Berliner Boersenzeitung - Malaysia's former PM Najib convicted in 1MDB graft trial

His sentencing, expected later on Friday, is likely to heap years onto the six-year term he is already serving for a separate case related to the now-defunct state investment vehicle.

Presiding Judge Collin Lawrence Sequerah convicted the 72-year-old former leader on all four counts of abuse of power, as well as all 21 counts of money laundering, involving around 2.28 billion ringgit ($554 million) from the fund.

Najib, dressed in a navy blue suit and white shirt, was seen looking down, slumped in his seat as the judge read the verdict.

While Najib, the son of one of the country's founding fathers, was groomed for leadership from a young age, he experienced a spectacular fall from power as public anger mounted over the corruption scandal.

Since his 2018 election loss, investigations under successive governments have ensnared him and his wife Rosmah Mansor in graft allegations.

Prosecutors say Najib abused his positions as prime minister, finance minister and 1MDB advisory board chairman to move vast sums from the fund into his personal accounts more than a decade ago.

According to investigators, proceeds from the fund were used to bankroll high-end real estate, a luxury yacht and precious artworks.

- 'Unmeritorious' -

Delivering the verdict on Friday morning, Judge Sequerah dismissed several of the defence lawyers' arguments, including that Najib had been duped by his close associate, the shadowy businessman Low Taek Jho, better known as Jho Low.

"The evidence clearly points to the fact that this was no coincidence but was evident of a relationship in which Jho Low operated as a proxy or agent of the accused (Najib) with regard to the running of the affairs of 1MDB," Sequerah said.

The defence's argument that Najib was "misled and duped by management and by Jho Low is unmeritorious", the judge said.

1Malaysia Development Berhad (1MDB) was a state investment fund launched by Najib in 2009, shortly after he became prime minister.

Whistleblowers said Jho Low, a well-connected Malaysian financier with no official role, helped set up the fund and made key financial decisions.

It is estimated that over $4.5 billion was diverted from 1MDB between 2009 and 2015 by fund officials and associates, including Low, who is currently on the run.

Judge Sequerah also dismissed claims that Middle East donors were responsible for the money flowing into Najib's accounts, calling it a "tale that surpassed even those from the Arabian Nights".

The prosecution presented bank records, testimony from over 50 witnesses and documentary evidence.

Najib "paints himself as a victim of rogue subordinates, when in truth, he was the single most powerful decision-maker", deputy public prosecutor Ahmad Akram Gharib told the court during closing arguments.

"The accused wielded absolute financial, executive and political control," he said.

- Dented image -

Najib's lawyers have previously said the politician was unaware that 1MDB's management was working hand in glove with Low to siphon large amounts of money from the fund, ostensibly established to foster economic growth in Malaysia.

Najib's lawyer, Muhammad Shafee Abdullah, last week told journalists his client "never got a fair trial".

He again blamed Low for the scandal, which sparked probes in several countries from Singapore to the United States, and dented Malaysia's image abroad.

Najib has apologised for allowing the 1MDB scandal to happen during his tenure, but has consistently denied wrongdoing, maintaining he knew nothing about illegal transfers from the fund.

His legal battle was dealt yet another blow on Monday after he lost a bid to serve the remainder of his current jail term at home rather than the Kajang Prison outside Kuala Lumpur.

Each count of abuse of power is punishable by up to 20 years in jail and a fine of up to five times the amount of the bribe.

(L.Kaufmann--BBZ)