PUTRAJAYA: The High Court was told that a mere phone call from Datuk Seri Najib Razak to a former 1Malaysia Development Bhd (1MDB) chairman could not have influenced the company’s decision to enter into a joint venture with PetroSaudi International Ltd (PSI).
Najib’s lawyer Wan Azwan Aiman Wan Fakhruddin, in his submissions, said the conduct of 1MDB’s management and board of directors (BOD) showed they were already keen to proceed with the joint venture ahead of the said phone call between Najib and the former chairman, Tan Sri Mohd Bakke Salleh.
“This is especially because the contemporaneous records also show that they (1MDB management and BOD) were taking active steps in finalising and working towards the realisation of the partnership with PSI, with the appointment of corporate representatives and the opening of a joint bank account with PSI, of all things.
“The greater question is, if the BOD was directed to participate in the joint venture with PSI by the Prime Minister himself, how dare they impose prerequisites and stipulations before agreeing to enter the joint venture to delay the matter?” Wan Azwan said here on Thursday.
The prosecution, in its case, asserted Najib purportedly “abused his power” in the telephone conversation between Najib and Mohd Bakke (who is the 15th prosecution witness) on Sept 26, 2009, had compelled the entire BOD to pass a resolution to participate in the joint venture with PSI and subscribe to one billion shares in 1MDB-PetroSaudi, the joint venture company.
In the phone call, it was alleged that Najib had pushed for the joint venture when he said “I would like the Board to quickly consider this proposal and firm up a decision on it”.
Wan Azwan said any first-time reader of Mohd Bakke’s testimony would not be faulted for thinking such utterance amounts to a “direction” from Najib.
“Moreover, even Mohd Bakke’s purported response also did not demonstrate that he or the Board of Directors were in any way beholden or compelled to execute the purported direction when he responded to Najib with ‘we will look into it’,” the lawyer added.
The defence also contended that despite Mohd Bakke’s assertion that the joint venture would not have proceeded without the brief telephone conversation, the Notice of the Special Board Meeting dated Sept 25, 2009, had indicated otherwise, as the meeting was specifically convened to approve the venture with PSI.
Najib is facing four counts of using his position to obtain RM2.28bil gratification from 1MDB’s funds and 21 counts of money laundering involving the same amount.
The abuse of power offences were allegedly committed at an AmIslamic Bank Bhd branch, Jalan Raja Chulan, Bukit Ceylon between Feb 24, 2011 and Dec 19, 2014.
Meanwhile, the money laundering offences were allegedly committed at the same location between March 22 and Aug 30, 2013.
Najib is currently serving his prison sentence since Aug 23, 2022, after being convicted in a separate criminal trial over the misappropriation of RM42mil from SRC International Sdn Bhd.
The submissions resumes on Friday before Justice Collin Lawrence Sequerah.
