KUALA LUMPUR — May 14, 2019: The investment panel of the Retirement Fund Incorporated (KWAP) did raise several concerns over the RM2 billion loan requested by SRC International Sdn. Bhd., including on the amount and the capability of the latter in venturing into a sector requiring high skills.
These concerns were also raised in the investment papers presented by the then director of the fixed income department Ahmad Norhisham Hassan while those expressed by the panel w.
According to KWAP vice-president of the legal and secretarial department, Azlida Mazni Arshad, the committee had initially approved a RM1 billion loan from the RM3.95 billion loan first requested via a two-page application letter without details, reported Bernama.
Additionally, she said the investment panel was aware of the risks associated with the proposed investment for KWAP, particularly on risk of payment and over-concentration.
When questioned by Harvinderjit representing former prime minister Datuk Seri Najib Razak, Azlida agreed that the investment panel was not bound by instructions from the PM or finance minister.
She further agreed that the panel could reject a loan if it was not justified.
Najib is charged with three counts of criminal breach of trust, one charge of abusing his position and three counts of money laundering involving RM42 million of SRC International money.
When Harvinderjit asked if any member of the panel had at any point said they had no choice but to approve the loans to SRC and this would have been in the minutes, Azlida replied that it wasn’t the case.
Harvinderjit also referred to a handwritten note by Najib which stated that the former PM “agrees with SRC’s recommendation” and asked Azlida who agreed that this was not an an instruction but a statement in agreement.