KUALA LUMPUR: A former director of SRC International Sdn Bhd had no knowledge of the transfer of RM42mil from the company to the personal bank account of former prime minister Datuk Seri Najib Razak, the High Court heard.
Testifying in the civil suit filed by SRC and its subsidiary Gandingan Mentari Sdn Bhd against Najib, Tan Sri Ismee Ismail said he only learnt of the transaction after being contacted by investigators.
He said the funds were part of a RM123mil loan from the Retirement Fund (Incorporated), also known as KWAP.
The funds, he added, were later channelled through Ihsan Perdana Sdn Bhd, the company that manages the corporate social responsibility programme for SRC, before reaching Najib’s account.
Ismee, 61, said this in his witness statement at the hearing of the RM42mil civil suit yesterday.
He explained that he resigned as a director of SRC on Aug 15, 2014. The transfer in question allegedly took place between December 2014 and February 2015.
“I was not involved in any matter regarding the KWAP loan application. When I started as a director of SRC, the loan application was made in advance, and approval had already been obtained.
“In my opinion, Datuk Seri Najib’s involvement in this matter was regarding the government guarantee. The loan was a loan guaranteed by the government, where Datuk Seri Najib was the Prime Minister and also the Finance Minister at the time,” he said, Bernama reported.
Commenting on Najib’s claim that the SRC Board of Directors should also be held liable for paying damages for breaching fiduciary duties, Ismee said the claim was completely baseless.
“I and other SRC board members carried out the instructions and decisions of the shareholders in good faith without suspecting any wrongdoing or crime, because, in my understanding at the time, it was the government’s intention to implement investments in the national interest through SRC as a ‘special purpose vehicle’.
“Furthermore, after I resigned, I had no authority to supervise the administrative or business affairs of SRC or any subsequent transfers, including the RM42mil that allegedly occurred without my knowledge or involvement,” he said.
In the suit filed in 2021, SRC and Gandingan Mentari are seeking a declaration that Najib is responsible for the funds totalling RM42mil and are seeking damages for alleged knowing receipt, dishonest assistance, misfeasance in public office and abuse of power.
The trial before High Court judge Justice Raja Ahmad Mohzanuddin Shah Raja Mohzan continues today.
