PUTRAJAYA (Jan 20): Former prime minister Datuk Seri Najib Razak testified in court that he didn't report the purportedly forged signatures on documents related to 1Malaysia Development Bhd (1MDB).

Najib merely mustered a soft and feeble "yes" when confronted by deputy public prosecutor Ahmad Akram Gharib during cross examination on Monday that he had not lodged any police report after previously alluding to the fabrication of his signature implicating him in the multi-billion-dollar scandal.

Najib has cast doubts on the legitimacy of his signature, having brought up the issue in the trial involving SRC International Sdn Bhd, a former subsidiary of 1MDB.

During the trial in 2020, the appointed prosecutor Datuk V Sithambaram asked Najib who would have been bold enough to forge the signature of the head of government. To this, Najib had replied that he wouldn't know.

Najib is currently serving a reduced six-year jail term and a RM50 million fine after being found guilty of seven charges, including abuse of power, criminal breach of trust, and money laundering involving SRC International.

On Monday, the prosecution also revisited the infamous phone call between Najib and former 1MDB chairman Tan Sri Mohd Bakke Salleh on Sept 26, 2009.

Bakke, now chairman of state oil and gas company Petroliam Nasional Bhd, claimed in his witness statement that Najib had then asked him to “forget all the past" troubling 1MDB transactions and to "firm up" the joint venture with Petrosaudi.

Akram questioned whether Najib wanted to see the Petrosaudi deal go through and Najib replied that it was a strategic corroboration of a government-to-government effort between Malaysia and Saudi Arabia.

He agreed with the prosecution that the deal was the first joint venture with 1MDB dubbed Project Aria to acquire a 40% stake in the proposed joint venture company called 1MDB-PetroSaudi Ltd.

When the prosecution showed that Najib signed minutes of representative (MR) for 1MDB, where he was chairman of the board of advisers on Sept 16, 2009, two days before the actual board meeting on Sept 18, 2009, the former prime minister agreed that he had signed it, but disputed the date.

Akram: You signed the MR over Project Aria two days before the 1MDB board meeting where the project was presented.

Najib: The dates on the MR say 16th Sept, 2009, I signed the (MR) document but as you can see the font on the date is different.

The former prime minister claimed 1MDB’s management drafted the MR document, which he was asked to sign.

Akram: As the sole shareholder of 1MDB, you signed the MR and you know 1MDB has RM4.3 billion (raised from the Islamic Medium Term Notes from AmBank) at that time when Jho Low called you and on Sept 26, 2009, in the board meeting you told the board on how to use that fund. I put it that you know there was the fund?

Najib: I was not concerned over the expenditure, I was more concerned over the partnership.

The prosecution suggested that from the former PM’s answer and Jho Low making a representation on behalf of Prince Turki for Petrosaudi, it would appear as if Najib agreed without hesitation and encouraged the board to go ahead with the deal.

Najib said he wanted the board to make an informed decision and include due diligence to ensure the joint venture was a success.

Akram: Isn’t the deal going to be a very serious matter?

Najib: Yes

Akram: You assumed a lot of things where Jho Low would be briefing the board over strategic bilateral deals, and asked the board to make an informed decision via the presentations that Jho Low is going to make on behalf of Prince Turki. Do you believe Jho Low?

Najib: I wanted him to present it to the board and make a representation of PSI because Prince Turki was not there.

The former prime minister said he viewed the deal to be important at that time as Prince Turki was seen as representing King Abdullah of Saudi Arabia and the board had invited Prince Turki there though he was not able to make it to the meeting.

The board then invited Jho Low to be present on behalf of Prince Turki at the Sept 26, 2009 board meeting, Najib explained.

Akram pointed out the contrast with Najib’s defence testimony that only referred to the government-to-government interests while omitting other points. The former PM denied he had instructed Bakke or the board to push ahead with the joint venture.

When Najib was further pressed about advocating for the deal, he shifted the responsibility to 1MDB’s management, board and even its solicitors, Wong & Partners, citing their fiduciary duty.

1MDB eventually signed on the deal with Petrosaudi, paying US$1 billion for a 40% stake in the joint venture company 1MDB PetroSaudi Ltd. It was established that the joint venture only received about US$300 million while US$700 million made its way to Good Star Ltd, controlled by Jho Low.

On Monday, Akram also indicated that the prosecution will be wrapping up its cross examination on Tuesday. Following this, the defence will re-examine Najib and the ex-PM will be released from the witness stand.

In this trial, Najib faces four abuse of power and 21 money-laundering charges.

The trial before presiding judge Datuk Collin Lawrence Sequerah continues.

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