Najib to file defence in RM42mil SRC case by Oct 11

Najib to file defence in RM42mil SRC case by Oct 11

SRC International Sdn Bhd has also been instructed by the High Court to file a response to the defence by Dec 13.

SRC International has accused Najib Razak of committing breach of trust and statutory duty in his capacity as former prime minister, finance minister and SRC emeritus adviser. (Bernama pic)
KUALA LUMPUR:
Former prime minister Najib Razak has until Oct 11 to respond to the suit filed by SRC International Sdn Bhd on his alleged breaches of trust and statutory duty involving SRC funds of RM42 million.

According to a lawyer from Rosli Dahlan Saravana Partnership representing SRC, the High Court here also ordered his client to file a response to the defence by Dec 13.

“The court has set further case management on Dec 14 that will be conducted online (e-Review),” he said when contacted by reporters after the case management proceedings today conducted online before senior assistant registrar Noordura Mohamed Din.

SRC, a subsidiary of 1MDB, and Gandingan Mentari Sdn Bhd (GMSB), a wholly-owned SRC subsidiary, filed a writ of summons on May 7, alleging that Najib had committed a breach of trust, misused his power and benefited personally from SRC funds and misappropriated the funds.

Najib was SRC’s emeritus adviser from May 1, 2012 to March 4,2019.

SRC, which is now wholly-owned by the Minister of Finance (Incorporated), alleged that through a letter of appointment dated Sept 3, 2015, SRC appointed Ihsan Perdana Sdn Bhd (IPSB) as a corporate social responsibility (CSR) programme partner.

It alleged that between December 2014 and April 2015, SRC withdrew RM123 million in funds and deposited it into a bank account of IPSB for CSR purposes and that a grant was given to IPSB without the approval of the board of directors of both SRC and GMSB.

The plaintiff claimed that IPSB transferred the funds received under the grant to various third parties, including RM42 million that was transferred to two accounts owned by Najib allegedly for CSR purposes between December 2014 and February 2015.

SRC also alleged that Najib in his capacity as prime minister, finance minister and SRC emeritus adviser had acted in a dishonest manner to help former SRC and GMSB directors to violate various statutory duties and commit a breach of trust, when failing to check with AmIslamic Bank on the amount of misappropriated funds that were deposited into Najib’s bank accounts.

The plaintiff is seeking a declaration that it has a right to follow and trace the RM42 million and to demand equity ownership to the funds or any property obtained by Najib with the use of the money in addition to general, exemplary and aggravated damages.

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