KUALA LUMPUR: The former chief executive of 1Malaysia Development Bhd (1MDB) today said he did not dare lodge any reports despite harbouring suspicion that the then prime minister Datuk Seri Najib Razak was involved in illegal activities.
Mohd Hazem Abdul Rahman said this was because the company at that time was managed and run by the most powerful person in Malaysia.
"At that particular time, you were basically dealing with a company that is being managed and run by the most powerful person in Malaysia, the prime minister. It's either you work with it or you go (leave the company)," he said.
Testifying in Najib's trial, Hazem said his suspicion arose from the conduct of fugitive businessman Low Taek Jho @ Jho Low, a special adviser in 1MDB when the state fund's subsidiary raised a USD$3 billion bond issuance in 2013 on Najib's purported instructions.
During cross-examination conducted by Najib's counsel Wan Aizuddin Wan Mohammed, Hazem said in hindsight, Najib would also be involved in Low's "nefarious agenda".
Wan Aizuddin: That is a very, very, heavy accusation to say that the prime minister was involved in something illegal within the company?
Hazem: Yes.
Wan Aizuddin: Having harboured suspicion that the then prime minister was involved in the "nefarious agenda" of Jho Low, you still did not think that it was right and responsible as the head of 1MDB to go straight to him (Najib) and clarify?
Hazem: No.
Wan Aizuddin: I put to you that the reason you did not go to the prime minister and clarify with him was because you were playing along with Jho Low's plans. That is why you never felt the necessity to report to Najib.
Hazem: I disagree.
The 19th prosecution witness said he had only conveyed his suspicion to former 1MDB chairman Tan Sri Lodin Wok Kamaruddin and Najib's former principal private secretary, the late Datuk Azlin Alias, as they had direct access to Najib.
Earlier, Hazem testified that he had signed documents pertaining to the USD$3 billion fundraising exercise without knowing the content of the papers.
The trial before judge Collin Lawrence Sequerah continues on Wednesday.
Najib, 68, is charged with 25 counts of abuse of power and money laundering involving RM2.28 billion of 1MDB funds which were deposited into his accounts between 2011 and 2014.
He faces 20 years' jail and fine, if convicted.
Keywords: Najib Razak, 1MDB, CEO, fundraising exercise, suspicious, illegal activities