The former prime minister also acknowledged being cautioned by The Edge Media Group chairman, Tan Sri Tong Kooi Ong, who informed him that Jho Low, whose real name is Low Taek Jho, had misappropriated funds from 1Malaysia Development Berhad (1MDB).
During cross-examination by deputy public prosecutor Mohamad Mustaffa P Kunyalam, Najib agreed that Tong, who testified as the 43rd prosecution witness in his trial, had expressed concerns and suspicions about Jho Low during a meeting at Najib's residence on March 6, 2015.
In prior proceedings, Tong testified that during the said meeting, he had urged Najib to take legal action against Jho Low, pointing out that approximately USD700 million of 1MDB's funds had been transferred to Good Star Ltd, a company owned by Jho Low.
Mohamad Mustaffa: "Datuk Seri, do you agree that Tan Sri Tong's warning further heightened your suspicions and discomfort (regarding Jho Low)?"
Najib: "Agreed".
Mohamad Mustaffa: "By 2015, suspicions regarding Jho Low had reached a peak, yet no action was taken against him".
Najib: "At the time, I was waiting for investigative reports on 1MDB from the relevant agencies, but none were forthcoming".
Najib was also questioned about his decision not to distance himself or sever ties with Jho Low, despite growing suspicions about the latter's conduct at the time.
Mohamad Mustaffa suggested that Najib's failure to dissociate from Jho Low constituted a breach of Article 8 of the Code of Ethics for Members of the Administration 1997.
The provision stipulates that members of the administration and Parliament must maintain oversight of the financial management of organisations under their leadership to prevent misconduct that could place the government in a compromising position.
However, Najib disagreed with the suggestion, asserting that he continued to rely on Jho Low's assistance as he had objectives to achieve in the national interest.
Najib further stated that he believed Jho Low had strong connections with Saudi Arabia, citing an incident where Jho Low informed him that he (Najib) might receive the highest honour from the late King Abdullah following a four-day official visit in 2010.
Mohamad Mustaffa then contended that this demonstrated Najib's reliance on information provided by Jho Low.
Najib clarified that Jho Low did not play a role in securing the honour but had obtained the information from King Abdullah's son, Prince Turki.
"I heard that I might receive the honour, but I did not receive confirmation from our ambassador in Saudi Arabia. Jho Low knew about it because of his special relationship with the royal family, and the honour was indeed bestowed," he said.
On Oct 30 last year, Judge Datuk Collin Lawrence Sequerah ordered Najib to enter his defence after ruling that the prosecution had successfully established a prima facie case against him.
Najib, 71, faces 25 charges, including four counts of abusing his position to obtain RM2.3 billion in 1MDB funds as bribes, and 21 counts of money laundering involving the same amount.
The trial will resume on Jan 20.
-- BERNAMA
