This article first appeared in The Edge Financial Daily on January 22, 2020
KUALA LUMPUR: More of Umno’s leadership were embroiled in legal tangles concerning 1Malaysia Development Bhd funds (1MDB), with former deputy finance minister Datuk Seri Ahmad Maslan and Federal Land Development Authority ex-chairman Tan Sri Shahrir Samad yesterday separately claimed trial at the Sessions Court to money laundering charges under the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 (AMLATFPUA).
Both of these cases are in relation to the compound issued by the Malaysian Anti-Corruption Commission (MACC) last October regarding 1MDB.
Many Umno leaders, including party president Datuk Seri Ahmad Zahid Hamidi, secretary-general Tan Sri Annuar Mansor, Umno Youth chief Datuk Asyraf Wajdi Dusuki and party supreme council members Datuk Seri Tajuddin Abdul Rahman, Tan Sri Noh Omar, Datuk Seri Jamil Khir Baharom and Datuk Lokman Noor Adam were present to give support.
Ahmad, 54, who is also member of parliament (MP) for Pontian, faces a charge of not declaring to the Inland Revenue Board RM2 million received via an AmIslamic Bank Bhd cheque from former premier Datuk Seri Najib Razak, from illegal proceeds, in the 2013 tax assessment.
If convicted under Section 4(1) of the AMLATFPUA Act, Ahmad could face a maximum of RM5 million fine, up to five years in jail, or both.
He also faces another charge of allegedly giving a false statement to MACC investigating officer Mohd Zairi Zainal at the Parliament press conference room on July 23 last year.
Ahmad allegedly said the money was not from Najib, he had not seen a cheque for that amount, and he neither knew about the cheque nor cashed it.
For this offence under Section 32(8) of the AMLATFPUA, the federal lawmaker faces a maximum fine of RM3 million, jail for a maximum of five years or both if convicted. Ahmad was represented by Hamidi Mohd Noh and Md Yunos Sharif.
Sessions Court Judge Azman Ahmad granted bail at RM500,000 with one surety and ordered Ahmad to surrender his passport. He also fixed Feb 21 for mention of the case.
Meanwhile, at the Sessions Court before judge Azura Alwi, Shahrir pleaded not guilty and claimed trial to the RM1 million money laundering charge under Section 4(1) of AMLATFPUA.
The 71-year-old former federal territories minister had allegedly breached Section 113(1)(a) of the Income Tax Act 1967 by not declaring RM1 million received via a cheque from Najib’s AmIslamic Bank on Nov 23, 2013 deposited into his Public Bank Bhd account.
He also faces a maximum RM5 million fine, five years’ jail or both.
Deputy Public Prosecutor (DPP) Norzilati Izhani Zainal @ Zainol, who appeared with DPP Nik Haslinie Hashim, sought bail of RM500,000, and Shahrir’s lawyer Syahril Syazwan Salehin said the amount was too high, and should take into account the accused’s conduct and behaviour.
“Since the MACC’s investigations commenced, he has never failed to be present to cooperate and assist the authorities.
“The related accounts have been frozen since the investigation began in 2018. He will need to use his savings and pension to pay the bail,” added Syahril.
Shahrir’s second lawyer Fahmi Moin asked for the bail to be reduced to RM300,000 and said it is unlikely that Shahrir would flee the country, given his high social standing and being one of the longest serving MPs in the country.
Azura subsequently set bail at RM350,000 with the accused to surrender his passport to the court. The judge set Feb 24 as the next date for case mention.