In testifying against Najib in his 1MDB money laundering and abuse of power trial, Shahrol said that as a CEO, he followed Najib’s instructions.
“He was the boss, so I followed his instructions,” he said.
Shahrol was responding to a series of questions from Najib’s lawyer, Muhammad Shafee Abdullah, challenging the former CEO’s interpretation of Najib’s position, according to 1MDB’s company constitution.
Shafee told the witness that 1MDB’s board of directors made decisions on the company’s investment and financial direction, as stated under the Companies Act.
Shafee: I put it to you that your interpretation of Article 117 of the Memorandum and Articles of Association is wrong, and that you made the prime minister an emperor of 1MDB, with no checks and balances.
Shahrol: In the cases of 1MDB’s joint venture with Petro Saudi International, 1MDB’s power plant purchases, and 1MDB’s joint venture with Aabar Investment PJS to develop the Tun Razak Exchange, I would say ‘yes’.
The lawyer then asked Shahrol about the validity of the minutes of the meetings recorded for the former CEO’s meeting with Najib, who was 1MDB board of advisors’ chairman, at the Pekan MP’s Langgak Duta home on Aug 18, 2009.
Shafee also raised the question of whether Shahrol and Najib’s meeting at the former PM’s home was considered an official meeting of the 1MDB advisory board as other advisory board members were absent. To call a board meeting, the company needs to have at least four members present, Shafee added.
“This meeting was arranged by Jho Low (Low Taek Jho), so the points outlined in the minutes can be signed off by Datuk Seri.
“During the meeting, I sat down and passed him a copy to read. He asked a few questions on Petro Saudi,” Shahrol explained.
He said that as one of the company directors, he considered the minutes signed by Najib as his instructions and he was duty-bound to execute them.
Najib is standing trial for 25 counts of money laundering and abuse of power charges over alleged 1MDB funds amounting to RM2.28 billion deposited in his AmBank accounts between February 2011 and December 2014.
The hearing continues before High Court judge Collin Lawrence Sequerah on Oct 21.