NIK Faisal Ariff Kamil still had influence over SRC International’s board of directors even after he was no longer the CEO, a witness told the Kuala Lumpur High Court today.

The witness, former SRC International director Suboh Md Yassin, disagreed with the defence’s suggestion that Nik Faisal’s authority ended after his service was terminated on August 11, 2014. 

Defence counsel Harvinderjit Singh pointed out that Nik Faisal resigned as CEO on September 1, 2014 and the company was then run by Azhar Osman Khairuddin.

Harvinderjit: Nik Faisal’s power as a CEO, as the man on top, had to come to an end on September 1? 

Suboh: Not necessarily so. He was still there as an executive director.

Harvinderjit brought out minutes from an SRC International board meeting, which said that the board was disappointed with the non-filing of audited financial statements in 2013.

The board had been misrepresented, and only found out about this from a report in The Edge, the minutes said. It also said that former board chairman Ismee Ismail emphasised the importance of corporate governance.

Suboh: Here is an expression of displeasure of the board at the non-submission of audited financial statements. When I expressed my views on how I see the board, how Nik Faisal behaved, it’s in a different context. 

Harvinderjit: Now we’re going wishy-washy on the whole thing.

Harvinderjit said in spite of Suboh’s comment yesterday that there was a “mountain” behind Nik Faisal, the latter was made to quit and was replaced by Azhar. 

When asked if he approached Azhar regarding observations that SRC International did not follow procedures in the appointments process, Suboh said he does not recall if he did.

Yesterday, Suboh told the court Nik Faisal was “emboldened” by a “mountain behind him”. 

“You know he was emboldened because of his position. He was the CEO and he was a very powerful person because he had somebody behind him.

“It was like the Chinese proverb that says ‘there is a mountain behind him’… so dia beranilah. He could just brush us (the board of directors) aside.”

Suboh did not disclose the identity of “the mountain”.

The defence had suggested that it was Nik Faisal who was guilty of forging signatures to carry out millions of ringgit in bank transactions, to which Suboh had replied that it was possible. 

Suboh told the court today that his son, Sofian, was party to a project management team lead by Azhar for SRC International to carry out development projects.

The projects were the Sabah Gas Pipeline project and a national strategic coal initiative. Both were projects of national importance, he said. 

The defence also asked whether Suboh was paid RM179,000, excluding allowances, annually as director. Suboh said he could not recall. 

Najib’s charges are linked to RM4 billion in loans issued to SRC International in 2011 and 2012, for which he is accused of receiving RM42 million through his personal accounts in 2014 and 2015.

He faces three counts of criminal breach of trust, three counts of money-laundering and one count of abuse of power.

Najib, 66, is represented by a dozen lawyers led by Shafee, while Attorney-General Tommy Thomas leads the prosecution. Justice Mohd Nazlan Mohd Ghazali is the presiding judge. – July 3, 2019.