Najib Didn T Sanction Us 2 3bil Promissory Notes Agrees Witness


 
Former 1MDB director Ismee Ismail agreed that it would be ridiculous to accept the promissory notes without any collateral.KUALA LUMPUR: The High Court was told today that Najib Razak had never given his approval to the 1MDB management team to convert the company’s Petro Saudi International (PSI) investment into “promissory notes” purportedly worth US$2.3 billion.
Former 1MDB director Ismee Ismail said this under cross-examination by lawyer Shafee Abdullah on whether the management invoked Article 117 of the company’s constitution to seek Najib’s approval on investment matters related to national policies.
“I have to ask this because it goes to the heart of our defence. Did you see somewhere my client’s fingerprints?” Shafee asked on whether Najib played a role in the matter.
Ismee replied: “From what (documents) you showed, no.”
Previously, the court heard that 1MDB paid US$1 billion in 2009 for a 40% stake in the joint venture while PetroSaudi held the remaining 60%. The funds were later converted into Islamic murabaha notes.
1MDB later paid another US$830 million between 2010 and 2011 for the same purpose. By 2012, the notes were said to be worth US$2.22 billion.
Shafee then asked Ismee on his understanding of promissory notes.
“It is something like ‘I promise to pay’,” Ismee replied.
Shafee: Is it ridiculous for the management to accept the promissory notes without collateral?
Ismee: Yes.
Najib is standing trial on 25 charges of abuse of power and money laundering over alleged 1MDB funds amounting to RM2.28 billion deposited into his AmBank accounts between February 2011 and December 2014.
The hearing before trial judge Collin Lawrence Sequerah continues. - FMT


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