In a landmark ruling, Malaysia's High Court has convicted former Prime Minister Najib Razak on multiple counts of abuse of power, marking the latest chapter in the sprawling 1MDB corruption scandal.
A Second Conviction for the Former Leader
The court found the 72-year-old, who is already serving a prison sentence, guilty on three counts on Friday, 26 December 2025. Rulings on additional charges were still being delivered that afternoon. Authorities proved he siphoned more than $700 million from the 1MDB state investment fund into his personal bank accounts.
Najib, who served as the nation's leader from 2009 to 2018, is currently incarcerated following a 2020 conviction in an earlier case linked to the same scandal. That case involved 42 million ringgit ($10.3 million) from SRC International, a former 1MDB unit. He began his 12-year sentence in August 2022 after losing a final appeal, becoming the first former Malaysian prime minister to be imprisoned.
The Global Scale of the 1MDB Looting
The corruption case, which Najib set up shortly after taking office, sent shockwaves through international financial markets and triggered investigations across several countries, including the United States and Singapore. Between 2009 and 2014, associates of Najib looted over $4.5 billion from the fund, according to the U.S. Justice Department.
The laundered money was used to finance a lavish global spending spree, funding Hollywood films and purchasing luxury assets such as hotels, a superyacht, fine art, and jewellery. Former U.S. Attorney General Jeff Sessions famously labelled the scheme "kleptocracy at its worst." The scandal also ensnared Wall Street giant Goldman Sachs, which faced billions in fines for its role in raising money for 1MDB.
Failed Appeals and Political Fallout
Najib has consistently denied wrongdoing, claiming the funds were a political donation from Saudi Arabia and that he was misled by financiers like the fugitive Low Taek Jho. Prosecutors, however, argued he was the central decision-maker and ultimate beneficiary of the scheme.
His legal setbacks continued this week when Malaysia's High Court ruled a rare royal order for him to serve his sentence under house arrest was invalid. This followed a 2024 decision by the Pardons Board that had halved his original sentence and reduced his fine. Originally due for release in August 2028 after that reduction, this new conviction likely means a longer period behind bars. His lawyer has stated they plan to appeal the latest verdict.
The scandal had profound political consequences, leading to the 2018 election defeat of Najib's party, which had governed since independence from Britain in 1957. His wife, Rosmah Mansor, was also sentenced to 10 years in prison in a separate graft case in 2022 and is currently on bail pending an appeal.
