Malaysia's Anwar Ibrahim snubs police, risks arrest

Kuala Lampur: Malaysian opposition figure Anwar Ibrahim refused to meet police on Monday over sodomy accusations against him, his lawyer said, challenging the authorities to serve an order on him.

Analysts warned of increasing financial fallout from the political drama.

Anwar, who is leading a charge by a rejuvenated opposition to unseat the government, had earlier agreed to meet police at 2 pm (0600 GMT) on Monday to give his statement on a sodomy complaint brought against him by a former aide.

But his lawyer Sankara Nair said Anwar would not go as planned, to protest an attempt by the police to serve an order on him after he had agreed to go voluntarily.

"This was totally unnecessary given that we were all in an unconditional agreement, in advance, that our client will appear," Sankara said in a statement.

He said Anwar would now meet the police if he was served an order. Police declined to say if Anwar would be arrested.

Malaysia's protracted political problems, which began after the government's dismal showing in a March poll, have wearied foreign investors, fearful a sudden change of government could scuttle efforts to reform the civil service and judiciary.

The ruling Barisan Nasional coalition faces its worst crisis in 50 years, hit by public anger against rising prices, political scandals and a revived opposition snapping at its heels.

"Anwar is now on the offensive, which may cause some jitters but investors are generally looking at the whole region, at more interesting markets like Thailand and Singapore," said Stephen Kwong, a trader with AmInvestment Bank.

The Malaysian stock market had slipped half a percent to 1,144.68 by 0359 GMT.