`


THERE IS NO GOD EXCEPT ALLAH
read:
MALAYSIA Tanah Tumpah Darahku

LOVE MALAYSIA!!!


 


Tuesday, June 18, 2019

NAJIB TRIAL : Day 27: I would've alerted AGC if I'd known Najib was SRC adviser - witness



The criminal trial of former prime minister Najib Abdul Razak involving the alleged misappropriation of funds from SRC International Sdn Bhd enters its 27th day today at the High Court in Kuala Lumpur.
Malaysiakini brings you live reports of the proceedings.

Summary of Najib’s SRC RM42 million case

Najib is facing 7 charges relating to RM42m involving SRC International, a former 1MDB subsidiary.

KEY HIGHLIGHTS
  • Witness: I would've alerted AGC if I'd known Najib was SRC adviser
  • Cabinet also committed to gov't guarantee for second RM2b loan sans discussion
  • Cabinet committed to gov't guarantee for RM2b loan without discussion
  • Witness: If SRC board didn't listen to Najib, we would be removed
  • Are you asking about J Lo or Jho Low, witness asks DPP
  • SRC not compelled to follow Najib's advice, witness agrees
  • SRC finance head may have misled CEO on audit submission - witness
  • Witness: In hindsight, I wouldn't have joined SRC board
  • Rosmah leaves court after prosecution questions presence
  • SRC ex-CEO had 'a good family background'

Witness: I would've alerted AGC if I'd known Najib was SRC adviser
4pm - Retired cabinet deputy secretary-general Mazidah Abdul Majid testifies that, if she had known that then premier Najib Abdul Razak was adviser emeritus to SRC International, she would have raised concerns about potential conflicts of interest with the Attorney-General's Chambers (AGC).
During cross-examination by Najib's lead defence counsel Muhammad Shafee Abdullah, the 40th witness says this is what she would have done if she had known about Najib's involvement with SRC International when the cabinet approved a government guarantee for an RM2 billion loan to the company in 2011.
SRC International was granted a first loan of RM2 billion from the Retirement Fund Incorporated (KWAP) in Aug 2011, and a second loan of the same amount in March 2012.
Earlier today, Mazidah testified that, in meetings chaired by then prime minister Najib in Aug 2011 and Feb 2012, members of the cabinet then had approved a government guarantee for each loan.
She had told the court that the cabinet ministers present at the time did not discuss the proposed government guarantee before it was approved.
"If it was brought to me that he (Najib) was adviser emeritus and (there were) any potential conflicts of interest, I would have referred the matter to the AGC," she tells Shafee.

Cabinet also committed to gov't guarantee for second RM2b loan sans discussion
2.45pm - Retired cabinet deputy secretary-general Mazidah Abdul Majid testifies that the cabinet passed a resolution to provide a government guarantee for a second tranche of an RM2 billion loan from Retirement Fund Incorporated (KWAP) to SRC International without any discussion by ministers present.
During examination-in-chief by DPP Muhammad Izzat Fauzan, the 40th witness says that the resolution was approved without discussion during the Feb 8, 2012 cabinet meeting chaired by then prime minister and finance minister Najib Abdul Razak.
"There was no discussion during the cabinet meeting (which took place on Feb 8, 2012).
"If there had been a discussion, the minutes would mention it," Mazidah testifies.
SRC International was granted a loan totalling RM4 billion from KWAP.
The first tranche of RM2 billion was granted in August 2011, and the second tranche of RM2 billion was granted in March 2012.
As then finance minister, Najib headed the Minister of Finance Incorporated (MoF Inc).
At the time of the loans, SRC was a subsidiary of 1MDB, which in turn was owned by MoF Inc.
Mazidah testifies that among ministers present at the cabinet meeting were then deputy prime minister Muhyiddin Yassin; then home minister Hishammuddin Hussein; then information, communications and culture minister Rais Yatim; then minister in prime minister's department Nor Mohamed Yakcop; then rural and regional development minister Mohd Shafie Apdal; and then international trade and industry minister Mustapa Mohamed.
Other ministers present were then defence minister Ahmad Zahid Hamidi, then health minister Liow Tiong Lai and then human resources minister S Subramaniam. 

