The Malaysian Insight

FORMER prime minister Najib Razak today admitted that he spent the RM42 million that entered his accounts but did not know the money was from SRC International Sdn Bhd.

He insisted that he thought the money was part of a corporate social responsibility (CSR) fund that was credited into his personal AmBank accounts.

Najib is on trial for charges linked to RM4 billion in loans issued to SRC International in 2011 and 2012, of which he is accused of receiving RM42 million in 2014 and 2015.

During cross-examination led by ad hoc prosecutor V. Sithambaram, Najib reiterated that former SRC International CEO Nik Faisal Ariff Kamil, who is now on the run, was the mandate holder for his accounts.

Sithambaram pointed to a sum of RM27 million belonging to SRC International that was remitted into Najib’s AmPrivate banking account ending 880, in December 2014.

The prosecutor also pointed to another RM5 million that were remitted to Najib’s account ending 906, during the same period.

Both transactions were through the company accounts of SRC International subsidiary Gandingan Mentari Sdn Bhd and SRC International’s CSR partner Ihsan Perdana Sdn Bhd.

In March 2015, another RM10 million were remitted into Najib’s account ending 880, also through the company accounts of both entities.

Sithambaram: RM27 million went into your account and you don’t know?

Najib: Yes.

Sithambaram: And you spent every sen of it and you accept?

Najib: Yes. But I didn’t know it was SRC money. I only knew much later.

Sithambaram: Did you spend every sen of it? Did you know that in September, RM5 million went into your account? In December, did you know RM27 million went into your account?

Najib: It thought it was for CSR.

Sithambaram: RM27 million came in and you spent RM27 million. It is a phenomenal coincidence. Then RM5 million came in and you spent the same RM5 million.

Najib: Yes. I didn’t know it was SRC International money.

Later, Sithambaram questioned Najib on why he kept Nik Faisal on SRC International’s board despite claims of financial misconduct on fiduciary matters.

Najib: We wanted continuity on the board.

Sithambaram: I put it to you that you put him on the board because he was your man to carry out your bidding.

Najib: No, I disagree with that.

Sithambaram: And it was this bidding that resulted in RM42 million ending up in your accounts.

Najib: No, I disagree.

Najib disagreed with further suggestions that he was not shocked of the amount that entered into his accounts because it was complicit to the criminal activities he was accused of.

Sithambaram: The total RM42 million was all within your personal knowledge?

Najib: I disagree.

Sithambaram: They say the law is an ass. I have to put it to you, otherwise, if I don’t, it will be taken as I’ve accepted it.

Najib: I understand.

The trial, before Kuala Lumpur High Court judge Mohd Nazlan Mohd Ghazali, continues. – January 22, 2020.