VZCZCXRO7998
OO RUEHCHI RUEHDT RUEHHM RUEHNH
DE RUEHKL #0193/01 0781250
ZNR UUUUU ZZH
O 181250Z MAR 08
FM AMEMBASSY KUALA LUMPUR
TO RUEHC/SECSTATE WASHDC IMMEDIATE 0725
INFO RUCNASE/ASEAN MEMBER COLLECTIVE PRIORITY
RUEHBY/AMEMBASSY CANBERRA PRIORITY 2502
RUEHLO/AMEMBASSY LONDON PRIORITY 0407
RHHMUNA/CDR USPACOM HONOLULU HI PRIORITY
RHEHNSC/NSC WASHDC PRIORITY

UNCLAS SECTION 01 OF 05 KUALA LUMPUR 000193 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
FOR EAP/MTS AND INR 
 
E.O. 12958: N/A 
TAGS: PGOV PREL PINR KDEM MY
SUBJECT: MALAYSIA'S NEW CABINET -- MINISTERIAL PORTFOLIOS 
 
REF: A. KUALA LUMPUR 184 - POST-ELECTION SCENE 
     ¶B. KUALA LUMPUR 178 - ELECTION AFTERMATH 
     ¶C. KUALA LUMPUR 163 - CRUNCHING BN'S NUMBERS 
 
¶1. (U) Summary:  Prime Minister Abdullah Badawi on March 18 
announced Malaysia's new cabinet.  This message provides a 
brief summary of each cabinet-level appointment, focusing 
particularly on changes and newcomers.  Septel provides 
Post's initial overall impressions of the new cabinet.  End 
Summary. 
 
Prime Minister's Department 
--------------------------- 
 
¶2. (SBU) Abdullah announced that Najib Tun Razak would remain 
his Deputy Prime Minister, and he further appointed the 
following Ministers in the Prime Minister's Department: 
Bernard Dompok, President of the United Pasok Momogun 
Kadazandusun Organisation (UPKO) and Minister in the Prime 
Minister's Department since 1999; Mohamed Nazri Aziz, member 
of UMNO Supreme Council and Minister in the Prime Minister's 
Department since 2004; Dr. Ahmad Zahid Hamidi, former Deputy 
Minister of Information and former UMNO Youth Chief; Mohd 
Zaid Ibrahim, former Member of Parliament (MP) from Kota 
Bahru, Kelantan, and founding director of Malaysia's largest 
law firm; and Amirsham Abdul Aziz, who previously served as a 
Deputy Minister in the Prime Minister's Department, and was 
the former CEO of Malayan Banking Bhd (Maybank).  Most 
significant of these appointments is Zaid Ibrahim, a 
reform-minded attorney who frequently found himself at odds 
with Abdullah's previous administration.  Zaid spent some 18 
months suspended from UMNO and from his position as UMNO 
Division Chief for Kota Bahru after criticizing the UMNO 
Disciplinary Board before Parliament.  Abdullah announced 
that Zaid would hold the law portfolio with the specific duty 
of reforming the judiciary. 
 
Finance 
------- 
 
¶3. (U) There was no change in the senior leadership of the 
ministry as Abdullah announced that he would retain the 
position of Minister of Finance, and he reappointed Nor 
Mohamed Yakcop as Second Minister of Finance. 
 
Defense 
------- 
 
¶4. (U) Deputy Prime Minister Najib Abdul Razak was 
reappointed as Minister of Defense, a position he has held 
since 1999. 
 
Internal Security and Home Affairs (Combined) 
--------------------------------------------- 
 
¶5. (SBU) As part of his reorganization of the cabinet, 
Abdullah announced that he was merging the ministries of 
Internal Security and Home Affairs back into one ministry. 
Stepping down as Minister of Internal Security, Abdullah 
appointed former Minister of Foreign Affairs Syed Hamid Albar 
as the new minister of the combined ministries.  In an 
apparent attempt to reinforce significant control over the 
ministry, we note that Abdullah also appointed his former 
Political Secretary, Senator Wan Ahmad Farid Wan Salleh as 
Deputy Minister.  Press reports have publicly associated Wan 
Farid with Abdullah's son-in-law Khairy Jamaluddin. 
 