2.40pm - Proceedings resume with the examination-in-chief of the 40th witness, retired cabinet deputy secretary-general Mazidah Abdul Majid.
1pm - Proceedings break for lunch, and are expected to resume at 2.30pm this afternoon.

Cabinet committed to gov't guarantee for RM2b loan without discussion
12.45pm - The court moves on to the next witness, former cabinet deputy secretary-general Mazidah Abdul Majid.
She testifies that, at a meeting in 2011, the cabinet passed a resolution to provide a government guarantee for SRC International to secure a RM2 billion loan without any discussion by ministers in attendance.
Furthermore, she states the minutes of the cabinet meeting did not show that any discussion had taken place regarding the matter.
The cabinet meeting was held on Aug 17, 2011, and was chaired by then premier and finance minister Najib Abdul Razak.
According to Mazidah, a memorandum had been received from the Finance Ministry.
The memorandum was meant for the cabinet to discuss a guarantee for SRC International to acquire a RM2 billion loan from market sources or domestic financial institutions, in order to finance its activities in the natural resources sector.
Apart from this, the memorandum was meant to secure tax exemptions for SRC International, and for then prime minister Najib Abdul Razak to be given the power to determine the terms and conditions of the loan.
"There was no discussion by the cabinet (regarding the memorandum), because if there were any, it would appear in the meeting's minutes.
"Such a note does not exist in these minutes," she says.

Witness: If SRC board didn't listen to Najib, we would be removed
12.15pm - Members of SRC International's board of directors only had two options if they refused to abide by minutes containing advice from then prime minister Najib Abdul Razak - resign, or be removed.
This is revealed by the former 1MDB subsidiary's chairperson Ismee Ismail during re-examination by DPP Ishak Mohd Yusoff.
Ishak: What would have happened if the board did not abide by the minutes?
Ismee: It is hypothetical now. Either (the members of the board of directors would have to) step down or we would be removed.
In earlier testimony, the court heard that then finance minister Najib was the advisor emeritus of SRC International.
In accordance with Article 117 of the company's Memorandum and Articles of Association, Najib's advice on material and strategic matters regarding the company had to be seriously considered and implemented by the board. 

Are you asking about J Lo or Jho Low, witness asks DPP
11.10am - Those present at the SRC International trial in Kuala Lumpur High Court are in stitches when DPP V Sithambaram repeatedly refers to 1MDB-linked businessperson Low Taek Jho (below) as "J Lo" instead of "Jho Low".
This prompts lead defence counsel Muhammad Shafee Abdullah to tell Sithambaram that he is supposed to be referring to Jho Low.
J Lo is most commonly known as a nickname for American singer Jennifer Lopez.
However, it appears that Sithambaram initially does not realise his mistake as he goes on to defend his reference to Low while re-examining witness Ismee Ismail.
Sithambaram: My learned friend (defence counsel) Harvinderjit (Singh) yesterday asked you some questions, and I want to ask you again just to clarify. He asked you whether Jerome Lee, Terrence Geh and Nik Faisal were close associates of J Lo. And you say now you know that they are (close associates)?
Ismee: Yes, yes.
Sithambaram: What was the designation of Datuk Seri Najib Abdul Razak in 1MDB?
Ismee: (He was the) chairperson of 1MDB's board of advisers.
Sithambaram: What was the post (or) position of J Lo in 1MDB's board of director?
Ismee: No position in 1MDB.
Sithambaram: I want to ask the same question as Harvinderjit. From what you know, is Najib a close associate of J Lo?
Ismee: I wouldn't know.
This prompts Shafee to correct Sithambaram.
Shafee: It's Jho Low.
Sithambaram: Yes, J Lo.
The DPP's reply then causes many in the courtroom to burst into laughter, before the witness Ismee, who is former chairperson of SRC International, also chimes in.
Ismee: You asked (me) about J Lo or Jho Low?

