BNM recommended 1MDB ex-CEO, 2 others to be charged: Zeti

Former Bank Negara Malaysia governor Zeti Akhtar Aziz revealed that the central bank in 2015 recommended the Attorney-General's Chambers (AGC) to charge former 1MDB CEO Shahrol Azral Ibrahim Halmi and two other former 1MDB executives.

The 46th prosecution witness told the court that the other two were the troubled Malaysian sovereign wealth fund’s former directors Casey Tang and Nik Faisal Ariff Kamil.

She said this in her testimony during the RM2.28 billion 1MDB corruption trial against former prime minister Najib Abdul Razak.

Previously, she testified that despite the central bank recommending several 1MDB-linked individuals to be charged, then attorney-general Mohamed Apandi Ali did not do so.

During cross-examination by lead defence counsel Muhammad Shafee Abdullah, Zeti revealed for the first time the individual’s identity that Bank Negara had recommended for prosecution by AGC.

Shafee: I am quite happy to note that you (as then governor of Bank Negara) had recommended a few individuals to be charged (over incidents of embezzlement at 1MDB). Who are they?

Zeti: Shahrol the (1MDB) CEO, Casey Tang, and Nik Faisal, these are the three.

Shafee: You recommended Nik Faisal was in 1MDB and he played a role?

Zeti: Yes.

Shafee: This request (by Bank Negara) was made to (then) AG (Apandi).

Zeti: Yes.

Shafee: He did not charge these people?

Zeti: No.

Joint venture

Shahrol previously testified for the prosecution in the present 1MDB graft case against Najib.

Tang and Nik Faisal remained at large and are still being sought by Malaysian authorities to assist in the 1MDB investigation.

When Shafee asked whether Zeti had ever found any evidence of wrongdoing by Najib in the 1MDB matter during her tenure as governor, she said the accused's role was over him getting the cabinet to issue a government guarantee for the financing for the fund's joint venture with Petrosaudi International Limited.

However, she conceded while under the lawyer's grilling that she has no knowledge of whether Najib was involved in the wrongful diversion of US$700 million out of US$1 billion of 1MDB's funds meant for the joint venture.

It was reported that this US$700 million was diverted to Good Star Limited, an offshore entity incorporated in Seychelles and allegedly linked to Low Taek Jho (Jho Low), a fugitive businessperson purported to play a major role in the 1MDB affair.

The trial before judge Collin Lawrence Sequerah at the Kuala Lumpur High Court continues this afternoon as well as tomorrow, Thursday and Friday this week.

Former finance minister Najib is facing four counts of abuse of power and 21 counts of money laundering involving RM2.28 billion from 1MDB, a Malaysian sovereign wealth fund wholly owned by the Minister of Finance Incorporated (MOF Inc).

For the four abuse of power charges, the former Pekan MP is alleged to have committed the offences at AmIslamic Bank Bhd’s Jalan Raja Chulan branch in Bukit Ceylon, Kuala Lumpur, between February 24, 2011, and December 19, 2014.

On the 21 money laundering counts, the accused is purported to have committed the offences at the same bank between March 22, 2013, and Aug 30, 2013.

1MDB is a fully owned entity of MOF Inc. - Mkini