Jailed Malaysian ex-PM Najib pays fine, meeting condition for house arrest

Kuala Lumpur: Jailed Malaysian former prime minister Najib Razak paid a $12 million fine Friday, allowing him to serve the rest of his sentence under house arrest, his party said.

The 73-year-old former leader was jailed for his role in one of the largest-ever global plunders of a sovereign wealth fund, the now-defunct 1Malaysia Development Berhad (1MDB).

"UMNO has completed all payment processes to the Kuala Lumpur High Court this morning," the United Malays National Organisation said in a statement, referring to the 50 million ringgit ($12 million) fine.


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"UMNO hereby officially closes the special Najib Razak Solidarity Fund account, which was established to receive public contributions. There is no longer a need for public crowdfunding for this purpose."

Najib's aide, Ahmad Lutfi Azhar, also confirmed the payment and the former leader's lawyer Farhan Shafee said they had already obtained transfer papers.

"We have that order (for house arrest) and we will be delivering the order to Kajang Prison now," Farhan told reporters.

Asked if Najib will be transferred to his house on Friday, he said: "If the process goes in accordance to plan."

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Malaysian King Sultan Ibrahim had granted Najib the conditional pardon in September, allowing him to serve out the rest of his prison sentence under house arrest provided he pay the fine.

The road leading to Najib's residence was as of noon cordoned off with yellow police tape and traffic cones blocking access to the area, an AFP journalist saw.

Police had parked patrol cars and mobile vans as well as set up two tents near the entrance to the road, in preparation for crowd control.

Money siphoned

A Malaysian judge late last year rejected an original request to allow Najib to serve the rest of his time at home.

Najib was sentenced to 12 years in prison in July 2020 in a first trial over vast sums of money siphoned from a former 1MDB subsidiary called SRC International Sdn Bhd.

But a pardons board later halved the term, and his fine was reduced to 50 million ringgit.

His sentence in this case is scheduled to be completed by August 2028.

Days after Najib's December bid for house arrest was turned down, the ex-PM was again sentenced to another 15 years behind bars in a separate trial, also linked to the 1MDB graft scandal.

Najib has also been fined 11.4 billion ringgit for his role in the corruption scandal, which took place more than a decade ago.

He is currently appealing the 15-year sentence, which is only set to start once the six-year sentence is completed.

The son of one of Malaysia's founding fathers, Najib was groomed for leadership from a young age but fell from power spectacularly as public anger mounted over the corruption scandal.

Investigations under successive governments have ensnared him and his wife, Rosmah Mansor, in graft allegations since his loss in 2018 elections.

Prosecutors said Najib abused his positions as prime minister, finance minister and 1MDB advisory board chairman to move vast sums from the fund into his personal accounts.

According to investigators, proceeds from the fund were used to bankroll high-end real estate, a luxury yacht and precious artworks, including a Monet and a Van Gogh.

Fugitive financier, Jho Low, who is seen as the mastermind behind one of the biggest financial heists in modern history from the 1MDB fund, meant to spur Malaysian development, is still on the run.

Set up in 2009 under Najib, 1MDB was supposed to serve as an investment vehicle to fund major infrastructure and urban development in the country.

But Low, through his proximity to Najib and other top officials, soon became a pivotal figure in schemes that diverted around $4.5 billion from 1MDB via shell companies and complex financial transactions, US and Malaysian prosecutors said.