CENTER TO COMBAT CORRUPTION AND CRONYISM

OVERVIEW OF ACTIVITIES

CONTENTS3

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Statement from the Board

Malaysia Corruption 2017

In Action: The 2017 Journey

C4 Center Highlights

Thematic Focus Areas

C4 Center In the News

C4 Center In Figures

Acknowledgements

Freedom of InformationNorthern Office & Forest GovernanceClosing Civic SpacesInternational Initiatives

Political Financing and Cross-Border Corruption891011

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clean conscious competent credible

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The past year has been deeply testing.C4 Center chalked up another eventful year with many new challenges tosurmount, despite the murkiness of Malaysia’s muddled politicallandscape.The 1MDB scandal remained the nation’s biggest bane. Court papers fromSingapore and the United States reveals the outright theft of billions ofdollars, spawning massive street protests in the heart of Kuala Lumpur.But this tale, once shaking Malaysia to its core, has now resulted in amessy state of affairs complicated by the strong likelihood of a late 2017to early 2018 general elections.Those seeking change are groping towards an awkward alliance. FormerUMNO supremo Mahathir Mohamed now leads the opposition through hisown reformist party, while Anwar Ibrahim remains in jail on the sametrumped-up sodomy charge.Amidst this political climate, we are witnessing a closing off of civicspaces. The work of anti-corruption and human rights advocacy justbecame more daunting, more difficult and more demanding.It is no wonder that Malaysians are frustrated, while bearing a heavierfinancial burden.The Panama Papers and the Paradise Papers have shown us the newdangers of open markets and a borderless world, and exposed thecomplicity of international banks and global financial institutions.Corruption can be stopped if they took fighting money launderingseriously.Because of that, the thrust of C4 Center in 2017 was to think globallyand intensify our actions locally.Finding the truth behind 1MDB and other scandals has led us deeper intothe intriguing world of cross-border corruption prevention. At the sametime, we will not stop in our work to end the impunity of Najib and hiscohorts in the pursuit of accountability at all levels.Values of integrity and ethical governance that have now been usurped bythe powers that be must be returned to its hallowed position.We soldier on for the change that we see is necessary for Malaysia.C4 Center Board

Cynthia Gabriel

STATEMENT FROM THE BOARD

Dr Farouk Musa

Richard Yeoh

Simon Sipaun

Zaharom Naim

MALAYSIA CORRUPTION 2017

Malaysia's Corruption Perception Index issteadily declining in score to 49/100,dropping to 55th rank from 50th in 2013.

The number of MACC arrests in 2017 werereported to be 879 cases, declining despite45 high profile cases recorded by C4 Center.

The World Bank's Control of Corruption Indexindicates a steady decline dropping to 61.5percentile rank, from 67.3 in 2013.

According to Transparency International'sGlobal Corruption Barometer 2017....

62% of Malaysiansthink that thegovernment is doingbadly in fightingcorruption.

23% of Malaysianspaid a bribe whenaccessing publicservices.

Open Data Barometer:In 2016, we scored 28 pts,

ranking 53rd of 115 countries.

Global Open Data Index:In 2016, we scored 10%,

ranking 87th of 94 countries.

62%

23%

879939841

552

52 50 49

67.3 66.8 63.5 61.5

59% of Malaysiansthink that the level ofcorruption hasincreased.59%

C4 CENTER HIGHLIGHTSIn June, Cynthia Gabriel washonoured with the 2017 DemocracyAward by the US NationalEndowment for Democracy (NED) forher courageous work to expose largescale corruption in Malaysia, insetting up C4 Center to provide astrong civil society voice in fightingcorruption. The visit concluded manyhigh level meetings at the CapitolHill, the White House, and at the UNHeadquarters. Global media, such asCNN, Washington Post and the WallStreet Journal, interviewed Cynthiaon the 1MDB scandal and PM Najib’srole in it.

C4 Center's Cynthia Gabriel receives the Democracy Award

Kleptopoly launched and ready for sale!C4 Center broke new ground through Kleptopoly: TheBoard Game as a innovative tool for advocacy forpublic education for asset recovery and assetdeclaration. Capturing public imagination, the levelof response for the board game went beyond ourexpectations, helping C4 Center engage with youthand urban crowds as well as providing asupplementary source of income for our activism.

