I did not investigate ‘fake Aabar’ in Seychelles, says ex-1MDB CFO

I did not investigate ‘fake Aabar’ in Seychelles, says ex-1MDB CFO

Azmi Tahir tells Najib Razak's 1MDB trial his job was to disburse funds as instructed by the board.

Former 1MDB chief financial officer Azmi Tahir says he only learnt that Aabar Investments PJS Ltd was a shell company when told by MACC.
KUALA LUMPUR:
A former 1MDB chief financial officer testifying in Najib Razak’s corruption trial said he did not investigate whether Aabar Investments PJS Ltd in the Seychelles (Aabar Seychelles) was a fake company that received 1MDB funds in 2014.

Azmi Tahir, who was in charge of 1MDB’s financial affairs between 2012 and 2017, said this when cross-examined by Najib’s counsel, Wan Aizuddin Wan Mohammed.

Azmi said he did not conduct any investigation on his own initiative as there was no instruction from the 1MDB board.

“My task was to disburse funds as instructed by the board,” he said.

Azmi, the 12th prosecution witness, said he only knew about the “fake Aabar” in 2015 when he was told by the Malaysian Anti-Corruption Commission (MACC), which was investigating the matter.

At a previous proceeding last year, he had said he did not know a sum of US$699.3 million was paid to Aabar Investments PJS Ltd, a shell company registered in the Seychelles.

The funds should have gone to the actual Aabar Investments PJS.

The money was intended to buy back the 49% shares held by the International Petroleum Investment Company (IPIC) in 1MDB’s subsidiary companies, 1MDB Energy (Langat) Ltd and 1MDB Energy Holdings Ltd.

Azmi said 1MDB wanted to regain control of both subsidiaries before listing them on the stock market.

The 49% shares were held by IPIC’s subsidiary, Aabar Investments PJS, as IPIC had helped 1MDB to guarantee its US$3.5 billion bonds in 2012.

Wan Aizuddin: Do you agree that there are differences in name between the two companies?

Azmi: No. It was never brought up. Even “30 or 40 pairs of eyes” did not look into (spot) that. The adviser should have told us.

To a further question by the defence lawyer, Azmi said he followed the instructions of his then deputy, Terence Geh, as he believed the directive came from fugitive financier Low Taek Jho, or Jho Low, and Najib.

Wan Aizuddin: Why follow Geh’s instruction when you were his superior?

Azmi: Yes, on paper, he was my deputy. We worked in silos (isolation) in line with a directive by Jho Low.

Ad hoc prosecutor Gopal Sri Ram had said in his opening statement on Aug 28, 2019 that Najib and Low worked in cahoots to steal millions of ringgit from 1MDB.

Sri Ram, a former Federal Court judge given a fiat to lead the prosecution, said it would also prove that Najib, by his words and conduct, made it clear to 1MDB’s officers, its board and others that Low was his alter ego.

Najib is standing trial on 25 charges of money laundering and abuse of power over 1MDB funds amounting to RM2.28 billion allegedly deposited into his AmBank accounts between February 2011 and December 2014.

The hearing before High Court judge Collin Lawrence Sequerah was adjourned to Wednesday.

Stay current - Follow FMT on WhatsApp, Google news and Telegram

Subscribe to our newsletter and get news delivered to your mailbox.