Former premier Najib Abdul Razak today claimed that the US$681 million (RM2.6 billion) in his personal accounts were "contingency funds" from the king of Saudi Arabia, allegedly channelled through what he claimed was one of the latter's companies, Tanore Finance Corporation.

According to the US Department of Justice (DOJ), however, Tanore is beneficially owned by Eric Tan Kim Loong, believed to be an associate of fugitive businessperson Low Taek Jho, better known as Jho Low. Low is also believed to have used Tan's name as an alias.

The DOJ stated that the US$681 million had indeed originated from Tanore, whose source of funds was 1MDB's third bond issue raised in 2013 purportedly for a joint venture with Abu Dhabi Malaysia Investment Company (ADMIC).

The details can also be found on Malaysiakini's microsite titled: "'Stolen' 1MDB Funds: The DOJ Lawsuit Revisited". Described as the "Tanore Phase", the transaction took place between March to April 2013.

At today's exchange rate, the RM2.6 billion - first exposed by The Wall Street Journal (WSJ) and Sarawak Report in July 2015, is now RM2.792 billion.

In a lengthy Facebook post - his second for the day - the Pekan MP also said that he had requested the money to prevent BN politicians from being bought off by the then opposition ahead of the 13th general election.

"The RM2.6 billion actually refers to the US$681 million I received in my personal accounts at the end of March 2013, about a month before GE13 on May 5, 2013.

"As mentioned several times before, I was entrusted by the party to source for funds and manage the party's money. Like most other people, I have several personal accounts in various banks and the account which received the said funds was not for personal use but for use of political activities," he claimed.

Najib then cited an analysis which showed that BN was at risk of losing more parliamentary seats in GE13 compared to previous polls.

"I was facing a challenging and worrying election. I also received reports that after administrating Selangor and Penang since GE12, (the now defunct) Pakatan (Rakyat) has amassed a huge pool of funds from both local and foreign sources.

Sought 'contingency funds'

"Therefore, I was worried that the '916' (Sept 16, 2008) incident may repeat in GE13," he said, referring to Pakatan's failed attempt to get BN parliamentarians to cross over to the opposition to enable the BN government following GE12 to be toppled.

This caused him to request "contingency funds" from the Saudi Arabian king, Najib said adding that the latter agreed.

"I decided not to source funds from local businesspersons and tycoons as done by the fourth prime minister (Dr Mahathir Mohamad) as I know they will ask for projects worth more than their contributions in return. I don't agree with cronyism.

"Therefore, Prince Abdulaziz Al-Saud, wrote to me again on March 1, 2013, saying that US$800 million (although I did not receive that much) will be channelled to me in several tranches that year.

"In that letter, the prince mentioned that the funds will be channelled from either his account or his other sources including Tanore (Finance)."

In his post, Najib then lamented that the same Tanore transactions are claimed by the DOJ and the WSJ as having originated from 1MDB.

"But it is Prince Abdulaziz Al-Saud who had all along represented King Abdullah to channel the funds to me including in 2011 and 2012 when the money was transferred from the accounts of the Saudi finance minister and Prince Faisal bin Turki bin Al Saud.

"There was no reason at that time, for me or the receiving banks, to question or scrutinise the source of the funds, especially when it was accompanied by a letter from a representative of King Abdullah (below).

"I sought King Abdullah's help, he agreed and his representatives managed it," wrote Najib. Najib had also attached copies of the said letter and the electronic wire transfer printouts, in his post.

'Not for myself'

According to Najib, the US$681 million was converted into ringgit when it was transferred into his account.

"After GE13, I saw that the '916' incident was not going to happen so in July that year, I decided to return all the money to the source which is Tanore.

"After Ambank converted the money from ringgit back to American dollars then, the money was returned to Tanore. However, due to the changes in currency exchange and the depreciation of 10 percent from the month of May to August, only US$620 million was returned, from the US$681 I had received," Najib said.

He concluded by reiterating that he did not keep the RM2.6 billion for himself.

"Even if someone wanted to steal, it wouldn't make sense to keep it in a bank account under one's own name. Money owed must be paid back and if the money is stolen, problems will crop up when it is time to pay debts.

"Actually, Pakatan Harapan leaders are aware of this fact but don't want to admit that I did not keep RM2.6 billion in my pocket to buy rings and handbags.

"But this is the perception they have created among the rakyat, that I have robbed and stolen billions and many have been influenced by such claims.

"Why have I not revealed this all this while? As I have said before, it was King Abdullah's request to keep the matter a secret but the biggest worry is, whether I, as the then prime minister, should have revealed to the whole world that there activities of buying off parliamentarians happening in 'democratic' Malaysia?"