It’s up to KWAP to decide on SRC’s request for funds, says Najib

Retirement Fund Incorporated (KWAP) approved a RM2 billion loan to SRC International Sdn Bhd which wanted more funds to invest in the alternative energy field.

KUALA LUMPUR: Former prime minister Najib Razak said he did not have any intention of forcing Retirement Fund Incorporated (KWAP) to approve another RM2 billion loan for SRC International Sdn Bhd to invest in the alternative energy field.

He told the High Court he only spoke to then KWAP chairman Wan Aziz Wan Abdullah about SRC International’s bid to obtain more funds from the pensioners’ retirement fund despite having received RM2 billion earlier.

“It carried some weight but it is up to the KWAP investment panel to decide on whether to grant the application.

“The law is clear on this,” Najib said, when questioned by ad hoc prosecutor V Sithambaram.

Sithambaram, who was amused by Najib’s response, questioned the former prime minister on what was the basis for SRC International to get another RM2 billion.

Sithambaram: What was SRC doing in the best interest of the country when they did nothing for the last six months after receiving the first RM2 billion?

Najib: I was going on the basis that they had investments in the energy field. I had confidence in the board.

The lawyer then commented, “confidence that was not based on real evidence”.

Meanwhile, Najib also said that the then second finance minister Ahmad Husni Hanadzlah should have tabled a Cabinet paper, in seeking approval to fly to Switzerland to resolve the issue of the SRC International funds that had been frozen.

Sithambaram then asked: “Did you have a plan or give him (Husni) any suggestions?”

Najib replied: “No. I left it to the management.”

Previously, Husni said that Najib had rejected his request to fly to Switzerland.

The hearing continues before High Court judge Mohd Nazlan Mohd Ghazali.

Najib is facing six charges of money laundering and criminal breach of trust in the transfer of RM42 million to his account from SRC International.

He is also accused of abusing his power as prime minister by giving government guarantees on SRC International’s RM4 billion loan from KWAP.