Najib's role in SRC limited to approval, veto powers, court told

 

Former premier Najib Abdul Razak told the Kuala Lumpur High Court today that his role in SRC International Sdn Bhd (SRC) was limited to giving approval and using veto powers, and he did not start any appointments or amendments in the company.

Najib, 72, said he merely approved the appointment of board members presented to him and was not involved in proposing or selecting candidates.

He said that when he was referred to a letter dated Aug 1, 2011, which showed his approval of the appointments of Ismee Ismail, Suboh Yassin, Che Abdullah @ Rashidi Che Omar, Shahrol Azral Ibrahim Halmi and Nik Faisal Ariff Kamil as members of the SRC board of directors.

“I am exercising my veto power under Article 67 of the SRC Memorandum and Articles of Association (M&A), but I did not initiate them (the appointment of directors),” Najib said under cross-examination by SRC counsel Kwan Will Sen in the RM42 million civil suit filed by SRC and its subsidiary, Gandingan Mentari Sdn Bhd, against him.

To a question by Kwan whether he was able to show the evidence that the director's appointment was not initiated by him, Najib answered in the negative.

“I cannot show you anything as such; however, I can testify that I did not know some of these individuals (directors) personally.

“They (management) have to source and name who they want (as the directors). I get to make the final call,” he said while adding that he was not familiar with Nik Faisal, but he was recommended by the management because he was suitably qualified.

No control over board

When it was suggested that approving all five directors effectively meant he controlled the board, Najib disagreed, saying the power to reject a proposal was not the same as making one.

The former Pekan MP also rejected the suggestion that his position allowed him to direct SRC’s affairs, insisting that management decisions were made independently by the company.

The suit, which was filed in 2021, involves SRC and Gandingan Mentari seeking a declaration that Najib is liable to them for the receipt of RM42 million, as well as damages for knowing receipt, dishonest assistance, the tort of misfeasance and abuse of power.

SRC previously removed six of its directors from the lawsuit, including Ismee, Suboh and Shahrol, retaining Najib as the sole defendant, but the High Court later granted Najib permission to issue third-party notices against them.

The hearing before judge Raja Ahmad Mohzanuddin Shah Raja Mohzan continues on Jan 21.

- Bernama