Elected to the board of UNCACCoalitionC4 Center’s frontline expertise wasrecognised through our election tothe coordination committee of theUNCAC Coalition, a global network ofover 350 civil society organisationsdedicated to upholding the UNConvention Against Corruption. Wehold the East Asia, Central Asia andPacific Regional Seat for two years.

IN ACTION: THE 2017 JOURNEY

1ST QUARTERLangkawi

Fact Finding MissionUNCAC Second Cycle

Country ReviewProgram Sehati Sejiwa

Memerangi Rasuah

2ND QUARTER1MDB Report Launch

Kleptocrazy Campaign &Website Launch

Press Freedom Day withJournalists and Public

3RD QUARTERGIAT Good Governance

Agenda LaunchFreedom of Information

Roundtable with SUHAKAM“Official Secrets Act: Time toReview or Repeal?” Forum

4TH QUARTER"It’s Raining Dedak at Elections"

EC-MACC Report LaunchInternational Anti-Corruption

DayKleptopoly's “Live Clean or Die

Dirty” at Art for GrabsConference of State Parties

on UNCAC

THEMATIC FOCUS AREAS

Understanding Cross Border Corruption and MoneyLaundering: The 1MDB Chronicles ExposedIn order to educate and clarify the complexity of the 1MDB scandal,we chronicled the events and actors in a single report, highlightinghow 1MDB funds moved across the world to end up in the personalpockets of top Malaysian figures. The report was launched 1 April,received international attention and puts the spotlight on PM NajibRazak's grand corruption.

POLITICAL FINANCING AND CROSS BORDER CORRUPTION

GIAT Good Governance AgendaTogether with other NGOs in the run up to the next generalelections, this agenda was launched 19 July, presenting alist of demands to all political parties that we need reformin the following areas: asset declaration, political financing,access to information, civic participation and independentinstitutions.

Report on the Roles and Functions of the EC and theMACC in Addressing Corrupt Practices at Elections

During the last elections, the Election Commission (EC) and theMalaysian Anti-Corruption Commission (MACC) were quick to passthe buck on acting on corrupt practices during elections. The reportgives clarification on the matter of jurisdiction: What does the lawsay about whose responsibility it is for enforcing electoral laws withregards to bribery and electoral malpractice? This report waslaunched 11 November and will be delivered to key agencies.

As one of our major thrusts, we believe that good governance requires a robust legal frameworkpotlicial financing and donations, whether in the context of day-to-day governance or electoraloffences. We launched two major reports and a coalition agenda underpinning these issues.

This landmark invitationalroundtable, jointly held by C4Center and The Human RightsCommission of Malaysia(SUHAKAM) on 4 August, intendsto kickstart the process of draftingan Federal FOI law. 39representatives, including variousgovernment agencies, discussedthe implementation of Open Data,Access to Information, the reformof the Official Secrets Act and howa potential new FOI law would looklike in Malaysia.

THEMATIC FOCUS AREASFREEDOM OF INFORMATION (FOI)

Community Level TalksWe held grassroot-level events inSelayang (4 April), in Bangi with50 University KebangsaanMalaysia undergraduates (22April), and a forum titled, “OSA:Time to Repeal or Review?” (16Aug). We also participated in anArticle 19 consultation on FOI andFreedom of Expression, inpreparation for the UDHR Reviewprocess.

“Hak Anda Untuk Tahu”Educational VideoOn 26 April, we released a 3-minute Malay-language video toboost awareness, especiallyamongst Malay speakingcommunities, that tax-payingMalaysians have a right to knowhow public funds areadministered. The video wasposted on our FB Page.

An Evening with the Media onFOI & Investigative JournalismOne of the primary users of FOI lawsare investigative journalists. TheNorthern Region office took theinitiative to use gather journalists inconjunction with World PressFreedom Day (date) to talk abouthow a lack of access to informationhas impinged on their capacity asinvestigative journalists.

SUHAKAM’s Round Table Discussion on Access to Information in Malaysia

C4 Center also works towards the establishment of a federal FOI law, stronger whistleblowerprotection, educating the public of their right to know and encouraging the usage of this right.

THEMATIC FOCUS AREASEstablished in 2016, the C4 Center Northern Office specificallydeals with local good governance issues and sustainabledevelopment.

