1MDB: First trial against ex-Malaysian PM Najib begins

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After months of waiting, appeals and a postponement, Malaysia's former prime minister Najib Razak went on trial on Wednesday for the first time in connection with the multi-billion-dollar 1MDB scandal that brought down his government last year.

Najib pleaded not guilty to charges of criminal breach of trust, money laundering and abuse of power, while a group of his supporters gathered outside the courthouse in Kuala Lumpur.

This is the first time in Malaysian history that a former PM has ended up in court. It is also just the first of several expected trials against 65-year-old Najib in relation to 1MDB.

Stretching far beyond Malaysia's borders, the scandal made headlines around the world prompting investigations from half a dozen countries, and involving superstars, luxury yachts, and prized artwork in a plot fit for a Hollywood movie.

What is the 1MDB scandal?

Investigations into dodgy dealings at 1Malaysia Development Berhad, a state investment fund set up by Najib in 2009, began in 2015.

(L-R) Actors Jonah Hill, Margot Robbie and Leonardo DiCaprio attend the UK premiere of "The Wolf of Wall Street" in London, England, January 9, 2014. /VCG Photo

The U.S. Justice Department estimated that some 4.5 billion U.S. dollars were stolen from the fund during that time, with 681 million dollars reportedly landing in the former PM's personal bank accounts, according to the Wall Street Journal.

Some of that money was allegedly used to finance the movie "The Wolf of Wall Street," to buy a Picasso painting for actor Leonardo DiCaprio, as well as jewelry for model Miranda Kerr.

Malaysians' outrage at the scandal led to a historic loss for Najib's Barisan Nasional party, which was booted out of government last May for the first time in the country's history.

Najib has since been charged with 42 counts of corruption and money laundering. He has denied any wrongdoing.

Trial #1

Malaysian media noted that the beginning of proceedings on Wednesday came 10 years to the day after Najib was sworn into office.

The Exchange TRX precinct, started by 1MDB, in Kuala Lumpur, Malaysia, February 12, 2019. /VCG Photo

The former prime minister has been charged with three counts of money laundering, three counts of criminal breach of trust and one count of abuse of power, in relation to the alleged transfer into his personal bank account of 42 million ringgit (10.3 million U.S. dollars) from SRC International, a unit of 1MDB set up to deal with energy projects.

In a sign of the importance the government places on this trial, the attorney general himself – Tommy Thomas – is leading the prosecution. Najib's successor Prime Minister Mahathir Mohamad had made it a campaign promise to crack down on corruption.

On Wednesday, tight security was in place at the Kuala Lumpur Courts Complex, where the trial was being held, and there was a large police presence outside, local media reported. Upon Najib's arrival, a group of supporters shouted "Long Live Najib."

With international media interest high and courtroom space limited, a video link was provided for journalists who failed to gain access.

Delaying tactics

The trial was initially set to start in February but was postponed at the last minute.

The luxury yacht Equanimity, reportedly worth 250 million U.S. dollars and owned by Jho Low, a former unofficial adviser to the Malaysian fund 1MDB, sits in the waters off Indonesia's resort island of Bali, April 4, 2018. /VCG Photo

Najib's legal team has filed a raft of appeals over procedural matters over the past few months, including as recently as Monday, that critics have denounced as delaying tactics.

"The multiple delays are so obvious and deliberate, it's a way of pushing the trials further," Cynthia Gabriel, head of the Center to Combat Corruption and Cronyism, told AFP news agency.

"It's apparent that the former ousted PM isn't quite ready to sit in the dock and face trial, be cross-examined, and get embarrassed."

After opening statements and the testimony of a first witness, the trial was adjourned until April 15. It is expected to last until at least May 10, with prosecutors saying they want to call around 60 witnesses.

(Cover picture: Former Malaysian PM Najib Razak departs the Kuala Lumpur High Court with his wife Rosmah Mansor, October 4, 2018. /VCG Photo)