Company director freed of CBT, money laundering charges involving more than RM9 million

KUALA LUMPUR - The Sessions Court today acquitted and discharged a director of a construction company for criminal breach of trust (CBT) and money laundering involving more than RM9 million.

Judge Datin Sabariah Othman made the decision after finding that the prosecution had failed to prove a prima facie case against Semenyih Jaya Sdn Bhd director Lau Kok Loon, 80, at the end of the prosecution case.

"After examining the testimony of the prosecution witnesses and the documents presented, the court found that the elements of breach of trust failed to be proven, where the evidence presented failed to show that the accused committed breach of trust of the four cheques (RM7,608,167.43) that were entrusted to him.

"Overall, the elements of the offence failed to be proven. The court found that a prima facie case has failed to be proven under the offence of criminal breach of trust and money laundering.

"Therefore, the accused is acquitted and discharged of both charges without having to enter his defence,” said the judge.

In her judgment, Sabariah said the investigation of the case was incomplete and many important pieces of information were not investigated, causing the accused to be denied his right to a fair trial.

"The money was deposited into the account of the accused and another nominee, Lau Toon Lai. The failure to call this nominee resulted in some important evidence not being firmly proven.

"The court also agreed with the lawyer's argument that the charges presented were flawed and invalid," she added.

According to the charge, Kok Loon was alleged to have engaged in money laundering by transferring monies allegedly proceeds from unlawful activities through his Hong Leong Bank fixed savings account to his current savings account at the same bank through 34 transactions amounting to RM9,155,644.23.

The offence was allegedly committed at Hong Leong Bank, Kuala Lumpur main branch, Floor 1, Wisma Hong Leong, Jalan Perak, here, from Dec 4, 2013, to Sept 19, 2017.

The charge was framed under subsection 4(1)(b) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 which provides imprisonment for up to 15 years and can also be fined not less than five times the amount or value of the proceeds from the unlawful activity or RM5 million, whichever is higher, if convicted.

He was also charged as a director of the company with committing CBT of four Hong Leong Bank cheques involving RM7,608,167.43 at Jalan Sungai Besi, Dang Wangi, here, between Aug 27 and Sept 3, 2013.

The charge, framed under Section 409 of the Penal Code, provides for a prison sentence of between two and 20 years, whipping and is also liable to a fine, if convicted.

The prosecution was handled by Deputy Public Prosecutor Raihanah Abd Razak, while lawyer Lee Keng Fatt represented the accused.

A total of 10 prosecution witnesses testified at the trial of the case which began on July 27, 2020. - BERNAMA