1MDB case: High Court dismisses Najib's 'Saudi donation' defence

PUTRAJAYA (Dec 26): The trial judge in Datuk Seri Najib Tun Razak’s RM2.3 billion 1MDB case found no merit in the former prime minister’s defence that the funds were a political donation from the Saudi royal family.

The court found this claim unsustainable as the monies were deposited directly into his personal accounts.

This finding was delivered by former High Court Judge Datuk Collin Lawrence Sequerah, who has since been elevated to the Federal Court, as he read his judgment in the case.

In his verdict, Justice Sequerah noted that neither the government nor any political party had issued any receipts to acknowledge the purported donation.

“There is also no evidence of any formal acknowledgment by the government or any political party to the purported donor, nor by the accused himself. Additionally, the alleged Arab donation letter was addressed to the accused’s private residence rather than to any official or party address,” the judge noted.

He added that no official record, minute, or evidence existed to document the alleged donation or to link the purported donor to any legitimate political activity.

Justice Sequerah found it untenable that a sum of this magnitude could be deposited into a personal account without proper, transparent accounting.

“At the time, the political party headed by the accused was UMNO, Malaysia’s largest political party, with roots dating back to 1946. It is inconceivable that a person in the position of Prime Minister would not maintain proper accounting records for an organised party supposedly receiving such significant sums,” he said.

He further clarified that even if the funds were intended as a political donation, it would not legitimise their receipt or use if the source was illegal.

“The court emphasised that the purpose for which the funds were utilised is critical, regardless of the claimed intent of a donation.

“Finally, even if the funds were meant for a political donation, which, in any event, is found to be without merit, this does not in any way serve to legitimise the use of the funds if they originated from illegal sources, as the purpose for which the funds were utilised would not be relevant.

“In light of this, the accused’s contention that the monies received were meant for political donations is untenable,” the judge held.

At press time, Justice Sequerah was still reading his judgment and indicated that he would take approximately another three hours to complete it.

The court is now adjourned for Friday prayers and will resume at 3 pm.

Najib, 72, faces four charges of using his position to obtain RM2.3 billion in bribes from 1MDB funds through the AmIslamic Bank Berhad branch on Jalan Raja Chulan between Feb 24, 2011, and Dec 19, 2014.

These charges were brought under Section 23(1) of the Malaysian Anti-Corruption Commission (MACC) Act, which carries up to 20 years imprisonment and a fine of either five times the amount of the bribe or RM10,000, whichever is higher, upon conviction.

As for the additional 21 counts of money laundering, he is accused of committing the offences at the same bank between March 22, 2013, and Aug 30, 2013.

These charges were framed under Section 4(1)(a) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001, which carries a maximum penalty of five years’ imprisonment, a fine of up to RM5 million, or both, upon conviction. – Bernama