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PKR MP blasts Anwar's 'untouchable crony capitalists protected by 3R laws'

Hassan Karim accuses the prime minister of repeating past mistakes in the wake of the storm over the government's choice of a royalty-linked telco to run the nation's 5G network.

MalaysiaNow
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Hassan Karim warns of a group of crony capitalists who enjoy lucrative contracts while being shielded from criticism.
Hassan Karim warns of a group of crony capitalists who enjoy lucrative contracts while being shielded from criticism.

Plain-speaking Pakatan Harapan (PH) MP Hassan Karim says Prime Minister Anwar Ibrahim's government is repeating the same mistakes committed during Dr Mahathir Mohamad's first term by surrounding himself with individuals and corporate entities out to get lucrative contracts, following Putrajaya's controversial decision to appoint a company linked to the current Agong as the second operator of Malaysia’s 5G network.

The Pasir Gudang MP, who is known for not holding back in criticising his party boss, said that while Anwar continues to pander to legacy crony capitalists from Mahathir's era as well as his own, there is also a small group of "conspicious" crony  capitalists who he described as "quite unusual".

"This group is relatively immune and cannot be easily touched because they are shielded by this scourge of a law called 3R," Hassan said, referring to the phrase "race, royalty and religion", the excuse frequently used by authorities to silence government critics using the Sedition Act.

Hassan said the existence of this "elite group" was proven when the government awarded the 5G contract to a relative "newcomer" in the telecoms industry, where "22.31% of the company's shares are held by institutions prohibited by Article 34(3) of the Federal Constitution".

He was referring to U Mobile Sdn Bhd, where Sultan Ibrahim Sultan Iskandar holds the second largest stake, alongside a list of several other companies and individual businessmen including tycoon Vincent Tan.

Article 34(3) of the Federal Constitution states that the Agong "shall not actively engage in any commercial enterprise".

Hassan said the image of Anwar's "Madani government" was now tainted by the re-emergence of crony capitalists.

"But these come from the 'mahakaya'," he said, using a term Anwar often used for the "super rich".

The choice of U Mobile came as a surprise to industry players, especially as much more experienced and leading telcos such as Celcom and Maxis were omitted.

Maxis said in a statement that it is seeking an explanation from the Malaysian Communications and Multimedia Commission (MCMC) to understand the rationale behind the decision in favour of U Mobile.

The company said it had submitted "a comprehensive technical and commercial proposal" to MCMC during the tender process for the second 5G network.

"Our extensive coverage of Malaysia with over 11,000 mobile sites nationwide can be readily upgraded to deliver the best 5G experience and advance the nation’s digital development," said Maxis.