KUALA LUMPUR (Sept 18): An entity known as “Prince Faisal” from the Kingdom of Saudi Arabia transferred US$20 million (approx RM60.6 million at the time) of 1MDB money to former prime minister Datuk Seri Najib Abdul Razak’s private AmBank accounts in 2011, a Bank Negara Malaysia (BNM) analyst affirmed at the High Court on Monday.

The monies, which were transferred from a Riyad Bank account, originated from the bank account of Jho Low-linked Seychelles shell company Good Star Ltd, said Adam Ariff Mohd Roslan, who is the prosecution’s 47th witness in the 1MDB-Tanore trial.

The monies were transferred in two tranches of US$10 million each on February 24, 2011 and June 14, 2011, the analyst testified.

At the trial, Adam testified that the money was part of the US$24.5 million which was transferred from Good Star to Riyad Bank.

Based on the instruction letters from Good Star regarding the transfer of money, the Riyad Bank account which had transferred the money to Najib’s AmBank account ending “694” was held under the names “HRH Prince Faisal bin Turki Al-Saud / HRH Prince Saud bin Abdulaziz Al-Saud”.

"Based on the proximity between the dates that Good Star sent the funds to the Riyad Bank account and the dates the Riyad Bank account sent funds to the AmPrivate Banking–MR account, as well as the proximity of the value of funds sent to the Riyad Bank account and the value of funds it transferred to the AmPrivate Banking–MR account, it is reasonably believed that the Riyad Bank account was used as a pass through account to transfer monies from Good Star, originated from the subject matter," the witness testified.

A sum of US$700 million of 1MDB money was diverted to Good Star, which in turn was part of US$1 billion 1MDB had raised to go into a joint venture with Petro Saudi Ltd.

The US$1 billion was to be paid into the account of the joint venture company, to represent 1MDB’s contribution for its 40% stake. PetroSaudi International was to take up the remaining 60% by injecting certain assets into the JV.

In the opening statement at the start of the trial in 2019, the prosecution said that it would prove that out of the US$1 billion, US$700 million was diverted into Good Star’s account, which in truth had nothing whatsoever to do with the joint venture.

Good Star was incorporated in the Seychelles on May 18, 2009 — five months before the signing of the 1MDB-PetroSaudi JV.

Adam went on to testify that Good Star also received another US$110 million from another drawdown 1MDB had made with AmBank. In total, Good Star had received US$810 million from 2009-2011, Adam said.

According to Adam, 1MDB requested to draw down RM715 million from AmBank in March 2011. On the same day of the disbursement on March 14, 1MDB bought US$110 million (RM335.12 million equivalent) from Deutsche Bank Malaysia, and instructed Deutsche Bank to transfer the funds to Good Star’s account at RBS Coutts Bank. 

Adam went on to testify that between Sept 30, 2009 and June 10, 2011 (cut-off period), account no 11116073 held by Good Star in Coutts recorded only six external incoming payments, which include four transfers from 1MDB, as well as two transfers from Tarek Obaid.

The four transfers amounted to US$905 million and the two Tarek Obaid transfers amounted to 91 million Swiss francs.

The witness continues his testimony before Justice Datuk Collin Lawrence Sequerah on Tuesday.

Najib is on trial on four counts of abuse of power and 21 counts of money laundering involving RM2.28 billion of 1MDB funds. He is the only accused in the 1MDB-Tanore trial.

The Edge is covering the trial live here.

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