Malaysia court sets May 7 to hear Najib’s stay of execution bid on $1.6b payment to former 1MDB unit
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The court will also hear submissions on costs in the lawsuit brought by SRC International against the former premier Najib Razak.
PHOTO: REUTERS
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KUALA LUMPUR – The High Court has fixed May 7 to hear former prime minister Najib Razak’s application for a stay of execution on the US$1.3 billion (S$1.67 billion) payment owed to SRC International.
On the same day, the court will also hear submissions on costs in the lawsuit brought by SRC against the former premier for breach of fiduciary duty.
SRC’s lawyer Kwan Will Sen told The Star that the date was fixed by deputy registrar Mohd Syafiq Mustaza during an e-review proceeding here on April 3.
On March 31, the High Court allowed a US$1.3 billion lawsuit filed by SRC against Najib over breach of fiduciary duty and misfeasance in public office, linked to a RM4 billion (S$1.27 billion) loan from the Retirement Inc Fund (KWAP) to SRC.
Justice Ahmad Fairuz Zainol Abidin, who is now a Court of Appeal judge, found that Najib was liable to account for and pay the sum of US$1.18 billion and US$120 million to SRC.
The US$1.18 billion was the loss of proposed investment funds linked to SRC, while the US$120 million was the compensation for Najib’s fraudulent breach of fiduciary duties.
The court found that Najib had breached his trust, abused his power, misappropriated the company’s funds and personally benefited from these actions.
The lawsuit originally named Najib, with former SRC directors Suboh Md Yassin, Mohammed Azhar Osman Khairuddin, Nik Faisal Ariff Kamil, Che Abdullah @ Rashidi Che Omar, Shahrol Azral Ibrahim Halmi and Ismee Ismail.
However, later, it removed six names from the suit and retained Najib and Nik Faisal as the first and second defendants.
Najib then brought the formerly named SRC directors as third-party respondents in the suit.
For the claims against the third-party defendants brought by Najib, the High Court dismissed all claims with costs, to be decided later.
The High Court allowed an interim stay of execution on the payment pending the proper hearing of a stay application.
Najib intends to appeal the High Court’s decision in allowing the lawsuit against him. THE STAR/ASIA NEWS NETWORK
