Ad hoc prosecutor V Sithambaram said a “significant bulk of the RM4 billion”, or RM3.6 billion, was sent to BSI Bank in Lugano, Switzerland, in 2012.

A total of RM4 billion was transferred from KWAP to SRC between 2011 and 2012.

“Now the funds appear to be frozen by the Swiss authorities,” he said.

Sithambaram had pointed out during the trial that former second finance minister Ahmad Husni Hanadzlah had wanted to fly to Switzerland and resolve the frozen funds issue and subsequently bring the money back.

However, he said, Najib had rejected Husni’s request.

“The appellant (Najib) said (during the trial) Husni didn’t have a ‘proper plan’. This remained unresolved even when Najib left office (in 2018),” he said.

Sithambaram said the RM4 billion loan from KWAP was meant to be used to carry out work to fulfil the national energy policy.

“However, the money was not utilised for this and not a single project was undertaken by SRC,” he said.

The hearing continues before a Federal Court panel chaired by Chief Justice Tengku Maimun Tuan Mat. The others on the bench are Chief Judge of Sabah and Sarawak Abang Iskandar Abang Hashim and judges Nallini Pathmanathan, Mary Lim and Zabidin Mohamad Diah.

Najib is seeking to quash his conviction for abuse of power, money laundering and criminal breach of trust over SRC funds amounting to RM42 million that entered his bank accounts.

His conviction was upheld by the Court of Appeal on Dec 8 last year, as was his 12-year jail sentence and RM210 million fine.