SRC not compelled to follow Najib's advice, witness agrees
10.22am - Former SRC International chairperson Ismee Ismail agrees with the defence that Article 117 of SRC International's Memorandum and Articles of Association does not compel the company's board to follow then prime minister and advisor emeritus to the company Najib Abdul Razak's advice on how the company is managed.
During cross-examination by lawyer Muhammad Shafee Abdullah, the 39th witness agrees that this differs from Section 3 of the Petroleum Development Act 1974, whereby Petronas is subject to the control and direction of the prime minister.
Shafee: Referring to Article 117, whereby the prime minister was appointed as advisor emeritus, (with regard to) the prime minister's advice, the board shall give consideration and implement any advice in the best interests of the company.
This is different from Section 3, which is a mandatory direction (from the prime minister on Petronas).
Article 117 is still (in line) with the Companies Act, (to act) in the best interests of the company.
Ismee: Yes.
Ismee also says that while he was SRC chairperson, he saw nothing wrong with following Najib's advice, as represented by then company CEO Nik Faisal Ariff Kamil, as it was perceived to be in the best interests of the company.

SRC finance head may have misled CEO on audit submission - witness
10am - SRC International's former CEO Nik Faisal Ariff Kamil might have been misled by its then finance director Terrence Geh about the submission of the company's audited financial report for 2013, the High Court hears.
The prosecution's 39th witness Ismee Ismail tells the court that this could also be the case why the board was misled into believing that the report had been submitted to the Companies Commission.
Ismee, who was the company's chairperson, gives this testimony during cross-examination by lead defence lawyer Muhammad Shafee Abdullah (below).
Shafee: Now Tan Sri, this is important, I hope you don't get uncomfortable. The court will decide on Najib's fate. (Defence lawyer) Harvinderjit Singh has taken you on in several instances. Do you believe - when Nik Faisal says this audited account, it was inadvertent, when he falsely reported to the board that the audited account had been submitted - would you believe him?
Ismee: What I can recall, what I believe then, is that he may have also been misrepresented by Terrence who prepared the account.
Shafee: Terrence, what is his full name?
Ismee: Terrence Geh.

Witness: In hindsight, I wouldn't have joined SRC board
9.50am - Prosecution witness Ismee Ismail (below) tells the High Court that he would not have accepted the appointment to become SRC International Sdn Bhd's board member if he had known about issues of dishonesty concerning the former 1MDB subsidiary's CEO Nik Faisal Ariff Kamil then.
This testimony comes from Ismee after he agrees with defence lawyer Muhammad Shafee Abdullah that he has a different view of Nik Faisal today.
Shafee: Do you agree with me that the honesty of the CEO, in this case Nik Faisal, is of the utmost importance for the board to function?
Ismee: Yes.
Shafee: He must be candid, (engage in) full disclosure, and be honest for the board to make decisions?
Ismee: Yes.
Shafee: You have no difficulty with the board. But trusting Nik Faisal..you had no issue trusting him at the time?
Ismee: No.
Shafee: It's accurate to say that today you have a different view of Nik Faisal, after much exposure. We have showed you documents, proof?
Ismee: Yes.
Shafee: With the benefit of hindsight, if you had known then (what you know now), you would be more careful?
Ismee: I would not have accepted the appointment (to SRC International's board of directors), even.
Shafee: Why?
Ismee: Why should I?
Shafee: You must have a reason.
IsmeeSusah nak percaya (It would be hard to trust).
Shafee: The board can't function (without the honesty of the CEO)?
Ismee: Yes.

Rosmah leaves court after prosecution questions presence
9.38am - Najib Abdul Razak's wife Rosmah Mansor exits the court after DPP V Sithambaram raises the question of whether it is proper for her to be in the same court as her husband, as she is a potential witness in the case.
She is seen standing up from the front row of the public gallery and leaving the court together with her lawyer K Kumaraendran.
Immediately prior to that, Sithambaram informs the court that as Rosmah's statement had been recorded, it would be prudent for her not to be in court to avoid future problems.
"Rosmah Mansor is in court. She is a potential witness in this case, her witness statement was recorded.
"We do not wish for any problems later. We do not wish to be seen as being difficult. It is just a matter of procedure," says Sithambaram.
Najib's lawyer Muhammad Shafee Abdullah then informs the court that he will leave it to Kuala Lumpur High Court judge Mohd Nazlan Mohd Ghazali to make a decision on the matter.

Rosmah arrives at court
9.22am - Clad in a red baju kurung, Najib Abdul Razak's wife Rosmah Mansor enters the courtroom.
She takes a seat at the front row of the public gallery, right behind the dock where her husband sits while proceedings are underway.
Najib's lead counsel Muhammad Shafee Abdullah is cross-examining former SRC International chairperson Ismee Ismail.