International Trade and Industry 
-------------------------------- 
 
¶6. (SBU) UMNO Vice President and former Minister of 
Agriculture Muhyiddin Yassin was appointed as the new 
Minister of International Trade and Industry, replacing 
long-time Minister Rafidah Aziz.  Muhyiddin should represent 
a sense of continuity in US-Malaysian trade relations.  He 
has expressed support for a US-Malaysian Free Trade Agreement 
(FTA) with U.S. officials in the past as Agriculture 
Minister.  However, in his Agriculture role he also pushed 
several measures that are probably inconsistent with WTO 
obligations. 
 
Foreign Affairs 
--------------- 
 
¶7. (SBU) With Syed Hamid Albar's transfer to the Ministry of 
Internal Security and Home Affairs, Abdullah appointed Dr. 
 
KUALA LUMP 00000193  002 OF 005 
 
 
Rais Yatim as the new Minister of Foreign Affairs.  Dr. Rais, 
age 65, most recently served as Minister of Arts, Culture and 
Heritage, but had a one-year stint as Foreign Minister from 
1986 to 1987.  Dr. Rais holds a Ph.D. in Law from the 
University of London.  His proper title and salutation for 
correspondence is "Yang Berhormat Datuk Seri Utama Dr. Rais 
Yatim."  Post will forward a complete biography separately. 
 
Education 
--------- 
 
¶8.  (U) The leadership of the Ministry of Education remained 
unchanged as UMNO Youth Chief Hishamuddin Hussein was 
reappointed Minister of Education.  Hishamuddin's position as 
Education Minister was virtually guaranteed given his recent 
election to the UNESCO Board. 
 
Higher Education 
---------------- 
 
¶9. (U) Former Minister of Entrepreneurial and Cooperative 
Development Mohamed Khaled Nordin was reappointed to the 
cabinet as the new Minister of Higher Education.  Khaled was 
first elected to Parliament in 1990 and has been a member of 
UMNO's Supreme Council since 2004. 
 
Housing and Local Government 
---------------------------- 
 
¶10. (SBU) Abdullah continued the tradition of naming a senior 
member of the Malaysian Chinese Association (MCA) as the 
Minister of Housing and Local Government appointing MCA 
Secretary General Ong Ka Chuan.  Older brother of MCA 
 
SIPDIS 
President, Ong Ka Ting, Ka Chuan was absent from elected 
office after a stunning defeat in 2004 by Fong Po Kuan of the 
Democratic Action Party (DAP).  Ka Chuan was elected to the 
new Parliament after switching to a "safer seat" in Perak. 
 
Public Works 
------------ 
 
¶11. (U) Abdullah promoted Mohd Zin Mohamed from the deputy 
position to become Minister.  By appointing Mohd Zin, 
Abdullah kept a sense of continuity in the ministry that saw 
the rapid political demise of its previous minister, 
Malaysian Indian Congress (MIC) president Samy Vellu. 
 
Energy, Water and Communications 
-------------------------------- 
 
¶12. (SBU) Abdullah appointed former Deputy Minister Shaziman 
Abu Mansor to succeed retiring Gerakan party President and 
Minister Lim Keng Yaik, in the Ministry of Energy, Water and 
Communications.  Notably controversial in Malaysia's internet 
world, as Deputy Minister Shaziman espoused national 
registration of all bloggers, and even opined that a 
particular blogger "could face action including being charged 
under the Sedition Act if the article contained elements of 
slander" following a report about PM Abdullah nearly fainting 
while delivering a speech. 
 
Agriculture and Agro-based Industry 
----------------------------------- 
 
¶13. (SBU) Abdullah appointed former Minister of Higher 
Education Mustapha Mohamed as the new Minister of 
Agriculture.  Mustapha has been a member of UMNO's Supreme 
Council since 1993, and following BN's poor showing in the 
2008 elections, is one of only two remaining BN MPs from 
Kelantan.  Mustapha reportedly has no agricultural background. 
 
Transportation 
-------------- 
 
¶14. (U) Former Deputy Minister of Higher Education in the 
previous cabinet, Ong Tee Keat has been appointed Minister of 
Transportation.  Ong is one of the four Malaysian Chinese 
Association's (MCA) Vice Presidents and a Member of 
Parliament from Selangor since 1989.  MCA has traditionally 
been allocated the Transportation Ministry and Ong replaced 
the party's Deputy President Chan Kong Choy who did not seek 
reelection.  Ong was a former US international visitor 
program participant. 
 
