Najib seeks to set aside Mareva injunction over asset freeze

KUALA LUMPUR: Former Prime Minister Datuk Seri Najib Tun Razak has filed an application to set aside the Mareva injunction obtained by 1Malaysia Development Berhad (1MDB) and one of its subsidiaries to stop him from disposing of or reducing the value of any of his assets in Malaysia up to US$681 million.

During yesterday's proceedings, High Court Judicial Commissioner (JC) Atan Mustaffa Yussof Ahmad fixed May 6 to hear the Pekan MP's application and extended the injunction until the hearing.

A counsel from the legal firm of Rosli Dahlan Saravana Partnership, which represented 1MDB, when contacted, confirmed the matter.

On Feb 8, JC Atan Mustaffa allowed an ex-parte application for a Mareva injunction by 1MDB and Global Diversified Investment Company Limited (formerly known as 1MDB Global Investments Limited) ,which are the first and fifth plaintiff, respectively, in the 1MDB suit against Najib and several others.

The injunction also restricted Najib to making withdrawals of up to only RM100,000 a month which he would need for his living and legal expenses.

However, if he needs more than the amount allowed, he would have to get written permission from 1MDB and Global Diversified.

A Mareva injunction is a court order which effectively freezes assets of a defendant from being dissipated pending the outcome or completion of a legal action.

The order also states that Najib must make written disclosures to 1MDB and Global Diversified in relation to his assets up to the value of US$681 million, whether locally or abroad, whether under his own name or not, and whether on sole proprietorship or ownership with other defendants.

He is required to provide the value, location and all information of the asset and such information shall be verified by an affidavit and served to the counsel of the first and fifth plaintiff.

If the total value is free of mortgage or securities in assets in the country exceed US$681 million, Najib can remove or dispose of the assets as long as the total unencumbered value remains not less than US$681 million.

The order also states that any individual in this proceedings or otherwise, who is informed of the order in question, should not aid or permit a breach of the order where they may be subject to contempt of court action if they do so.

In the suit, 1MDB, 1MDB Energy Holdings Limited, 1MDB Energy Limited, 1MDB Energy (Langat) Limited and Global Diversified are the plaintiffs, while Najib, (former 1MDB financial director) Terrence Geh Choh Heng , (former 1MDB lawyer) Jasmine Loo Ai Swan, (former 1MDB executive director) Casey Tang Keng Chee, Vincent Beng and (1MDB chief operations officer) Radhi Mohamad are named the defendants.

Also named the defendants are former Investment director Kelvin Tan Kay Jim and (former SRC International Sdn Bhd chief executive officer) Nik Faisal Ariff Kamil.

The US$8 billion suit is one of the 22 civil suits filed to claim over US$23 billion on behalf of 1MDB and its former subsidiary SRC International against several individuals allegedly involved in the financial scandal.

-- BERNAMA