Najib treated SRC International like an ATM, prosecution says

The lawyer also says Najib had absolute power over the company including the hiring and firing of its directors


DATUK Seri Mohd Najib Razak (picture) had full control over SRC International Sdn Bhd and he treated the company akin to an automated teller machine (ATM), ad-hoc prosecutor Datuk V Sithambaram told the appellate court.

In Najib’s SRC International appeal, Sithambaran also said the RM42 million that was misappropriated from the company was like a “peanut” for the former prime minister (PM).

“In this case, Najib had full control over the company (SRC) and whenever he needed money, he took it. My Lord, earlier, he had taken RM2.6 billion, this is just a ‘kacang’ (peanut) for him,” Sithambaram said during the prosecution’s submission at the Court of Appeal in Putrajaya yesterday.

He said Najib had abused his position as the then PM and finance minister (FM), and also positioned himself as SRC International’s “shadow director”.

Additionally, Sithambaram said Najib had absolute power over SRC International including the hiring and firing of its directors, given the company’s Memorandum and Articles of Association that stated nobody could be appointed director without the blessings of the PM.

The prosecutor also said Najib was the “controlling mind” of the company in his capacity as the PM, FM and advisor emeritus of the SRC International at the time.

“The board acted on the instruction of Najib through SRC CEO Nik Faisal Ariff Kamil who was the ‘mountain’ behind the appellant (Najib),” he said.

Besides that, Sithambaram said Najib’s involvement in the Cabinet meetings on Aug 17, 2011, and Feb 8, 2012, had precipitated the approval of both the government guarantees for loans to SRC International provided by the Retirement Fund Inc (KWAP).

He said the loan was only approved because of the appellant’s direct and indirect influence.

“SRC International subsequently did not go through the proper process of applying for an RM4 billion loan directly from KWAP.

“Instead, it wrote directly to the appellant. It is clear that without the intervention of the appellant, KWAP would never have granted any loan to a ‘two-dollar’ company that did not have any track record.

“Commercial banks would have rejected SRC International’s loan application outright as it had no means to repay,” he added.

“He was sitting there to get the loan quickly approved and quickly released. The money is then quickly taken out of the country.

“After that nothing happened. There is not even a pillar to show for it…not even one pillar to be marked as a tombstone,” Sithambaram said further.

The prosecution started their submissions in the appeal hearing following six days of the defence’s submissions.

Justice Datuk Abdul Karim Abdul Jalil chaired the bench along with Justices Datuk Has Zanah Mehat and Datuk Vazeer Alam Mydin Meera.