Malaysia’s Ex-PM Najib Razak Set for House Arrest After $12 Million Fine Payment, Legal Stay Halts Transfer

Former Malaysian Prime Minister Najib Razak is set to move from prison to house arrest after his political party, the United Malays National Organisation (UMNO), paid a fine of 50 million ringgit (approximately $12 million). The development follows a royal pardon granted by Malaysia’s King Sultan Ibrahim, although authorities have temporarily suspended the transfer pending clarification of legal questions.

Najib’s lawyer, Farhan Shafee, said on Friday, November 6, that he had received the court order authorising his client’s transfer to house arrest. He said he would deliver the document to Kajang prison, where the former prime minister is currently being held. The transfer was expected to take place on Friday, subject to the necessary arrangements.

However, Malaysia’s Attorney-General’s Chambers subsequently announced that the transfer had been temporarily suspended. In a statement, the authorities said Najib would remain in prison while legal questions concerning the interpretation of his conditional royal pardon were examined. This has created uncertainty over when the house-arrest arrangement will actually begin.

The development follows a decision by King Sultan Ibrahim in September to grant Najib a conditional royal pardon, allowing him to serve the remainder of his existing prison sentence at home. His political party, UMNO, reportedly raised the 50 million ringgit fine through crowdfunding, as Najib’s bank accounts remain frozen.

Najib has been imprisoned since August 2022 after being convicted in a corruption case involving SRC International, a former subsidiary of the state investment fund 1Malaysia Development Berhad (1MDB). The case involved 42 million ringgit in public funds.

The former prime minister, who led Malaysia from 2009 to 2018, has also been at the centre of the massive 1MDB corruption scandal. Investigators estimate that approximately $4.5 billion was misappropriated from the state fund, with more than $1 billion allegedly linked to Najib. He has consistently denied wrongdoing, arguing that he was unfairly held responsible for an extensive international financial fraud.

In a separate 1MDB-related trial, Najib was sentenced to 15 years in prison and fined $2.5 billion for money laundering and abuse of power. He has appealed the verdict, while his lawyers have sought to suspend the sentence and financial penalties. The possibility of house arrest for Najib Razak has also raised political questions in Malaysia. Prime Minister Anwar Ibrahim has publicly expressed concerns about the pardon, although speculation persists over the political negotiations surrounding the decision.