KUALA LUMPUR (Oct 13): Datuk Seri Najib Razak had the sole authority to make transfers to third-party accounts and cash withdrawals, although the former prime minister had given Nik Faisal Ariff Kamil the mandate to handle his private AmBank accounts, the High Court heard on Thursday (Oct 13).
Former AmBank customer relationship manager Joanna Yu Ging Ping testified that Najib had mandated Nik Faisal, who was the chief investment officer of 1Malaysia Development Bhd (1MDB), to handle his accounts in 2013.
Nik Faisal, however, could not make certain transactions, as only Najib had the authority to sign off on them, said Yu.
"I would like to confirm that the mandate letter only allowed Nik Faisal the authority to direct transfers of funds between the three current accounts of [Najib]. Nik Faisal had no authority and cannot make any transaction to any third-party account, or any cash withdrawal.
"All instructions relating to third-party payments and transfers, and also all cheques drawn from the three current accounts, can only be authorised [via Najib’s] signature," Yu said while testifying against Najib, who is charged with misappropriating RM2.28 billion of 1MDB funds.
Yu also confirmed that fugitive financier Low Taek Jho (Jho Low) approached her in 2011 regarding the opening of the bank accounts with AmBank.
She also confirmed that former AmBank managing director Cheah Tek Kuang had met Najib to facilitate the opening of the accounts.
The witness further confirmed that the bank accounts ending in “0481” and “9694” were subsequently opened after Cheah returned with Najib’s signature.
"There were signatures affixed to the relevant sections of these forms," Yu testified, adding that she then forwarded the forms to the bank's relevant divisions.
She also told the court that she had never met with Najib before.
"In relation to the opening of these accounts, I did not deal directly or meet with [Najib] himself. For all matters relating to [Najib's] accounts, I dealt with Jho Low," she said, adding that it was Jho Low who informed her that Najib wanted to open personal accounts with the bank.
"Later, I dealt with Nik Faisal after receiving the mandate letter from Najib listing Nik Faisal as his representative with the bank regarding his personal bank accounts," Yu said, replying to lead prosecutor Datuk Seri Gopal Sri Ram.
Sri Ram: In respect of transactions between the bank and Najib, and done through Nik Faisal, who would be accountable to the bank, despite this mandate? Say, Najib’s account was in debit of RM10 million, who would you look at to recover the RM10 million?
Yu: Datuk Seri Najib.
Sri Ram: Despite the mandate, is the mandate holder personally liable for his account?
Yu: Yes.
The accounts in question were allegedly used to receive illegal monies from 1MDB.
Najib is facing 25 counts of money laundering and abuse of power for alleged misappropriation of 1MDB funds.
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