Former prime minister Dr Mahathir Mohamad does not buy the narrative that the RM2.6 billion (US$681 million) donation made to Prime Minister Najib Abdul Razak was for election spending.

Having led the BN to victory in five general elections, Mahathir said it does not take that much money to win a general election in Malaysia.

“The claim that US$700 million (sic) was for fighting the Islamic State here is not credible because Najib openly claimed that it was for Umno to win the election in 2013.

“Winning elections in Malaysia does not require billions of ringgit,” Mahathir said on his blog today.

Attorney-general Mohamed Apandi Ali last week cleared Najib of any wrongdoing over the US$681 million donation, which Apandi said was made by the Saudi royal family.

Apandi said Najib returned US$620 million to the donor, but did not specify what he did with the remaining US$61 million.

Deputy Transport Minister Aziz Kaprawi said the portion not returned to the donor was used for election spending.

Sources close to the family told the BBC that the donation was given by the late Saudi monarch King Abdullah to help Najib win the 2013 general election and stave off influence of the Muslim Brotherhood in Southeast Asia.

The Saudi government considers the Muslim Brotherhood a terrorist organisation.

International investigation ongoing

Mahathir said while it was true the Saudi government has given aid to other countries, this had been done through official channels and not transferred directly to a PM’s private bank account.

Mahathir said the AG's failure to give an explanation meant that the public will continue to believe that the funds came from 1MDB.

This despite the AG warning not to lump the donation case and SRC International's funds of RM42 million channelled to Najib together with the 1MDB investigations abroad.

Switzerland, Hong Kong and Singapore authorities are investigating possible corruption and money-laundering linked to 1MDB.

“Clearly, the AG does not want the Swiss AG to know whether the money in the prime minister’s personal accounts comes from 1MDB or not,” said Mahathir.