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Former Bank Negara Governor Tan Sri Dr Zeti Akhtar Aziz on Monday (Aug 28) revealed at the High Court in Kuala Lumpur that the central bank had in fact recommended a penalty amounting to RM23mil against 1Malaysia Development Berhad (1MDB) but the Attorney-General (AG) then reduced the fine to RM15mil.

The 46th prosecution witness said this when asked by Datuk Seri Najib Tun Razak’s lead counsel Tan Sri Muhammad Shafee Abdullah at the former premier’s trial involving alleged misappropriation of RM2.3bil of 1MDB funds, where she also insisted that AmBank did inform her that Najib would be opening an account with the bank, but said the bank’s managing director Cheah Tek Kuang did not tell her that there were expected incoming donations.

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00:00 Former Bank Negara Governor Tan Sri Dr Zaty Akhtar Aziz on Monday revealed at the High
00:07 Court in Kuala Lumpur that the Central Bank had in fact recommended a penalty amounting
00:12 to RM23 million against 1Malaysia Development Berhad 1MDB, but the then Attorney General
00:19 AG Tan Sri Muhammad Appandi Ali reduced the fine to RM15 million. The 46th Prosecution
00:27 Witness said this when asked by Datuk Sri Najib Razak's Lead Counsel Tan Sri Muhammad
00:32 Shafi Abdullah at the former Premier's trial involving alleged misappropriation of RM2.3
00:38 billion of 1MDB funds. In her witness statement, the 76-year-old mentioned that the inability
00:46 of 1MDB to bring the monies back and to provide evidence on the status of the funds resulted
00:52 in a compound being imposed on the sovereign wealth fund. 1MDB paid the compound on May
00:59 25, 2016.
01:02 Apart from that, Zaty also insisted that M-Bank did inform her that Najib would be opening
01:08 an account with the bank but said the bank's managing director Cha Tek Kwang did not tell
01:13 her that there were expected incoming donations. Once again, Zaty maintained that the Central
01:19 Bank did not conduct due intelligence on individual accounts and that was the duty of the respective
01:25 financial institution. Zaty's testimony contradicts Cha's previous testimony as the 39th Prosecution
01:34 Witness in the same 1MDB trial where the letter said he had told Zaty about the purported
01:40 incoming "donation". Cha had previously on October 4, 2022, told the High Court that
01:47 he had followed M-Bank's chairman's instruction and went to Najib's house in early 2011 to
01:54 help the letter with the bank account opening documents where Najib claimed that there would
01:59 be a US$100 million donation coming in from the Saudi Arabian government for him for Islamic
02:06 activities.
02:07 70-year-old Najib faces four charges of using his position to obtain bribes amounting to
02:14 RM2.3 billion, belonging to 1MDB, and 21 charges of money laundering involving the same amount.
02:22 The trial before Judge Atul Kholin Lawrence Sekirah continues on Tuesday.
02:27 For more information visit www.dfid.gov.uk
02:29 For more information visit www.dfid.gov.uk
02:31 For more information visit www.dfid.gov.uk
02:33 For more information visit www.dfid.gov.uk
02:35 [BLANK_AUDIO]

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