KUALA LUMPUR (Oct 28): The High Court has acquitted senior lawyer Tan Sri Muhammad Shafee Abdullah of all four charges of money laundering involving RM9.5 million allegedly received from jailed former prime minister Datuk Seri Najib Razak, and for making false declarations to the Inland Revenue Board.
While reading out his short judgement on Friday (Oct 28), judge Datuk Muhammad Jamil Hussin said that the prosecution had failed to prove a prima facie case against Shafee for all four charges.
“The prosecution failed to prove that the money was from receiving proceeds of unlawful activities via cheques.
“Shafee is released and freed from all four charges,” the judge added.
Jamil said the prosecution could not prove that the money in two cheques — for RM4.3 million on Sept 13, 2013, and RM5.2 million on Feb 17, 2014 — which Shafee had received were proceeds of illegal activities.
“The prosecution must prove unlawful activities as to how the money was obtained…I find from the testimony proffered by the prosecution that there is no evidence of any predicate offence involving the RM4.3 million and RM5.2 million,” the judge said, adding that the prosecutors had failed to establish predicate evidence that Najib or anybody else was linked to unlawful activities.
Shafee was represented by lawyers Harvinderjit Singh and Farhan Read. Deputy public prosecutor Afzainizam Abdul Aziz appeared for the prosecution.
The prosecution closed its case on May 12, after calling eight witnesses in the trial, which began on May 21, 2021.
On Sept 13, 2018, Shafee pleaded not guilty to receiving proceeds of unlawful activities via cheques issued by Najib, which were remitted into the lawyer's CIMB Bank Bhd accounts.
The charges were framed under Section 4(1)(a) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001.
The judge, upon acquitting Shafee of all the charges, also ordered for his passport to be returned to him.
After the judgement was read out, Shafee addressed the media and expressed his gratitude to his lawyers.
“I’m thankful to all my counsels, and thankful that this is resolved and it doesn’t go any further,” he said.
Shafee added that the reasons provided for the acquittal of all four charges without needing to call for his defence are sound.
“The reasons are not only sound, but it’s groundbreaking in the law of Amla (the Anti-Money Laundering Act), especially on the element of the transactions (the two cheques). The judge defined what these transactions meant under the law, and whether it involved any illegal activities or not,” the lawyer said.
The money was allegedly received through two AmIslamic Bank Bhd accounts belonging to Najib, and deposited into Shafee's two CIMB Bank Bhd accounts.
The offences were allegedly committed at the IRB's Jalan Duta branch at Kompleks Pejabat Kerajaan, Jalan Tuanku Abdul Halim here on March 3 and June 29, 2015.
The charges were framed under Section 4(1)(a) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001.
The prosecution in the case can appeal against the High Court decision in the Court of Appeal. However, it remains to be seen if they will do so.