Human Resources 
--------------- 
 
KUALA LUMP 00000193  003 OF 005 
 
 
 
¶15. (U) Abdullah appointed S. Subramaniam as Minister of 
Human Resources.  Subramaniam is the Secretary General of the 
Malaysian Indian Congress (MIC) and the sole Indian 
representative in the Cabinet replacing party President Samy 
Vellu (the former Works Minister) who lost his parliament 
seat in the March 8 general election.  A Member of Parliament 
from Johor since 2004, he was the Parliamentary Secretary at 
the Ministry of Housing and Local government in the previous 
cabinet.  The Deputy Minister of Human Resources is Noraini 
Ahmad, the UMNO Puteri Chief who is a newly elected Member of 
Parliament from Johor. 
 
Women, Family and Community Development 
--------------------------------------- 
 
¶16. (U) Dr. Ng Yen Yen has been appointed the Minister of 
Women, Family and Community Development, replacing UMNO's 
Shahrizat Abdul Jalil who lost her parliament seat in the 
March 8 general election.  Ng is the MCA Women Chief since 
¶1999.  She was the Deputy Minister of Finance (2003 - 2008), 
as well as the Deputy Minister of Culture, Arts, and Tourism 
(1999-2003).  She has been a Member of Parliament from Pahang 
since 1999 and was a former US international visitor program 
participant. 
 
National Unity, Culture, Arts, and Heritage (Combined) 
--------------------------------------------- --------- 
 
¶17. (U) As a part of his cabinet reorganization, Abdullah 
merged the National Unity Ministry (which was under the Prime 
Minister's Department) and the Culture, Arts, and Heritage 
Ministry, appointing Shafie Apdal as the new minister. 
Shafie was the former Minister of Domestic Trade and Consumer 
Affairs.  Under the merger, he replaced Dr. Maximus Ongkili 
(National Unity) and Rais Yatim (Culture, Arts and Heritage). 
 An UMNO Supreme Council member, Shafie has been a Member of 
Parliament from the East Malaysian Borneo state of Sabah 
since 1995. 
 
Science, Technology, and Innovation 
----------------------------------- 
 
¶18. (U) Abdullah has replaced Dr. Jamaluddin Jarjis with Dr. 
Maximus Ongkili as the minister of Science, Technology, and 
Innovation.  Maximus was the former Minister in the Prime 
Minister's Department in charge of National Unity.  He is the 
Deputy President of Sabah Unity Party (PBS) and has been a 
Member of Parliament from the East Malaysian Borneo since 
¶2004. 
 
Entrepreneurial and Cooperative Development 
------------------------------------------- 
 
¶19. (SBU) Noh Omar replaced Khalid Nordin as the Minister of 
Entrepreneurial and Cooperative Development.  Noh was the 
former Deputy Minister of Education (2006 - 2008) and Deputy 
Minister of Internal Security (2004 - 2006).  An UMNO Supreme 
Council member, Noh Omar has been a Member of Parliament from 
Selangor since 1995. 
 
Natural Resources and Environment 
--------------------------------- 
 
¶20. (U) In the Ministry of Natural Resources and Environment, 
Abdullah appointed Douglas Unggah Embas to replace Azmi 
Khalid, whom the PM dropped from the Cabinet. Douglas was the 
former Deputy Minister of Transportation (2004 - 2008) and 
has served as a Deputy Minister in the PM's Department (1999 
- 2004).  He is one of the two senior Vice Presidents of the 
United Sarawak Native Inheritance Party (PBB) and has been a 
Member of Parliament from the East Malaysian Borneo state 
since 1986. 
 
Rural and Regional Development 
------------------------------ 
 
¶21. (SBU) Senator Muhammad Muhd Taib was appointed as the new 
Minister of Rural and Regional Development, replacing Abdul 
Aziz Shamsuddin who lost his seat in the March 8 general 
election.  Muhammad has served as the UMNO Information Chief 
since 2004.  A former Chief Minister of Selangor, Muhammad is 
an influential UMNO grassroots leader.  He abruptly resigned 
as Chief Minister following his arrest by Australian 
authorities for carrying a large sum of unreported cash into 
Australia; he was later acquitted of all charges.  The Deputy 
 
KUALA LUMP 00000193  004 OF 005 
 
 
Minister is Joseph Kurup who is the President of the Sabah 
United Peoples Party (SUPP), a minor component party of the 
BN. 
 
