Lawyer P Gananathan, appearing for SRC International, said both Najib and Nik Faisal were “very much involved in the fraud and dishonest conduct perpetrated on SRC”.

“Their fraud and dishonest conduct were visible in the fact that they personally benefited from it.

“While lurking in the shadows and sheltering behind others, Najib in fact was enriched when US$120 million ended up in his bank accounts, while Nik Faisal received a sum of US$2 million – paid through a shell company,” he said.

Delivering the opening statement at the trial of a civil lawsuit brought against the duo, he said Nik Faisal was placed as Najib’s “eyes and ears on the ground” in the company and its overseas subsidiaries.

“Nik Faisal was the former PM’s trusted proxy in all matters involving SRC, including finances.

“It will also be established that he took instruction directly from Najib and made representations to the board of directors of SRC,” said Gananathan.

The lawyer said Najib and Nik Faisal’s actions were “detrimental” to SRC and deprived the public of property held on its behalf.

“SRC was set up ‘as a pillar to the long-term sustainable economic development of Malaysia for the rakyat’.

“However, SRC became a vehicle for large-scale, multi-jurisdictional fraud orchestrated by the former PM through his multiple roles as finance minister and SRC advisor emeritus,” Gananathan added.

He said that between 2011 and 2012, a loan of RM4 billion was given by Retirement Fund Incorporated to SRC.

A large part of that loan, as much as RM3.6 billion, was transferred to a Swiss bank account and is currently frozen by the Swiss government, he added.

Gananathan said SRC wants the court to hold Najib and Nik Faisal liable for their actions and pay the government RM4 billion. The company also wants Najib to return US$120 million, and Nik Faisal US$2 million.

The hearing continues before Justice Ahmad Fairuz Zainol Abidin.