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KUALA LUMPUR: Datuk Seri Najib Razak's conduct and actions in multiple instances related to 1Malaysia Development Berhad (1MDB) clearly demonstrated his vested interest in the sovereign wealth fund, the High Court here heard.
DPP Ahmad Akram Gharib said on Wednesday (Oct 2) it is the prosecution's duty to prove Najib’s involvement and personal interest in 1MDB to obtain illicit gains, on the four charges of abuse of power.
He was submitting at the close of the prosecution's case in the trial of the former prime minister, who is accused of misappropriating RM2.3bil in 1MDB funds.
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"One of the earliest key instances where (he was) seen to safeguard his personal interests within the company is the changing of the name from Terengganu Investment Authority (TIA) to 1MDB.
"Najib's special officer Amhari Effendi Nazarudin (the eight prosecution witness) confirmed that the accused wanted TIA to become a special vehicle for strategic investments overseas where fugitive businessman Low Taek Jho or Jho Low would act as a director.
"Not long after TIA was taken over by the Finance Ministry, where the accused was minister at the time, the name was changed to 1MDB on Sept 25, 2009.
"Evidence shows that the accused caused amendments to be made to Articles 117, 68 and 93 of the1MDB Memorandum & Articles of Association to place himself in sole control of important matters concerning the business and affairs of the company," he said.
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Ahmad Akram further submitted that Tan Sri Mohd Bakke Salleh, the former chairman of 1MDB and the 15th prosecution witness, testified that during a board of directors meeting on Sept 26, 2009, Jho Low – who had no official role in 1MDB – handed his phone to Bakke, with Najib on the line.
"The accused instructed the board to firm up a decision to finalise a joint venture with Petrosaudi International amounting to US$1bil despite grappling with a botched RM5bil fundraising exercise from IMTN (Islamic medium-term notes).
"(Bakke) also testified that the accused asked him to forget the past, referring to the IMTN issues.
"He testified that at the point of the phone conversation, the board was still making inquiries regarding IMTN. He also said the decision not to record that phone call in the meeting minutes was to protect the accused," he said.
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Ahmad Akram submitted that during Najib’s tenure, the government expedited the issuance of a government guarantee for a 1MDB subsidiary’s new US$3bil loan in 2013, bypassing proper procedures, as this guarantee was reportedly what Najib had sought.
"The Letter of Support dated March 14, 2013 signed by the accused as finance minister effectively acted as a government guarantee for the US$3bil debt.
"This meant the government had to bear the debt if the 1MDB subsidiary was unable to make repayments.
"The raising of US$3bil in 2013 happened in the blink of an eye and according to former Treasury secretary-general Tan Sri Mohd Irwan Serigar Abdullah (the 42nd prosecution witness), who testified that the accused instructed him to expedite the matter in January 2013, the bond was raised without due diligence and only based on a few sheets of documents supplied by 1MDB," said Ahmad Akram.
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He said Najib also systematically stopped the then second finance minister Datuk Seri Ahmad Husni Hanadzlah from handling 1MDB matters when he silenced the latter's caution to 1MDB by saying: "I am going to go ahead."
"Ahmad Husni, who was the 20th prosecution witness, testified that he had raised his concerns and advised (on) the need to follow protocol.
"He had suggested to Najib that a feasibility study be done to obtain a clear picture (of) the nature of the business, and the risks and liabilities involved.
"It was then that Ahmad Husni realised that his presence and input was not welcomed in matters relating to 1MDB.
"Subsequently, he tried to discuss the Petrosaudi-1MDB joint venture deal, to which the accused firmly responded by stating: 'Husni, (from) today onwards, you don't get involved. I don't want you to interfere in 1MDB'," he said.
Ahmad Akram said this conduct clearly demonstrated that Najib had a vested interest in 1MDB when he excluded Ahmad Husni as the only other person within the Finance Ministry who had any form of influence over the company.
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Najib, 71, faces four charges of abusing his position to obtain RM2.3bil from 1MDB funds at the AmIslamic Bank Berhad branch on Jalan Raja Chulan, Bukit Ceylon here between Feb 24, 2011 and Dec 19, 2014.
He also faces 21 money laundering charges involving the same amount at the same bank between March 22, 2013 and Aug 30, 2013.
Najib is charged under Section 23(1) of the MACC Act 2009 and Section 4(1)(a) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001.
The submission before Justice Datuk Collin Lawrence Sequerah continues. – Bernama
