KUALA LUMPUR, Sept 26 — Datuk Seri Najib Razak today testified in court that an AmIslamic Bank current account under his name — which had US$70 million (RM280 million) credited into — was meant for corporate social responsibilities (CSR) use and not where his personal banking affairs were conducted.
Najib is testifying as the first defendant in SRC International Sdn Bhd’s US$1.18 billion (RM5.58 billion) ongoing civil suit against him at the Commercial High Court.
Under cross-examination by lawyer Datuk Lim Chee Wee, Najib was asked about the existence of his now-closed AmPrivate Banking-MR account ending-694 which had received a sum of US$70 million on January 3, 2012.
“It’s my CSR account. It’s in my personal name (but) it doesn’t qualify as where I do my personal personal (banking) if you get what I mean,” he said.
The crediting was made approximately four months after SRC International obtained a RM2 billion loan from the Retirement Fund Incorporated (KWAP) — a statutory body which manages the pension scheme for Malaysia’s civil servants.
Lim: In your witness statement and defence, Datuk Seri you made no reference as to the source of this US$70million credited on January 3, 2012 into your personal AmIslamic account ending-694?
Najib: Yes.
Lim: Datuk Seri, you have not produced any documentary evidence to show that this US$70million in your personal AmIslamic is not SRC or KWAP money?
This query was then met with silence, leading Lim to repeat his question.
Najib: Long pause Can I come back to that?
Later, when asked if he requested for any form of independent verification as to the source of the US$70 million, Najib said he did not request since he did not ‘personally’ manage the aforementioned account.
Najib also said he has no knowledge of the fund’s sources and he stood by his evidence that the account is of ‘CSR’ nature.
It was previously established that SRC International executive director Nik Faisal Ariff Kamil was the authorised account handler to deal with Najib’s personal accounts based on mandate letters Najib submitted to AmBank.
Reading from the account statement, Najib said the opening balance was about RM290 million and the closing balance was roughly RM 505 million.
The account ending-694 was one of the five accounts the former prime minister had with AmBank which were alleged to have received funds misappropriated from SRC International and 1Malaysia Development Bhd (1MDB).
Imprisoned since August 23, 2022, Najib is serving his 12-year jail sentence and RM210 million fine for his conviction over the misappropriation of SRC International’s RM42 million funds, which has recently been reduced to six years of jail and RM50 million fine by the Pardons Board.
SRC, under its new management, sued Najib and its former directors Datuk Suboh Md Yassin, Datuk Mohammed Azhar Osman Khairuddin, Nik Faisal Ariff Kamil, Datuk Che Abdullah @ Rashidi Che Omar, Datuk Shahrol Azral Ibrahim Halmi, and Tan Sri Ismee Ismail in May 2021.
However, it later removed six names from the suit but retained Najib as the defendant.
Additionally, Najib has brought the former named SRC International directors as third-party respondents.
SRC as a plaintiff in the writ of summons had alleged that Najib had abused his power and obtained personal benefits from SRC International’s funds as well as misappropriated the funds. Najib was SRC’s Emeritus Adviser from May 1, 2012, until March 4, 2019.
SRC International, which is now wholly owned by the Ministry of Finance Incorporated (MoF Inc), is seeking general damages, exemplary, additional interest, costs and other appropriate relief provided by the court.
SRC International is currently seeking a declaration from the court that Naijib is liable to account for the company’s losses due to his breach of duties and trust.
The company is also seeking an order that Najib pay the US$1.18 billion in losses it suffered, and damages for breach of duties and trust; including an order that Najib compensate the sum of US$120 million which entered his bank account as well.
