‘Explain missing RM18b’
> Lim orders enquiry, wants ex-Treasury sec-gen to reveal GST refunds’ whereabouts
KUALA LUMPUR: Finance Minister Lim Guan Eng ( pix) has demanded former Treasury secretary-general Tan Sri Irwan Serigar Abdullah to explain his involvement in the missing RM18 billion in GST refunds.
He said the ministry will be conducting an internal enquiry into the missing funds and with the approval from Prime Minister Tun Dr Mahathir Mohamad, they will also have an open public enquiry.
“I hope he will face the ministry’s internal inquiry and an open inquiry to explain why he approved the decision to not put the money into the designated trust account,” he said.
“He should also state whose approval he got to make such a decision. This is not a light matter,” he said while wrapping up the Customs (Amendment) Bill 2018 yesterday.
Former prime minister Datuk Seri Najib Abdul Razak could also be investigated on the matter, he added.
Najib held the finance portfolio from 2008 until May 10 this year.
Later at a press conference in Parliament, Lim said Irwan should reveal where the money went.
“If Irwan says it is there, we want him to tell us where it’s hidden, perhaps he knows something all of us don’t know? Perhaps he hid it somewhere? Where did he hide it?”
Lim said that it is the rakyat’s right to know where this money that is owed to them has gone.
“We want to know who is responsible for delaying these payments which taxpayers and businessmen should have received in two weeks, but haven’t received until now.”
On Wednesday, while tabling the GST (Repeal) Bill 2018 for the second reading, Lim said the total outstanding amount of GST refunds since its introduction in 2015 was RM19.4 billion, but the amount left in the trust account was only RM1.486 billion, which leaves a shortfall of RM18 billion.
Lim claimed the money had gone into a consolidated account, instead of the designated trust account, and that it was “used” by the former administration.
Irwan denied the allegations that the funds were missing and that all GST proceeds were placed in the consolidated fund before being channeled to the trust fund to repay GST claims based on the request of the Customs Department.
The procedure was provided for in the Financial Procedure Act 1957 and the information was available from the Accountant-General’s Department and Fiscal Division of the Finance Ministry.