Share Trading Scandal: MACC Exposes RM300 Mln Loss In Public Funds

KUALA LUMPUR, April 10 (Bernama) -- The Malaysian Anti-Corruption Commission (MACC) has detected losses of public funds estimated at more than RM300 million following an investigation into a share trading scandal involving a former chief executive officer (CEO) of a government statutory body.

According to an MACC source, the investigation conducted by the MACC's Special Operations Division (BOK) also involved a chairman of a holding company who is believed to have colluded with several board members and shareholders of another company in the sale of shares to the investment body involved.

He said the investigation found that unreasonable and disproportionate share price valuation (overvaluation) is believed to be the main cause of the huge losses to public funds.

“Today, MACC raided two more share valuation companies to confirm the actual value of the company’s shares.

“The latest investigation also found that this irregularity was systematically planned and is believed to involve money transactions in and out of accounts abroad,” he said.

According to him, so far 10 witnesses have their statements recorded, while seven more witnesses are expected to be called in the near future to assist in the investigation.

Meanwhile, MACC BOK senior director Datuk Mohamad Zamri Zainul Abidin when contacted said the focus of the investigation is now on offences under Section 16 of the MACC Act 2009 in addition to criminal breach of trust.

He said the investigation is also analysing and identifying elements of other related criminal offences, particularly under the offence of money laundering.

--BERNAMA