RM1 million compound on Ahmad Maslan a form of asset recovery, says MACC

The Malaysian Anti-Corruption Commission (MACC) today said that the RM1.1 million compound issued against Ahmad Maslan was punitive act and a form of asset recovery under the country’s money laundering laws, hours after the Pontian MP was acquitted and discharged of failing to declare RM2 million to the Inland Revenue Board and giving false statements to the anti-graft agency.

In a statement, MACC said Ahmad was offered the compound in October 2019 but had then chosen to go to court.

“Accordingly, he was charged with two charges under Sections 4(1) and 32(8)(c) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 on Jan 20, 2020,” it said.

It added that during the course of the trial proceedings, Ahmad had submitted several representations and agreed to pay the compound in question.

“MACC would like to clarify that the compound imposed was a form of punitive action applicable to any individual involved, and a form of asset recovery under the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001,” it said.

Ahmad was freed after deputy public prosecutor Mohd Mukhzany Fariz Mohd Mokhtar informed the court that the prosecution was withdrawing the two charges after the Pontian MP’s payment of the RM1.1 million compound yesterday.

For the first charge, Ahmad was alleged to have engaged in money laundering by not reporting his actual income in the income tax return form for the year of assessment 2013 which is contrary to Section 113 (1)(a) of the Income Tax Act 1967.

The other charge was for giving false statements to MACC when questioned by investigating officer Mohd Zairi Zainal over the issue in 2019.

Ahmad later said that the entire settlement process had taken more than a year before it was accepted and recorded in court today.

“Several representations were sent to the Attorney-General’s Chambers… The settlement process went through a series of applications, discussions and arbitration between the parties concerned and was only recorded in court after it was agreed on by all parties.

“The settlement process was also finalised after all parties were ready to give their respective commitment to the agreed settlement terms,” he said.