High Court judge finds Najib Razak had direct interest in 1MDB since its Terengganu Investment Authority days, contradicting his defence of being misled
PUTRAJAYA: The High Court ruled that Datuk Seri Najib Tun Razak had a direct interest in 1Malaysia Development Berhad (1MDB) from its inception as the Terengganu Investment Authority (TIA).
Trial judge Datuk Collin Lawrence Sequerah said evidence showed Najib’s obvious interest in the organisation, contradicting his defence that he was a misled public servant.
The judge cited testimony from Najib’s former aide about a message from fugitive businessman Jho Low regarding a TIA meeting.
“This shows the obvious interest of the accused with the organisation in relation to the first charge,” said Sequerah, who is now a Federal Court judge.
Najib had testified the charges were politically motivated and that he had no personal interest in 1MDB ventures.
He claimed to believe funds credited to his accounts were Arab donations, a central part of his defence.
The first charge alleges Najib used his positions as prime minister and finance minister to obtain gratification totalling RM60.6 million.
It involves four actions between February and June 2011 at an AmIslamic Bank branch in Kuala Lumpur.
The charge states Najib obtained cabinet approval on April 1, 2009, for the government to guarantee up to RM5 billion in loans for TIA.
On the second charge, the judge held Najib’s signature was pivotal in issuing a US$1.75 billion bond for 1MDB.
Najib testified he did not sign the bond approval document, relying on evidence from a handwriting expert.
“The defence had never attempted to dispute the authenticity of the documents,” Judge Sequerah said.
He noted the dispute arose later at the defence stage, which he construed as an afterthought.
The judge said the comparative examination returned an inconclusive opinion that did not substantiate Najib’s contention.
TIA was incorporated in February 2009 as Terengganu’s state investment arm before being taken over by the Finance Ministry in July 2009.
It was renamed 1MDB on September 25, 2009.
