RCI: BNM Forex Trading Didn't Follow Requirements скачать в хорошем качестве

RCI: BNM Forex Trading Didn't Follow Requirements

Bank Negara's foreign exchange, forex trading of the 1990s did not comply with the requirements of the Central Bank Malaysia Act. This was revealed by a former auditor to the Royal Commission of Inquiry, RCI on the central bank's forex losses, which entered its third day of proceedings this morning. The then Director and Assistant General Auditor for all Federal and State Statutory Bodies at the Auditor General's Office, AGO, P. Kanosan Pothinker, said under Section 31 of the Act, the bank may not engage, or in trade, or otherwise have a direct interest in any commercial, agricultural, industrial or any other undertaking. In his testimony, the 78-year-old however added that, it was not the auditor's place to decide on the matters of the law and its interpretation, and it was then decided for the matter to be discussed with the Head of Advisory Services, Tan Sri Ainum Mohamed Saaid. It was during a meeting in regards to the matter, that Tan Sri Ainum verbally advised that the central bank’s forex trading was not in compliance with the Act, and that a written reply will be given in due course. This written reply however was never issued, and when Kanosan made further queries on the issue, he was warned to stop meddling. But Kanosan was undeterred and with the approval of his direct superior at the time, he wrote a letter directly to the then-Bank Negara Governor Tan Sri Jaafar Hussein, stating the AGO’s views on the massive forex trading being undertaken by the bank. Kanosan also said he eventually receive a written reply from the Governor, stating that the letter has been brought to the attention of the Board of Directors. The letter was also acknowledged during a meeting with the Audit Committee of Bank Negara, chaired by Tunku Tan Sri Ahmad Tunku Yahaya, but no further comments were made. The five-man RCI panel, led by chairman Tan Sri Mohd Sidek Hassan, is tasked with finding the cause of BNM’s forex scandal in the 90s, which saw the central bank incurring losses amounting to some RM31 billion.