The company’s counsel, Rabindra S Nathan, informed trial judge Raja Ahmad Mohzanuddin Shah Raja Mohzan this afternoon that he was instructed by his client to discontinue the suit.
No reasons were given for the withdrawal in open court.
“Counsel for the defendants has no objection to the plaintiffs withdrawing the suit. The only pending issue is the costs,” he added.
Raja Ahmad then directed the parties to file written submissions on costs before he makes a ruling on Friday.
Trial of the suit began on Oct 16 with the plaintiffs — 1MDB and its subsidiaries 1MDB Energy Holdings Ltd, 1MDB Energy Ltd and 1MDB Energy (Langat) Ltd — calling four witnesses.
The witnesses who testified included former 1MDB general counsel Jasmine Loo and its ex-CEO, Shahrol Azral Ibrahim Halmi.
The defendants — Riza, Red Granite Pictures and Red Granite Capital Ltd — called one witness, Zamri Zainul Abidin, a senior Malaysian Anti-Corruption Commission officer.
Last week, Zamri testified that Riza’s representations in respect of five charges of money laundering involving US$248 million had been accepted five years ago.
He said the recovery and liquidation process conducted by the US department of justice against the defendants’ assets led to cash being transferred to the plaintiffs.
On May 14, 2020, the sessions court granted Riza a discharge not amounting to an acquittal on the prosecution’s application.
At the time, then ad hoc prosecutor Gopal Sri Ram told the court that Riza had agreed to fulfil certain obligations as part of the bargain.
In the present suit, 1MDB was seeking declarations that Riza and the two Red Granite companies he controlled, which produced the hit Hollywood film The Wolf of Wall Street, are liable to account for the funds misappropriated from 1MDB.
They also sought repayment of all misappropriated funds.
Lawyers Saresh Mahendaren, Vimal Sathiaseelan, Michelle Wong, Seh Zhen Yang and Ignatius Joel Nathan appeared for the plaintiffs while Shafee Abdullah, Tania Scivetti, Wan Azwan Aiman Wan Fakhruddin and Aiman Ariz Zainal Alam acted for the defendants.