In the context of the UN Sustainable Development Goals, theNorthern Office continues to engage with local government inPenang such as councillors, state EXCO, MPs and MACC Penang.We raised issues of state engagement with civil society andpushing for true sustainable development especially in the light ofthe 21 Oct Tanjung Bungah landslide and the 5 NovemberGeorgetown flooding.

In January, the Northern Office was focused on a fact-findingmission on sustainable development and corruption in the touristhaven of Langkawi. Preliminary findings were discussed at a inPangkor workshop in November 2017. We look to formallypublishing a report of the findings in 2018.

Together with a strong journalist volunteer base, the NorthernOffice has been recruiting volunteers to increase media outreachand research capacity, and is looking to collaborate with regionalMACC offices in 2018.

Our forest governance programme that we started lastyear in collaboration with the MACC, focuses on thenexus between business and politics when Orang Asliland rights are encroached by logging companies andcomplicit state departments. Following two complaintclinics last year, we organised two more this year.

We continued our work on forest governance issues, andheld very impactful outdoor (in the village) townhallswith the Orang Asli community bringing relevantagencies like the Forestry department, Orang AsliAffairs Department (JAKOA), the Land Office, with thecooperation of the MACC. In 2017 we headed toPahang, Kuala Lipis and Negeri Sembilan. These ruralcommunity engagements, have been very rewardingexperiences for the work of C4 Center.

FOREST GOVERNANCE

NORTHERN OFFICE (PENANG)

Naming and Shaming on Kleptocrazy.myC4 Center takes advantage of digital spaces in the face of risingcorruption to “name and shame” politicians and officials living insuspicious wealth. It allow citizens to submit photos or video evidence,while C4 Center moderates submissions to monitor for abuse, and wehelp interpret the auditor-general’s report for layperson’s use. We alsokeep a running database of MACC cases from the start of the newChief Commissioner’s term. In support of the programme, we held twovolunteer training sessions.

THEMATIC FOCUS AREAS

Engaging Malaysian Publics withKleptopoly: The Board GameKleptopoly is a board game designed by C4 Center toengage with youth and the broader public to introducebasic anti-corruption concepts. Based off Monopoly andinspired by the 1MDB scandal, it features mechanicswhere players are sent to jail if their properties arefound to be corrupt—hence teaching players the valueof asset declaration. Announced in October, a premiumversion with hand-casted miniatures is available onvarious platforms.

Enabling Accountability through the MyCleanCity Mobile AppMyCleanCity is an innovative mobile app, created by C4 Center with the objectiveof building accountability and transparency around governance and servicedelivery issues at the council level. Tied to the Petaling Jaya council complaintssystem, this community based app is meant to price open the black hole of poorservice delivery, name and shame departments that fail to implement their dutiesefficiently, and build better collective community participation.

CLOSING CIVIC SPACESFreedoms of expression are narrowing in traditional spaces. Corruption scandals have led to humanrights violations: unlawful detainments, suppression of peaceful protests, questioning of activists,and the use of the Sedition Act to silence critics. C4 Center is exploring alternative ways to engagewith Malaysians for anti-corruption work.

Speaking at the Conference of State Parties (COSP)C4 Center participated from 2-7 November 2017 in our first COSP onthe UN Anti-Corruption Convention (UNCAC), held every two years.Cynthia Gabriel was invited to speak on corruption, rising extremism andits links to organised crime, and contributed heavily to discussion on1MDB and asset recovery concerns.

UNCAC Second Cycle Country ReviewIn June, C4 Center took the lead within the GIAT Coalition in engagingand providing input to UNCAC Country Reviewers from Timor Leste andSwaziland, who carried out Malaysia’s obligations to be reviewed onceevery five years. We initiated an NGO coordination meeting prior tomeeting the reviewers at MACC offices. While we were pressured toremain solely within the ambit of Article 13 as civil society participationwithin UNCAC, we also gave substantive feedback on the prevention ofcorruption, (chapter 2), asset recovery (chapter 4), whistleblowerprotection and closing civic spaces, where an NGO law was beingmooted to regulate us further.

