loyal subjects. If at the end of the day this malignant tumor called BN/Umno cannot be removed through a free and fair electoral process, then the Rakyat (People) cannot be faulted if they resort to other means to achieve this goal.

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