Malaysia

1MDB set up as BN political fund: ex-chief secretary to govt

Tan Sri Mohd Sidek Hassan claims he was never briefed on investigations into company

Updated 4 years ago · Published on 07 Jun 2022 6:23PM

1MDB set up as BN political fund: ex-chief secretary to govt
Former chief secretary to the government Tan Sri Mohd Sidek Hassan testifies that he had never asked former prime minister Datuk Seri Najib Tun Razak (pic) or any party in 1MDB about the problems in the company. – The Vibes file pic, June 7, 2022

KUALA LUMPUR – Former chief secretary to the government Tan Sri Mohd Sidek Hassan told the high court here today that according to his understanding, strategic investment company 1Malaysia Development Berhad (1MDB) was set up as a political fund for the ruling party then, Barisan Nasional (BN). 

Sidek, 71, said as such, he had never asked former prime minister Datuk Seri Najib Tun Razak or any party in 1MDB about the problems in the company.

He said the issues that troubled 1MDB were only known to him through the mass media such as newspapers and the Internet, adding that he was aware that they were related to allegations of misuse of funds. 

“I was also aware from newspaper reports that investigations on 1MDB were being conducted by local agencies such as the Malaysian Anti-Corruption Commission (MACC), but I was never briefed or given further details on them.

“I can confirm that Datuk Seri Najib, as prime minister (then) had never informed me of issues in 1MDB, although I had been appointed as a member of the 1MDB board of advisors.

“I had also never asked Datuk Seri Najib why there were no 1MDB board of advisors meetings held throughout my time as a member and (why) no 1MDB representatives had reported to me on operations and investments made by the company,” he said. 

Sidek said when reading his witness statement during examination-in-chief by deputy public prosecutor Mohamad Mustaffa P. Kunyalam in Najib’s trial over the misappropriation of RM2.3 billion in funds from 1MDB.

Meanwhile, the 19th prosecution witness said he was of the opinion that his appointment as a member of the 1MDB board of advisors was only to supplement his income (as chief secretary to the government), which he added that according to Najib, was considered low. 

“When Datuk Seri Najib was prime minister, he once asked me about my salary as chief secretary to the government, and he felt that it was quite low,” Sidek, who held the post of chief secretary to the government from September 2006 to June 2012. 

On his appointment as a member of the 1MDB advisory board, Sidek said it was made official through a letter issued by Najib and dated August 30, 2012. 

“Although I was appointed as a member of the 1MDB advisory board, I have never been involved in any meetings or discussions on the company’s issues and had never been invited to attend 1MDB’s annual meetings. I had also never asked Datuk Seri Najib or 1MDB to be appointed as a member of this advisory board,” he said.

According to Sidek, he received an allowance of RM30,000 per month during his initial tenure as a member of the 1MDB advisory board.

“After I retired as chief secretary to the government, I was still receiving an allowance of RM10,000 per month until I no longer held this position in June 2015,” he said. 

Sidek said on June 2, 2016, he received a letter from the 1MDB chief executive officer Arul Kanda Kandasamy that the 1MDB advisory board had been dissolved. 

“I was not informed through this letter on the reasons why the 1MDB advisory board was dissolved and I also did not know either why it was dissolved. I also did not ask Datuk Seri Najib and 1MDB why the advisory board was dissolved,” he said. 

Najib, 68, is facing four charges of using his position to obtain bribes totalling RM2.3 billion from 1MDB funds and 21 charges of money laundering involving the same amount. – Bernama, June 7, 2022

Related News

Opinion / 1d

When the corrupt are celebrated, what becomes of integrity?

Malaysia / 2w

No 1MDB-scale breaches detected in GLCs, GLICs so far, says Anwar

Malaysia / 3w

Donating to Najib: ‘One of the most foolish things I have seen’ – UM student

Malaysia / 3w

Najib fails to secure stay of 15-year jail term, RM11.38b fine in 1MDB case

Malaysia / 1mth

‘We need more healthcare professionals, not corrupt politicians’ (video)

Malaysia / 2mth

Anwar surprised by Najib's new pardon attempt

Spotlight

Opinion

Can Najib break Madani?

World

Trump offers UFC CEO the position of Press Secretary

Malaysia

Building a great nation begins with happy families, says Anwar

Malaysia

Anwar should sack BN ministers who are not aligned with him – Muhyiddin

Malaysia

AGC rejects claims of defying King’s decree on Najib

Malaysia

Deepavali: Selangor Sultan calls on Malaysians to strengthen unity, reject hatred

Malaysia

If there were still obstacles, why accept the RM50m payment, asks Najib’s daughter

Malaysia

Where did UMNO's RM50 million payment for Najib's release come from?

By The Vibes Says

You may be interested

Malaysia

AGC files application to review Najib’s discharge order

Malaysia

Malaysia must reduce reliance on foreign workers through automation, robotics, says Johari

Malaysia

Melaka state election battle hinges on urban strongholds

Malaysia

Malaysian man with two criminal records held in Brunei’s record 102kg drug bust

Malaysia

Anwar hails RM203b Softbank-led AI investment as vote of confidence in Malaysia

Malaysia

Woman with disabilities found dead after two-hour search in Tawau

Malaysia

Sultan Selangor warns against misuse of funds collected in Islam’s name

Malaysia

Najib transferred to house arrest after court issues fresh order