KUALA LUMPUR – Former prime minister Datuk Seri Najib Razak had used SRC International Sdn Bhd as a vehicle to manipulate RM4 billion loan procurement from the Retirement Fund Inc (KWAP), the high court here heard today.
SRC International’s lawyer Datuk Lim Chee Wee claimed that the loan was one of the ways for Najib to enrich himself with US$120 million (approximately RM567 million in today’s exchange rate), which ultimately caused a US$1.18 billion loss to the people.
He also claimed that Najib wielded his authority over SRC – a former subsidiary of 1Malaysia Development Bhd (1MDB) – resulting in harm and injury to the company, which was initially established with the public interest in mind.
“In Najib’s own words, he said SRC International has been established with the purpose as ‘a pillar to long-term sustainable economic development of Malaysia for the rakyat’.
“However, SRC International has become a vehicle-victim of a large-scale, multi-jurisdictional fraud orchestrated by Najib, (where) his abuse of power cuts across and is present in the various causes of action and claims levelled against him,” he said in his opening statement in the US$1.18 billion suit by SRC International against Najib today.
Also named in the suit as defendant is SRC International’s former chief executive officer Nik Faisal Ariff Kamil.
Lim also submitted that his party will prove that Najib abused his power and authority as a public officer, with full knowledge of the crime, and being recklessly indifferent to the limit of his powers.
“We will also demonstrate that Najib, by his actions and omissions, had intended to harm SRC with malice intent as well as the knowledge of probability that it will cause harm to SRC and was recklessly indifferent to such harm being caused.”
He said the plaintiff, SRC International, will prove that Najib had abused his role as the prime minister and finance minister to expedite the approvals for the KWAP loans.
SRC International filed the suit in May 2021, where it claimed Najib had committed breach of trust, and power abuse as well as personally benefited from the company’s funds, and that he had misappropriated the said funds.
The company sought general, exemplary, and additional damages, as well as interest, costs and other appropriate relief provided by the court.
They also sought a court’s declaration that Najib is responsible for the company’s losses due to his breach of duties and trusts, and that they demand for Najib to pay back the RM42 million in losses that they have suffered.
Najib, 71, is currently serving his jail sentence after for misappropriating SRC International funds amounting to RM42 million – March 5, 2024