1MDB verdict: Najib Razak trial as a test of Malaysia's political stability

Malaysia's High Court makes a key decision in the 1MDB case against former Prime Minister Najib Razak. The verdict may affect the stability of Anwar Ibrahim's government and the balance of power in the ruling coalition.

The verdict in the 1MDB case and its political context

The Malaysian political system has once again found itself in the center of tense anticipation, xrust states. On Friday, the country's High Court is due to deliver a verdict in one of the largest corruption trials in the state's history — a case involving the 1Malaysia Development Berhad (1MDB) fund and former Prime Minister Najib Razak.

Najib, who is already serving a prison sentence, remains a key figure in Malaysian politics. Its future fate is directly related to the stability of the government of current Prime Minister Anwar Ibrahim and the internal balance of power in the ruling coalition.

Charges and the scale of the financial scandal

Investigative authorities say that about $4.5 billion was illegally withdrawn from the state investment fund 1MDB, created in 2009 with the participation of Najib Razak. According to the prosecutor's office, more than $1 billion could have ended up in the politician's personal bank accounts.

As part of the new trial, the court is considering four more episodes of corruption and 21 charges of money laundering. They relate to the alleged illegal transfer of about 2.2 billion ringgit, equivalent to approximately $539 million.

Najib Razak's position

The 72-year-old former prime minister previously made a public apology for mismanagement of the 1MDB fund during his leadership of the country. However, he continues to deny personal guilt, saying that he was misled by the management of the fund and the financier Jho Low, who is wanted.

Back in 2020, Najib was found guilty in a separate case of corruption and money laundering. After exhausting all appeals, he began serving a 12-year prison sentence, which was later halved by a pardon commission chaired by the King of Malaysia.

Possible consequences of the new court decision

If the court finds Najib guilty of the current charges, he could face 15 to 20 years in prison on each count, as well as large fines of up to five times the amount of the alleged damages. At the same time, the execution of the sentence may be temporarily suspended pending the consideration of subsequent appeals.

On the eve of the trial, another court decision had already caused a wave of criticism. Najib's request to be transferred to house arrest was rejected, increasing tensions within the ruling elite.

Pressure on the government of Anwar Ibrahim

The situation is made especially acute by the fact that Najib’s party, the United Malays National Organization (UMNO), is part of Anwar Ibrahim’s coalition government. Despite a tough contest in the 2022 elections, UMNO joined the coalition after the parliament was divided.

A number of UMNO leaders criticized the denial of house arrest, saying it undermined traditional institutions of government. Others were outraged by the reaction of Anwar's supporters on social media, who welcomed the ruling.

Political choices without easy solutions

Anwar Ibrahim called on all parties to maintain restraint and not escalate the situation, emphasizing the need for respect for the judiciary. However, any outcome of the process carries risks. A guilty verdict could prompt UMNO to reconsider its participation in the coalition or even leave the government. An acquittal, in turn, could weaken the position of Anwar himself, who has built a political image as a consistent fighter against corruption.

Critics are already accusing the prime minister of departing from principles after the prosecutor's office dropped some of the charges against Najib and other UMNO representatives. Anwar insists he does not interfere in the work of the courts, but public and political pressure on his administration continues to grow.

Xrust 1MDB verdict: Najib Razak trial as a test of Malaysia's political stability