RM16 million donation to UMNO not linked to breach of trust
UMNO's counsel, Mohamed Shahrul Fazli Kamarulzaman, stated the funds were accepted as donations and used for corporate social responsibility (CSR) initiatives.
'No evidence shows UMNO knew the RM16 million was disbursed due to any breach of duty by former directors in 2019. UMNO was a bona fide recipient, and the funds were spent on CSR activities,' he said during the hearing of a lawsuit filed by SRC International and its subsidiaries against UMNO and Selangor UMNO.
The counsel further argued there was no proof former Prime Minister Datuk Seri Najib Razak, then Advisor Emeritus of SRC, instructed the disbursement. 'The SRC Board held decision-making authority, and Najib's role was official, not as a shadow director,' he added.
SRC's lawyer, Razlan Hadri Zulkifli, countered that no documents justified the transfer. 'UMNO claims it was a political donation but never verified the funds. There's no record explaining why JPSB's cheques were in Najib's possession,' he said.
The plaintiffs seek RM16 million from UMNO and RM3.5 million from Selangor UMNO, alleging wrongful transfers. The hearing resumes Wednesday before Judge Datuk Raja Ahmad Mohzanuddin Shah. - Bernama
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