Domestic Trade and Consumer Affairs 
----------------------------------- 
 
¶22. (SBU) Former President of the BN Backbenchers Club (BBC) 
and outspoken leader of the Public Accounts Committee, 
Shahrir Samad was appointed as the new Minister of Domestic 
Trade and Consumer Affairs.  Shahrir is a veteran UMNO 
politician from Johor.  In 2006, Abdullah removed Shahrir 
from his position as President of the BBC when Shahrir 
supported an opposition motion to investigate corruption 
charges against another UMNO parliamentarian.  An UMNO 
Supreme Council Member, Shahrir has served in the Cabinet in 
the 1980s as the Minister of Federal Territories (1983 - 86) 
and Minister of Welfare (1986-87). 
 
Plantation Industries and Commodities 
------------------------------------- 
 
¶23. (U) Peter Chin Fah Kui one of the few Cabinet Ministers 
who retained their old portfolio and remains the Minister of 
Plantation Industries and Commodities.  He a veteran 
politician from Sarawak representing the Sarawak United 
People's Party (SUPP) in the Cabinet.  He has been a Member 
of Parliament from the East Malaysian Borneo state since 1986. 
 
Youth and Sports 
---------------- 
 
¶24. (U) Ismail Sabri Yaakob is one of the new faces in the 
Cabinet.  As the new Minister of Youth and Sports, he 
replaces Azalina Othman who is the new Minister of Tourism. 
He has served as a Member of Parliament from Pahang since 
¶2004. 
 
Health 
------ 
 
¶25. (U) Abdullah has appointed Liow Tiong Lai as the new 
Minister of Health.  Tiong Lai is the MCA Youth Chief and was 
the former Deputy Minister of Youth and Sports.  The Health 
Ministry is traditionally allocated to the MCA, and Liow 
replaced party Vice President Chua Soi Lek who resigned over 
a sex scandal prior to the March 8 general election.  Liow 
has been a member of Parliament from Pahang since 1999. 
 
Information 
----------- 
 
¶26. (SBU) Ahmad Shabery Cheek has been named the new Minister 
of Information, replacing Zainuddin Maidin who lost his 
parliament seat in the March 8 general election. Shabery was 
the Parliamentary Secretary at the Ministry of Foreign 
Affairs in the previous Cabinet.  He has been a Member of 
Parliament from Terengganu since 2004 and was a former US 
international visitor program participant. 
 
Tourism 
------- 
 
¶27. (SBU) As the Minister of Tourism, Azalina Othman replaced 
Tengku Adnan Mansor, who was dropped from the Cabinet. 
Azalina was the Minister of Youth and Sports in the previous 
Cabinet.  An UMNO Supreme Council member and the former UMNO 
Puteri Chief, Azalina has been a Member of Parliament from 
Johor since 2004.  Some have touted Azalina as a contender 
for the UMNO Wanita Chief position in the next party 
election.  Sulaiman Abdul Rahman Abu Taib, the son of Sarawak 
Chief Minister Abdul Taib Mahmud, was also appointed as 
Deputy Tourism Minister. Sulaiman previously served as the 
CEO of RHM Bank when the Taib family held a majority stake in 
the firm.  There was significant controversy around his 
management of the bank which led minority shareholders to 
take their complaints to Bank Negara.  Bank Negara Governor 
Zeti later demoted him to a director of the bank, and the 
Taib family eventually sold off their shares. 
 
Ministry of Federal Territories 
------------------------------- 
 
¶28. (U) Minister of the Federal Territories Zulhasnan Rafique 
is one of the few Cabinet Ministers who retained his old 
portfolio.  He is the UMNO Federal Territories Liaison Chief 
 
KUALA LUMP 00000193  005 OF 005 
 
 
and an UMNO Supreme Council Member.  He has been a member of 
parliament from Kuala Lumpur since 1999. 
SHEAR