Malaysia court drops 1MDB corruption charges against Najib Razak

The court has dropped corruption charges tied to the massive 1MDB scandal against former prime minister Najib Razak and ex-treasury chief Irwan Serigar Abdullah. Lawyers for both men confirmed the decision, citing delays and missing key evidence from the prosecution.

What Is the 1MDB Scandal?

The 1Malaysia Development Berhad (1MDB) fund was set up in 2009 to boost Malaysia's economy. But authorities in Malaysia and the U.S. discovered that around $7 billion (USD) was stolen through a complex global scheme between 2009 and 2014.

Najib, who helped create the fund during his time as prime minister, was convicted of corruption and money laundering in 2022. He was sentenced to 12 years in prison. However, this sentence was later reduced after a pardon approved by Malaysia’s king.

Why Were the Charges Dropped?

In 2018, Najib and Irwan were charged with six counts of criminal breach of trust. The charges involved 6.6 billion ringgit (about $2.29 billion USD) linked to government funds. Officials claimed this money was tied to a settlement between 1MDB and Abu Dhabi's International Petroleum Investment Company.

Both men denied any wrongdoing. Their lawyers argued that delays in the case and missing key documents made a fair trial impossible. The Kuala Lumpur High Court agreed, giving them a “discharge not amounting to an acquittal.” This means the charges can be refiled if new evidence comes to light.

Najib’s lawyer, Muhammad Farhan Muhammad Shafee, praised the decision. He said the court acted fairly and followed the law.

Ongoing Questions About 1MDB Cases

This decision raises concerns about other cases against Najib. Last year, prosecutors did not appeal his acquittal in another 1MDB-related case. Critics accuse the current government of going soft on corruption.

Prime Minister Anwar Ibrahim came to power two years ago, promising to fight corruption. However, some say he has not followed through. Anwar has denied these claims, stating he does not interfere in court cases.

Najib’s Push for House Arrest

Najib has been seeking to serve the rest of his prison sentence under house arrest. He claims a royal order allows him to do this. So far, the government has not confirmed the existence of such an order.

Anwar's government recently announced plans to introduce a law next year that could allow house arrest for some prisoners. Officials insist this is not aimed at Najib or other politicians accused of corruption.

The dropping of these charges does not mean the end of legal troubles for Najib. Many are watching to see how other cases tied to 1MDB unfold.