KUALA LUMPUR (March 3): Datuk Shahrol Azral Ibrahim Halmi, a former director of SRC International Sdn Bhd, told the High Court he did not benefit from the alleged misappropriation at the state-owned firm.

Testifying as a witness in the civil suit filed by SRC International and its subsidiaries against former prime minister Datuk Seri Najib Razak, Shahrol stressed that the alleged diversion of funds in 2014 and 2015 occurred long after he had resigned on May 15, 2012.

In a firm denial set out in his witness statement, Shahrol said: “No, I did not,” when asked whether he personally received any benefit from the alleged misappropriation of RM42 million.

“Of course I was not involved,” he said, referring to the alleged misappropriation. “I was no longer a director of SRC at that time.”

In the trial before judge Raja Ahmad Mohzanuddin Shah Raja Mohzan, the court allowed Najib to bring back third parties in the trial. A third party is someone the defendant or the plaintiff claims is actually responsible, wholly or partly, in the case.

Najib is claiming that Shahrol and former directors — Tan Sri Ismee Ismail, Datuk Suboh Md Yassin, Datuk Mohammed Azhar Osman Khairuddin, Datuk Che Abdullah @ Rashidi Che Omar and Nik Faisal Ariff Kamil — were also responsible for the losses in SRC International.

Addressing claims by Najib that he should indemnify or contribute in the third-party action, Shahrol was categorical.

“I have nothing to hide and have cooperated fully in the investigation,” he said, referring to probes conducted by the Malaysian Anti-Corruption Commission and the Royal Malaysian Police.

He said he was “never charged with any offence” relating to the loss and damage allegedly suffered by SRC International in connection with the RM4 billion loan from the Retirement Fund Inc (KWAP).

“I deny that I am liable,” he stated, rejecting allegations that he had acted fraudulently, breached his duties as a director, conspired with others or manipulated SRC International to perpetuate a fraud.

Shahrol further denied that he was “guilty of acts, omissions, wrongdoings, breaches of statutory, common, fiduciary and/or other duties” that caused losses to the company.

“I believe I am not liable to indemnify and/or contribute,” he said, urging the court to dismiss the third-party action against him with costs.

In the suit filed in 2021, SRC International and its subsidiary, Gandingan Mentari Sdn Bhd, are seeking a declaration that Najib is liable to them for the receipt of RM42 million, among others.

The former prime minister is also being sued for breach of fiduciary duties, knowing receipt of the funds, dishonest assistance, tort of misfeasance and abuse of power.

The hearing will continue on Wednesday.