PETALING JAYA: A police report has been lodged against a local bank and debt collection agency, Mystique Bay Sdn Bhd, over alleged breaches of the Banking and Financial Institutions Act 1989 (BAFIA).
The report, lodged by Ishak Yaacob, 56, came hot on the heels of The Malay Mail's front page expose on Monday titled RM60 billion illegal outflow, which said local banks were found to breach BAFIA since 2005 by selling non--performing loans (NPL) to foreign--controlled debt collection agencies.
On Tuesday, Ishak reported that he and his wife, Sulastri Mohd Hoessein Enas, took a loan from a local bank and used one of her properties as collateral.
When they defaulted on their payments, the bank proceeded to initiate legal action, and put up a public auction of the property.
During the auction, the bank proceeded to sell the couple's NPL to Mystique Bay via a sale and purchase agreement dated Oct 5, 2007.
On Oct 12, 2007, Mystique Bay and the local bank procured a vesting order in favour of the agency, and corresponding sales and transfer on Nov 20, 2007.
Ishak claimed that the bank and Mystique Bay misrepresented to the court that they had complied with the relevant provisions of BAFIA.
He said Mystique Bay had issued a letter to the local bank instructing that all monies relating to NPL must be paid in US dollars to CVI Global Value Fund Luxembourg Master Sarl via its beneficiary bank, JP Morgan Chase Bank in New York.
"Mystique Bay is currently pursuing to auction off my wife's property and we are adamantly defending the matter as I believe there is evidence of collusion between the bank, Mystique Bay and government authorities, whereby funds are being repatriated out of the country illegally," he said in his report.
"I am deeply troubled by the fact that the majority shareholder at the material time of vesting, of Mystique Bay, is a corporate body based in Luxembourg, known as a tax haven."
Police confirmed the report and said they have transferred the case to the Kuala Lumpur Commercial Crimes Department.
Attempts to contact Mystique Bay Sdn Bhd failed.