I was fearful of snubbing Najib, says former 1MDB CEO

 

1MDB TRIAL | Former 1MDB chief executive officer (CEO) Mohd Hazem Abdul Rahman testified at the Kuala Lumpur High Court today that he was fearful of snubbing then prime minister Najib Abdul Razak.

While answering a question from lead defence counsel Muhammad Shafee Abdullah, the 10th prosecution witness at Najib's RM2.28 billion 1MDB corruption trial said that he went along with the alleged criminality that took place in the troubled sovereign wealth fund.

Shafee asked Hazem why he continued as the chief operating officer (COO) and later CEO of 1MDB for two and a half years until 2015 despite knowing that 1MDB was allegedly a vehicle to benefit Umno.

On Jan 6, Hazem testified that wanted businessperson Low Taek Jho told him that 1MDB was established to funnel money to companies linked to Umno.

The witness claimed that funds from 1MDB were used to help contractors associated with the political party in the 1MDB-linked Tun Razak Exchange (TRX) mega project.

He was testifying further on a portion of his written witness statement where he claimed Low told him that 1MDB was established to help fund Umno.

Former premier Najib Abdul Razak

During today's cross-examination by Shafee, Hazem admitted knowing that he went into 1MDB in 2012 as COO with his eyes wide open and aware that the whole matter was allegedly wrong.

Shafee: You were going to be a participant in an (alleged) criminal act?

Hazem: Yes.

Shafee: You were okay with that?

Hazem: At the time, I was fearful of snubbing the prime minister (Najib), because I heard my CV had been minuted.

Shafee: But you left after two and a half years.

Hazem: I put in my resignation in the first week of January 2015.

Shafee: You were not fearful of snubbing the prime minister then (by tendering resignation)?

Hazem: At the time, I had reached the limit where I thought I had to go.

Shafee: You hit the limit of (alleged) criminality you participated in?

Hazem: Yes.

However, during questioning by Shafee, Hazem conceded that during his tenure at 1MDB, he saw no evidence of benefit or money from 1MDB going to either Umno or its former party president Najib.

The witness disagreed with Shafee's contention that the former tolerated his two and a half years at 1MDB as part of the alleged criminal activity taking place there.

Hazem conceded to Shafee's contention that in spite of being fearful of snubbing Najib, the witness still received a bonus of RM2.725 million upon his resignation as 1MDB CEO.

The trial before Kuala Lumpur High Court judge Collin Lawrence Sequerah would resume tomorrow morning.

Najib is on trial for four counts of abuse of power and 21 counts of money laundering involving RM2.28 billion of 1MDB's funds.

Aside from being the former prime minister, the accused was also finance minister and chairperson of the board of advisors of 1MDB at the time.

1MDB is fully owned by the Minister of Finance Incorporated (MOF Inc). - Mkini