Friday 29 Mar 2024
By
main news image

KUALA LUMPUR (April 21): Former 1Malaysia Development Bhd (1MDB) chief financial officer (CFO) Azmi Tahir told the High Court on Thursday (April 21) that he did refer to then board member Tan Sri Ismee Ismail about Low Taek Jho's instructions to the management.

Azmi, the 12th prosecution witness in the 1MDB-Tanore trial, during cross-examination by Datuk Seri Najib Razak's lawyer Tan Sri Muhammad Shafee Abdullah, said he asked Ismee whether the management can act on Low's direction despite the latter not holding any official post in the company.

“Yes, I met Ismee and he told me that in all companies there are 'hidden hands' even in Lembaga Tabung Haji. In 1MDB it is Jho Low,” he said.

When asked by Shafee, Azmi agreed that his meeting with Ismee was not in an official board meeting.

The witness further agreed that Low, better known as Jho Low, giving instructions to the management was never raised with the 1MDB board, but that the board is aware.

Azmi, 49, was continuously asked by the senior lawyer about 1MDB's culture of working in silo, and that he assumed Jho Low’s instructions to him came from then prime minister Najib.

The former CFO agreed that this was a presumption he had, and admitted he did not clarify this with Najib personally.

When Shafee claimed that what Azmi had presumed could be regarded as hearsay, the witness gave several instances he thought supported his presumption.

Azmi said Datuk Azlin Alias (Najib's late principal private secretary) had informed him in a meeting that Low was acting for Najib.

The second instance was when Azmi was required to bring articles from The Edge which were critical of 1MDB.

He explained to the court that Jho Low had wanted him to come to Abu Dhabi or Dubai with those articles to meet Najib as the former premier was considering taking action against The Edge.

Azmi: When I arrived at the hotel in Abu Dhabi, I informed Jho Low I had arrived, and he told me to go to a certain floor. I approached the floor and saw two Malaysian bodyguards outside the door and I told them who I was.

As they won't let me in, I texted Jho Low about this and the door was opened. That was an indication that he communicated with someone in there.

Shafee: Is this possibly a phone call to Najib?

Azmi: That is the impression that I have.

Board could be misled in the transfer of funds

The witness added at no time did he confirm with Najib himself whether he should take instructions from Jho Low, as he “did not think it was appropriate” to do so.

“This follows in a company where there is certain protocol and decorum (to act in a certain way). We do not talk with them, that was my feeling. I did not think it was appropriate,” Azmi said.

Shafee further asked Azmi about the huge overseas transfers of 1MDB funds which he conducted, to which the witness responded that he thought he was duly authorised to make the remittance.

Shafee: You are the CFO, you are to protect the company from any financial misgivings?

Azmi: Yes.

Shafee: If you did not function well, the company would suffer losses.

Azmi: Yes.

Shafee: The board (of directors) is the primary organ as they make serious determination and the management must seek consent to such payment.

Azmi: The board authorises the CEO (Mohd Hazem Abd Rahman), when they signed the director circular resolution (DCR).

Shafee: But there were questionable remittances made when you were CFO.

Azmi: I duly authorised it due to the agreement (signed). I did not ask the board.

Shafee: The board had been misled and as a result the company suffered over borrowed money — not one transaction but six transactions?

Azmi: In hindsight, yes.

Shafee: The remittance and losses suffered is caused by the conduct of the management?

Azmi: I disagree.

2014 World Cup semi-final

Shafee — like his fellow counsel Wan Aizuddin Wan Muhammed on Wednesday (April 20) — pressed Azmi on whether he had gone to the 2014 World Cup with Jho Low, to which the former CFO continuously denied.

This time, Shafee went into specifics, alleging that Azmi was with Jho Low, Hazem, and then 1MDB chief investment officer Vincent Koh at the 2014 World Cup semi-final match between Brazil and Germany. However, Azmi denied this.

Shafee asked Azmi to bring his passport to court, and the witness said he will try and search for it.

However, unlike Wednesday, the witness did not consent to the defence doing a search with the immigration department over the purported Brazil trip, but said if it is limited to the 2014 World Cup series, they can.

The witness also admitted that he also watched a Formula 1 race in Abu Dhabi at the invitation one Mohamed Badawy Al-Husseiny. Badawy is former CEO of IPIC unit Aabar Investments PJS — and also CEO of the fake Aabar firm which received US$699.32 million from 1MDB that later went missing.

The trial continues with Datuk Johan Idris, the managing partner of KPMG — one of 1MDB’s former external auditors — testifying before presiding judge Datuk Collin Lawrence Sequerah.

Najib is facing four counts of abuse of power and 21 counts of money laundering involving a total of RM2.28 billion.

The Edge is covering the trial live here.

Users of The Edge Markets app may tap here to access the live report

Edited ByAdam Aziz
      Print
      Text Size
      Share