SRC ex-CEO had 'a good family background'
9.20am - The High Court hears from a witness that former CEO of SRC International Sdn Bhd, Nik Faisal Ariff Kamil, was the grandson of former Kelantan Menteri Besar and Dewan Rakyat Speaker, Nik Ahmad Kamil.
The mention of Nik Faisal's lineage comes about during the cross-examination of Ismee Ismail, who is the company's former chairperson, when defence lawyer Muhammad Shafee Abdullah questions Ismee about the qualifications of those who sat on SRC International's board of directors.
While testifying that he does not know who appointed Nik Faisal as CEO and managing director of the company, Ismee agrees to Shafee's suggestion that Nik Faisal came from a good background and possessed good qualifications.
Shafee: Do you know how Nik Faisal was appointed?
Ismee: To SRC? No idea.
Shafee: You didn't try to find out?
Ismee: No.
Shafee: He was a young man. How old was he?
Ismee: If you ask me to guess... I never thought of asking (about) his age. I think he was 46.
Shafee: So he should be more than 46 now. How old are you?
Ismee: 54.
Shafee: (Do you know) Nik Faisal's family background and so on?
Ismee: Who was his late grandfather... if I'm not mistaken, his (Nik Faisal's) grandfather was former speaker or Kelantan MB.
Shafee: So his late grandfather Nik Kamil was the first Malay speaker (of the Dewan Rakyat)?
Ismee: I think so. He came from a good family background.
Shafee: And Nik Kamil was also former MB of Kelantan?
Ismee: Yes.
Shafee: You would agree he came from a well-regarded family in Kelantan?
Ismee: Yes.
Shafee: And (in) Malaysia?
Ismee: Yes.
Ismee then concurs with a suggestion by Shafee that Nik Faisal was not just someone who was plucked out of nowhere to be SRC International CEO and managing director, as he had good qualifications and came from a good background.

Najib enters the dock
9.07am - Najib Abdul Razak steps into the dock as proceedings begin.
9am - The accused, Najib Abdul Razak, enters court and takes a seat in the front row of the public gallery to await the start of proceedings.
Also seen in court is his lead counsel Muhammad Shafee Abdullah and the defence team, as well as DPP V Sithambaram and others comprising the prosecution team.

Today marks the seventh day that former SRC International chairperson Ismee Ismail will take the stand in former prime minister Najib Abdul Razak’s trial for alleged abuse of power, corruption, and money laundering of RM42 million from SRC International.
When the 27th day of the hearing begins before Kuala Lumpur High Court judge Mohd Nazlan Mohd Ghazali at 9am today, 39th witness Ismee will again face a grilling from Najib’s defence lawyer Harvinderjit Singh.
After Harvinderjit wraps up his cross-examination, Najib’s lead counsel Muhammad Shafee Abdullah is expected to take over the questioning of Ismee, as Harvinderjit informed the judge at the end of yesterday's proceedings.
In the course of the periodically contentious questioning, which saw Harvinderjit and Ismee clash more than once since Tuesday last week, the witness had yielded peeks into the inner workings of SRC International, a former 1MDB subsidiary which became fully owned by the Minister of Finance Incorporated (MoF Inc) in 2012.
Najib, who was then head of MoF Inc, currently faces one count of abuse of power, three counts of graft and three counts of money laundering involving the RM42 million, 
Yesterday, the heated cross-examination by Harvinderjit led to Ismee testifying that SRC International’s board of directors (BOD) had taken then premier Najib to be the equivalent of the government, in relation to the process in approving the company’s application for a loan from Retirement Fund Incorporated (KWAP) involving a second tranche of RM2 billion, among others.
Despite Harvinderjit’s insistence that that Najib was merely part of the larger government machinery, Ismee kept saying that the accused was, for all intents and purposes, the government. 
The witness said this was based on the representation by SRC International’s then chief executive officer Nik Faisal Ariff Kamil to the company’s BOD.
Currently missing and wanted by the authorities to assist in the ongoing 1MDB probe, Nik Faisal has been the target of the defence’s line of cross-examination, with Ismee being bombarded with questions on whether Nik Faisal lied to SRC International’s BOD over several key matters in the financial management of the company.
 -Mkini

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.