Indonesian Political, Business & Finance News

UMNO VP quits over corruption

| Source: REUTERS

UMNO VP quits over corruption

KUALA LUMPUR (Reuter): The resignation of a senior Malaysian politician, who faces trial for trying to take almost US$1 million out of Australia, was the latest step in a campaign against corruption in rapidly-growing Malaysia.

Muhammad Muhammad Taib, a vice president of Prime Minister Mahathir Mohamad's political party, quit as chief minister of central Selangor state on Saturday.

He was detained at Brisbane International Airport on Dec. 22 after the equivalent of US$940,000 in cash was found in his luggage and later charged with failing to declare an amount over A$5,000. On Friday, a court in Brisbane charged him on a second count for making a false declaration. His trial was fixed to begin on Aug. 19.

Mahathir announced the resignation after a leadership meeting of his United Malays National Organization (UMNO). "We debated the matter and upon hearing the views of members, he (Muhammad) decided," Mahathir told reporters.

Mahathir said it was hurting the party's image. "Members should not smear UMNO's name by doing something which casts negative aspersions on the party."

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