KUALA LUMPUR: The High Court today heard that a total of RM17.9 million funds from Yayasan Akalbudi were taken out by Datuk Seri Dr Ahmad Zahid Hamidi without the approval of the charity foundation's board of trustees.
This was revealed by a Malaysian Anti-Corruption Commission (MACC) investigating officer in the former deputy prime minister's trial over 47 charges of criminal breach of trust (CBT), bribery and money laundering involving tens of millions of ringgit of funds from Yayasan Akalbudi.
Muhammad Fazli Zulkifli, 36, said based on his investigations, he found that CBT was committed on the RM17.9 million funds, which were used for the purchase of company shares for Zahid's daughter Datuk Nurulhidayah Ahmad Zahid as well as to be placed as fixed deposits.
"There was CBT activity on the amount as it did not get the approval from the other members of the board of trustees.
"The money was transferred into the client's account of law firm Lewis & Co," he said during re-examination by deputy public prosecutor Ahmad Sazilee Abdul Khairi.
The 93rd prosecution witness said Zahid who is also the founder of Yayasan Akalbudi had instructed Messrs Lewis & Co to manage the monies.
He added that the law firm would only act upon Zahid's instructions.
He also confirmed that nobody on the board had given instructions to Lewis & Co specifically its partner B Muralidhahran in regards with the monies.
Asked about Zahid's cautioned statement to the MACC, Fazli said he had conducted investigations on the other witnesses in relation to the statement.
Sazilee: Can you explain the comparison you did with the cautioned statement by Zahid?
Fazli: Based on Zahid's statement, he said Yayasan Akalbudi was interested to invest in Ri-Yaz Assets Sdn Bhd (a hotel management firm) in hotel industry while the other witnesses said that Nurulhidayah was interested to make an investment and Yayasan Akalbudi paid for it.
Sazilee: How about the testimony of Tan Sri Abdul Rashid Abdul Manaf (Ri-Yaz Assets shareholder)?
Fazli: According to Rashid's statement, there was a problem with the hotel in Indonesia and the solution given was either to sell off the hotel or sell his shares... Nurulhidayah then expressed interest to invest in Ri-Yaz Assets.
The witness also testified that there were no documents to show that Yayasan Akalbudi invested in Ri-Yaz Assets.
"The investment only involved Rashid and Nurulhidayah," he added.
Asked whether there were any documents to show that Nurulhidayah was an observer or a proxy in Ri-Yaz Assets, Fazli answered in the negative.
Last Friday, Fazli testified that Zahid was involved in the withdrawal of RM17.9 million from Yayasan Akalbudi.
He said RM8.6 million was paid to Ri-Yaz Assets as deposit for a share purchase with another RM9.3 million to be placed as fixed deposits.
He said Zahid instructed for the money from Yayasan Akalbudi's Affin Bank account to be transferred to a Maybank account belonging to Messrs Lewis & Co (the foundation's trustee).
He also testified that Nurulhidayah had no connections with her father's charity foundation nor had held any positions in it.
Zahid, 68, faces 47 charges, 12 of them for criminal breach of trust (CBT), eight for corruption and 27 for money laundering involving tens of millions of ringgit of funds from Yayasan Akalbudi.
The trial continues before judge Collin Lawrence Sequerah.