PUTRAJAYA — Datuk Seri Najib Razak has withdrawn his appeal to lift a Mareva injunction obtained by 1Malaysia Development Bhd (1MDB) and its subsidiaries to prevent him from dissipating assets valued at up to US$681 million.
His lawyer, Muhammad Farhan Muhammad Shafee, informed a three-judge panel of the Court of Appeal today of the withdrawal, saying the matter has become academic.
A Mareva injunction is an order that prevents someone from disposing of property pending the outcome or completion of a legal action.
Lawyer Khoo Guan Huat, who appeared with Siva Kumar Kanagasabai for 1MDB and its four subsidiaries — 1MDB Energy Holdings Ltd, 1MDB Energy Ltd, 1MDB Energy (Langat) Ltd and Global Diversified Investment Company Ltd — requested for RM30,000 in legal costs as agreed by parties involved in the appeal.
Judge Datuk Lee Swee Seng, sitting with Datuk Azman Abdullah and Datuk Dr Choo Kah Sing, subsequently struck out the appeal and awarded RM30,000 in costs to 1MDB and its subsidiaries.
The government, through 1MDB and its subsidiary companies, filed a lawsuit in May 2021 against the former prime minister and 14 others, alleging fraudulent misrepresentations, breach of duties, breach of statutory duties and unjust enrichment.
Initially, 15 individuals, including Najib, were named as defendants. However, proceedings were discontinued against seven of them, namely former 1MDB chief executive officers Mohd Hazem Abdul Rahman and Shahrol Azral Ibrahim Halmi, former directors Che Lodin Wok Kamaruddin, Ismee Ismail, Ong Gim Huat and Ashvin Jethanand Valiram and former chief financial officer Azmi Tahir.
Apart from Najib, the other defendants who remain parties to the suit are Loo Ai Swan, also known as Jasmine Loo, Tang Keng Chee, Geh Choh Heng, Vincent Koh, Nik Faisal Ariff Kamil, Kelvin Tan and Radhi Mohamad.
In 2022, 1MDB secured the injunction against Najib or his agents, freezing his assets in connection with its US$681 million claim against him before the determination of the civil suit.
The court order, however, allowed Najib to withdraw RM100,000 every month for daily expenses and legal fees. Should Najib require more funds, he must obtain written permission from the lawyers representing 1MDB and its subsidiaries.
On Sept 27 last year, the High Court upheld the injunction following an inter parte hearing. Najib appealed this decision to the Court of Appeal and the hearing was scheduled today.
Meanwhile, the lawsuit is scheduled for trial for five days beginning on July 24 next year. – October 15, 2024