Former PM Najib Razak found guilty in multibillion-dollar state funds scandal
&imwidth=600&imheight=450&format=webp&quality=medium "Former PM Najib Razak found guilty in multibillion-dollar state funds scandal")
Former Malaysian prime minister Najib Razak Photograph: (AFP)
The verdict, delivered in Malaysia’s administrative capital, Putrajaya, is the second blow in the same week to the former PM, who has been imprisoned since 2022, after the court rejected his application on Monday to serve the remainder of his sentence under house arrest.
Former Malaysian prime minister Najib Razak was on Friday convicted on all charges of abuse of power and money laundering in the biggest trial yet in the multibillion-dollar 1MDB scandal. It was Razak’s second major trial for the multi-billion-dollar state funds scandal. Najib, 72, was accused of misappropriating nearly 2.3 billion Malaysian ringgit ($569 million) from the nation’s sovereign wealth fund, 1Malaysia Development Berhad (1MDB). A judge found him guilty on four charges of abuse of power and 21 charges of money laundering. Rajak is already in jail after he was convicted years ago in another case related to 1MDB. Friday’s verdict comes after seven years of legal proceedings, which saw 76 witnesses called to the stand.
The verdict, delivered in Malaysia’s administrative capital, Putrajaya, is the second blow in the same week to the former PM, who has been imprisoned since 2022, after the court rejected his application on Monday to serve the remainder of his sentence under house arrest. On Friday, dozens of people gathered outside the court in support of Najib.
The 1MDB scandal made headlines across the world when it came to light a decade ago, embroiling prominent figures from Malaysia to Goldman Sachs and Hollywood.
At least $4.5 billion was stolen from 1MDB
Investigators estimated that $4.5 billion was siphoned from the state-owned wealth fund into private pockets, including Najib’s.
Trending Stories
&im=FitAndFill=(700,400))
)
)
)
)
&im=FitAndFill=(700,400))
)
)
)
)
)
)
)
)
)
)
)
&im=FitAndFill=(700,400))
)
)
)
)
)
&im=FitAndFill=(700,400))
)
)
)
)
)
&im=FitAndFill=(700,400))
)
)
)
Najib’s lawyers claim that he had been misled by his advisers, in particular, the financier Jho Low, who has maintained his innocence but remains at large.
In 2020, Najib was convicted of abuse of power, money laundering and breach of trust over 42 million ringgit ($10 million) transferred from SRC International, a former unit of 1MDB, into his private accounts. He was sentenced to 12 years in prison, but the jail term was halved last year.
The latest case concerns a bigger sum of money, also tied to 1MDB, credited to his personal bank account in 2013. Najib said he believed the money was a donation from the late Saudi King Abdullah, but the judge rejected the claim.
What is 1MDB and the scandal about it?
The 1 Malaysia Development Berhad (1MDB) fund was set up in 2009 to turn Kuala Lumpur into a financial hub and boost the economy through strategic investments, but it started to attract negative attention in 2015 after it missed payments.
The fund was then accused of money laundering and channelling hundreds of millions of dollars into private pockets to acquire assets globally, including yachts, paintings, jewellery and real estate.
Malaysian and US investigators say at least $4.5 billion was stolen from 1MDB, a state fund Najib co-founded in 2009 while in office. More than $1 billion allegedly made its way into accounts linked to Najib, who has denied wrongdoing.
Najib's wife, Rosmah Mansor, was also sentenced to 10 years in jail in 2022 for bribery, but is free on bail pending an appeal against her conviction.
The scandal led to election loss for Najib’s Barisan Nasional coalition, which had governed the country since its independence in 1957. The recent verdicts have exposed fissures in the ruling coalition, which includes Najib’s party United Malays National Organisation (UMNO). Malaysia’s Prime Minister Anwar Ibrahim called for politicians on all sides to respect the court’s decisions.
