KUALA LUMPUR: The High Court was informed today that Datuk Seri Najib Tun Razak believed the RM2 billion donation from Saudi Arabia was legitimate, as AmBank, which managed the transaction, processed the funds under the assumption they were a valid donation.
Najib’s lawyer, Tania Scivetti, argued that AmBank, a major financial institution with a compliance department, had processed the funds based on letters that allegedly supported the claim the money came from Arab royalty as a donation.
“The defense contends that this bolstered Najib’s belief that the funds were a lawful gift, not proceeds of illegal activities,” Scivetti said during her submission at the close of the prosecution’s case before Justice Datuk Collin Lawrence Sequerah.
She emphasized that RM2 billion was a significant sum that would have undergone scrutiny by AmBank’s compliance department and the sender’s, Tanore Finance Corporation, a company linked to Eric Tan Kim Loong, an associate of fugitive businessman Low Taek Jho (Jho Low).
The funds in question are related to the US$620 million (RM2.27 billion), forming part of Najib’s four charges of abuse of power.
Scivetti also noted that Bank Negara Malaysia (BNM) had been informed about the RM2 billion transaction and did not freeze the account, indicating no suspicion of unlawful activity.
“No red flags were raised, which shows that Datuk Seri Najib had a reasonable expectation that the money he received from Tanore was a genuine donation from Saudi Arabia,” she said. “If there were any irregularities, he would have expected authorities to act, but they did not.”
Najib, 71, faces four charges of abusing his position to secure RM2.3 billion from 1Malaysia Development Berhad (1MDB) through AmIslamic Bank Berhad between February 2011 and December 2014. He also faces 21 money laundering charges related to the same amount between March and August 2013.
He is charged under Section 23(1) of the MACC Act 2009 and Section 4(1)(a) of the Anti-Money Laundering and Anti-Terrorism Financing Act.
The submission will continue tomorrow.
