Ex-minister bypassed officers for release of RM64 million, witness says in Rosmah trial

Rosmah Mansor has been accused of corruption and bribery in connection with a solar panel project for Sarawak schools. (Bernama pic)

KUALA LUMPUR: A witness in Rosmah Mansor’s corruption trial told the court today that former education minister Mahdzir Khalid wrote to Najib Razak without the knowledge of his officers to waive all procedures for an interim payment to the contractor tasked with delivering the solar panel project for Sarawak schools.

Former ministry asset procurement and management department secretary Kamarudin Abdullah said Mahdzir wrote a letter to Najib in the latter’s capacity as finance minister on July 19, 2017, to allow for an exemption to release about RM64 million to Jepak Holdings Sdn Bhd.

“He (Mahdzir) wrote the letter by bypassing my department,” Kamarudin said when cross-examined by Azrul Zulkifli Stork.

The money was for Jepak to supply diesel to the affected schools in Sarawak pending the completion of the solar hybrid project.

Kamarudin, who is the 10th prosecution witness, said the money needed to be released, otherwise the schools would be “in darkness”.

He also said the ministry had not followed procedure in awarding the RM1.25 billion solar hybrid project via direct negotiation on June 20, 2017.

“Jepak did not provide documentation or its financial position for our assessment after the letter of acceptance (LOA) was issued,” he said.

Kamarudin said a LOA was also issued without a technical committee that should have included a Public Works Department meeting to conduct a valuation of the project.

He added that two LOAs were issued to Jepak, one of which excluded a clause that the government could revoke the contract and take over the project in the event of a breach.

“I prepared the LOA without the clause on the instruction of Mahdzir. He instructed me to just remove the clause,” he said.

Kamarudin said such a clause in a LOA could only be removed by the finance ministry.

“If Jepak breached the contract, we could not do anything about it,” he added.

Rosmah, who is Najib’s wife, is facing three counts of corruption for allegedly soliciting RM187.5 million from Jepak’s managing director and majority shareholder Saidi Abang Samsudin as an inducement to help the company secure the solar hybrid project in 369 schools in Sarawak.

She is also accused of receiving bribes amounting to RM6.5 million from Saidi between 2016 and 2017.

The hearing continues before Mohamed Zaini Mazlan. - FMT