Election to the Committee of UNCAC CoalitionAnother milestone for C4 Center is the election to the coordinationcommittee of the UNCAC Coalition, a global network of over 350 civilsociety organisations (CSOs) in over 100 countries promoting UNCAC.C4 Center now plays a role of area representative to advocate the issueof grand corruption and recovery of stolen assets at various events.

THEMATIC FOCUS AREAS

Recovering Illicit Gains from SwitzerlandAnother new initiative C4 Center is exploring is an Asset RecoveryInitiative, which gathered endorsements from 111 other Malaysian NGOs.This initiative intends to persuade the Swiss government to putconfiscated gains from laundered 1MDB money into an independent trustfund benefitting Malaysians. Further follow-up is expected in 2018.

C4 Center Recognised at International ForumsBecause of our strong presence internationally, we were also invited tospeak at various events internationally, including the USA, Austria,Taiwan, Thailand and Indonesia.

INTERNATIONAL INITIATIVESC4 Center now plays a major role in engaging international actors in fighting corruption both at theregional and global level. Growing collusion from international financial institutions which enablesgraft and organised crime to happen requires us to take the fight to where it needs to be.

C4 CENTER IN THE NEWS

Sydney Morning Herald (Australia) - 12 September

Today (Singapore) - 19 May

Today (Singapore) - 5 Dec

Washington Post (United States) - 8 September

Taipei Times (ROC) - 26 Oct

SCMP (Hong Kong) - 15 Jan

Washington Post (United States) - 16 August SEA Globe (Cambodia) - 8 November

News Highlights in 2017: Click to view!

C4 CENTER IN FIGURESDONORS&OTHER INCOMESource Duration Amount (RM)National Endowment for Democracy 2017 296,585.67Open Society Foundation 2016-2017 349,532.03American Bar Association 2016-2017 24,711.64Canadian Fund for Local Initiatives 2016-2017 87,819.58Others - Local Merchandise 2017 28,000.00TOTAL 786,648.92

Programme Partner & Donor Support Amount (RM)Forest Governance CFLI / OSF 65,000.00Digital Spaces toFight Corruption

ABA / OSF 161,800.00

Open GovernmentInitiatives & FOI

OSF/NED/Selangor StateAseembly/Penang Institute

9,900.00

Thematic Research OSF / NED / ABA / CLFI /UM

44,700.00

Cross-BorderCorruption

NED / UNCAC Coalition /UNODC

9,800.0

Local Government OSF 50,000.00C4 Center NorthernOffice Team

NED / MACC / PenangInstitute

7,200.00

C4 Center GeneralOperations

OSF / NED 302,000.00

TOTAL 650,400.00

PROJECT&PROGRAMMES

83Citations in the news

2Reports Published

33Press Statements Issued

17Events hosted or co-organisedacross Malaysia

Executive Director: Cynthia GabrielFadiah Nadwa Fikri, Rahayu Mumaizani, Aizat Shamsuddin,Farhana Baharin, Sean Ang, Ho Yi Jian;Sudhagaran Stanley (Northern Office).

C4CENTER STAFF IN2017

ACKNOWLEDGEMENTSFor the period between 2016-2017, C4Center continues to receive strongsupport from global and local donoragencies, as well as the Malaysian public,amounting to approximately 786,000Ringgit.

Without the financial assistance from ourdonor partners and Malaysians dedicatedto fighting corruption, we will not be ableto have produced such outcomes andimpacts for Malaysia.

We would like to thank our supporters,namely the National Endowment forDemocracy (NED), the Open SocietyFoundation (OSF), the Canadian Fund forLocal Initiatives (CFLI), American BarAssociation (ABA), and SuruhanjayaPencegahan Rasuah Malaysia for theirgenerous financial support.

We also give special thanks to theAttorney General’s Office of Malaysia, TheSelangor State Government, The PenangState Government, the Institute ofIntegrity Malaysia and MajlisPerbandaran Petaling Jaya for theirpartnerships in delivering the impacts tothe wider public.

Finally, all Malaysians have our gratitudefor their financial and moral support.

OUR THANKS OUR SPONSORS&PARTNERS

A-3-7, 8 Avenue, Jalan Sungai Jernih 8/1, Seksyen 8, 46050PetalingJaya,Malaysia. Tel:+60-793-22507

THE CENTER TO COMBATCORRUPTION AND CRONYISM

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