Jailed former deputy prime minister Anwar Ibrahim today refuted the claims made by former Rural Development Minister Anuar Musa, saying he was unfairly dragged into the controversy involving the latter.

In reference to a story which appeared in Utusan Malaysia on Nov 13, Anwar categorically denied that Anuar had appealed to him to seek support for Abdullah Ahmad's appointment as Malaysia's special envoy to the United Nations.

Abdullah, currently editor-in-chief of the New Straits Times, had held the UN post from 1996 to 2000.

Anwar also denied that the Treasury, which was under his charge, had approved certain projects and funds for Abdullah.

Anwar's lawyer, Sankara Nair, who released the press statement on Anwar's behalf today, said his client deeply regretted that he was unfairly implicated in the "bitter feud" between the two personalities in the media.

Both Anuar and Abdullah had been making public statements on the alleged mismanagement of the Hardcore Poor Development Fund which was a hot issue in the Malay press.

In an article written by Anuar that was published in Utusan Malaysia on Nov 13, the former minister defended himself against Abdullah's statement which apparently implicated him in the scandal.

He, however, claimed that Abdullah was actually his friend. He said that he helped Abdullah by meeting Anwar, who was then the deputy premier, and Prime Minister Dr Mahathir Mohamad to seek their support for the appointment of Abdullah as the special envoy to UN.

The former minister also related the story on how Abdullah allegedly wanted to become an Anwar man in the past to the point that Abdullah, who was the head of the Kok Lanas Umno division, was first to meet and nominate Anwar as a contender for the post of deputy Umno president

Lucrative rewards

Anuar added rumour had it that Abdullah was among those who received lucrative rewards from Anwar's coffer after that.

In the statement, Anwar explained that he directed RM20 million of the RM40 million allocated by the Treasury (for the hardcore poor) to be channelled directly into Amanah Ikhtiar Malaysia because he knew Anuar's attitude as one which might use such projects for political ends.

"The Treasury was already aware of Datuk Anuar Musa's demeanour in matters like this since 1995," the statement reads.

Anwar said it is not true that the allocation provided for the poor is small as close to RM1 billion was approved for the hardcore poor and managed by Permodalan Nasional Berhad since 1994.

"It is utterly deplorable that scarce public resources allocated to the hardcore poor rakyat (citizens) have been surreptitiously whittled away under the watch of the then minister, which if is true, will amount to a breach of trust," he said.

Anwar also urged the government to immediately investigate the matter and institute the appropriate prosecution against those who are responsible for the scandal.