Testifying in a US$1.18 billion (RM5 billion) civil lawsuit brought by SRC International Sdn Bhd, Najib said that as the head of the government’s executive branch, he had always acted in accordance with an oath prescribed by the Federal Constitution.

Najib was the prime minister between April 2009 and May 2018.

“I did not do anything against the interest of the country,” he said when cross-examined by lawyer Gurdial Singh Nijar, who was representing former SRC director Suboh Yassin.

Suboh is one of the five former SRC directors Najib is seeking a contribution or indemnity from in the event he is held liable to the company in the suit.

SRC, then a government linked company, was established and owned by the finance ministry to seek alternative energy sources for the nation.

Between 2011 and 2012, the company received a RM4 billion loan from Retirement Fund Incorporated (KWAP), from which approximately RM3.6 billion was transferred to a Swiss bank account.

The funds are currently frozen by the Swiss government.

Najib, who was convicted of abuse of power, criminal breach of trust, and money laundering involving RM42 million in SRC, told the High Court here that he could not be expected to micromanage the company due to his position as the head of the country’s administration.

“I had expected them (the directors) to act by SRC’s constitution and the Companies Act. It did not cross my mind that this would happen,” he said.

Najib said the directors could have resigned if they disagreed with the way SRC was run. Alternatively, they could have sought a meeting with him to express their opinions, he added.

“For example, Bakke Salleh resigned as chairman of 1Malaysia Development Bhd (1MDB) in the finance ministry-owned company,” the former prime minister said.

Najib, who also held the finance portfolio throughout his term as prime minister, was named adviser emeritus to SRC, purportedly to exercise control over the company.

Najib agreed with Gurdial that he was relying on the same defence in the present suit that he had put forward in his SRC criminal trial. He also agreed that his defence was rejected by the criminal High Court, leading to his conviction.

Gurdial: Are you expecting a different outcome in this suit?

Najib: Yes.

Najib, however, disagreed with Gurdial’s assertion that he was the “father” of SRC, saying that he did not conceive the idea for the company.

He is named the first defendant in the suit, with former SRC CEO Nik Faisal Ariff Kamil as co-defendant.

SRC, now under new management, filed the suit in May 2021, accusing Najib and Nik Faisal of breach of trust, abuse of power, personally benefitting from the company’s funds and misappropriating the said funds.

Nik Faisal, who is at large, did not enter appearance in the suit and is not defending it.

The company is seeking a court declaration holding Najib and Nik Faisal accountable for losses suffered due to their alleged breaches of duty and trust, and wants them to compensate it for the losses incurred.