KUALA LUMPUR — June 12, 2019: The board of directors of SRC International was never informed of the company’s application for a government guarantee for a RM3.95 billion loan from the Retirement Fund (Incorporated) (KWAP) in 2011.
The application was only disclosed via a letter signed by Nik Faisal Ariff Kamil as the managing director/chief executive officer to the ministry of finance.
The letter was shown today to Tan Sri Ismee Ismail, a former SRC board member, by lawyer Harvinderjit Singh representing former prime minister Datuk Seri Najib Razak.
On being questioned Ismee agreed with a suggestion that this material fact was hidden by Nik Faisal from the board.
He further agreed that the letter gave the impression Nik Faisal had acted on behalf of 1Malaysia Development Berhad.
Bernama also reported that Ismee looked stunned when questioned about a RM2 billion loan obtained from KWAP that was credited into a mystery SRC bank account and later debited out on the same day.
On other dealings by SRC International, Ismee told the court he still had to get approval from Najib. This he revealed when Harvinderjit read the minutes of a meeting between Nik Faisal and Najib in which there was nothing to suggest Ismee had to get Najib’s approval.
To the suggestion by the lawyer, Ismee agreed that the SRC board needed to seek approval from (1MDB on its operations as 1MDB was the sole shareholder of SRC in 2011.
“Can I talk to my wife,” asked Ismee, which draw laughter from the public gallery, to which judge Mohd. Nazlan Mohd. Ghazali replied “Can, but not on this case”
Najib is charged with three counts of criminal breach of trust, one count of abusing his position and three counts of money laundering involving SRC International funds totalling RM42 million.