Sunday, September 30, 2018

Will leaving BN save you from prosecution? Money laundering - what is it? Get back Malaysians' money?

IT is only just that all persons who 'abused' their powers and allowed monies and/or opportunities to flow to themselves, their family and/or friends should not be allowed to escape after taking Malaysian people's monies. These monies that belong to the Malaysian people need to be recovered at all cost. This will include 'dirty' money (or laundered money). All recipients of such money that really belongs to Malaysians cannot simply keep it - it must be recovered, and maybe even the recipients of such money should be investigated and charged... 

MONEY LAUNDERING - read article below for better understanding

Why are UMNO members and MPs leaving UMNO(and maybe also BN component parties)? Are they hoping that by so doing, and maybe joining one of the Pakatan Harapan parties or becoming 'friendly' with some of main leaders, MAYBE...the law will not come after them?

Initially, it was just Najib who was charged in court ...and maybe many others who were involved or did wrong may have felt that the Malaysian peoples' anger would simply be settled with the prosecution of just the former Prime Minister...BUT then this new government and this new Attorney General is demonstrating that no one who did wrong will go scott free, still able to enjoy the 'wrongly' obtained wealth...

When  lawyer Shafee Abdullah was charged in court, that was an indication that this Pakatan Harapan government, especially our new Attorney General Tommy Thomas was serious...

It was made clear that they were not simply going to focus on Najib ....but were also going after others that received these 'monies' ...

Shafee's first 2 charges was really just about 'by receiving proceeds of unlawful activities' or 'dirty' money how many others also received such monies from Najib...or maybe even matters connected to 1MDB...After all, Najib had always stated that the billions of ringgit found in his personal account was used for BN...for the elections...

We know about Najib's brother that received some money which he disbursed to unknown number of persons...Najib also alleged it was used for elections, it could have been received by any number of UMNO-BN MPs, leaders and even branches. ...thus, they could also very easily find themselves being charged in court very soon....

Nazir Razak - Receives RM28 mil(USd7 mil) from Najib and cash money was disbursed to politicians? - No wrongdoings? No Investigations?

I was asked by my brother/party president to urgently help pass on cash to party machinery"

RECOVER THE MONEY BELONGING TO MALAYSIANS - well, for those who received this 'dirty' money may also end up losing their BMWs, their homes, etc these monies taken wrongly that belongs to Malaysians and the government must be recovered, and recovered it must letting go some persons...even if they left UMNO and joined some Pakatan Harapan party...

The second charge against Shafee was concerning 'Income Tax' - if one do not declare all their earnings/income to the tax authorities,this is wrong and you can be pursued and even charged in court.

Now, in UMNO, we know that monies are being 'secretly' given to certain members - hence rather that simply transferring the monies directly to the recipient's accounts, or sending him a cheque..(i.e. transactions that will have records and a money trail), the monies are given to certain individuals who then hand over cash to certain recipients - an action that makes us suspicious of why the end-recipients and the amounts are kept 'secret'? Does it not?

The going after the guilty and recovering people's monies that now the Pakatan Harapan is doing needs to be commended...I do not recall a similar thing happening in Selangor to such extend when the then Pakatan Rakyat took over...

It makes me wonder if Anwar Ibrahim, and not Mahathir, was the Prime Minister - would this be happening? 

Some, even in Pakatan Harapan today. may also have worries if they too were in the past guilty of similar offences, or maybe even recipients of such 'laundered money' that really belongs to the Malaysian people...Well, maybe best for them to come clean first, and return back to the government such monies...and maybe apologize?
One wonders whether the earnestness of Anwar Ibrahim wanting to become MP and possibly try to become Prime Minister fast ...may simply be an attempt to stop these ongoing investigations and prosecutions, which will not allow 'culprits' to simply continue enjoying the wealth arising from monies wrongly taken from Malaysians? Maybe not?

What is money laundering?

FORMER prime minister Datuk Seri Najib Abdul Razak has been slapped with numerous counts of money laundering. As has lawyer Tan Sri Shafee Abdullah. Under a law that goes by the mouthful of a title – Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001.

The public is intrigued. What is this crime of money laundering?

Malaysia brought the newly minted law into effect in 2002 to deal with persons who clean dirty money to conceal its illicit or criminal source. This includes stolen money and presenting it as money acquired from legal sources.

"Laundering" is akin to washing. The culprit can thereafter use it freely as though it is legitimately acquired. Property derived from money laundering can be forfeited.

How is it done?

Money is distanced from its criminal origin by a variety of methods. One is by placing it into bank accounts or broken into many smaller value transactions ("smurfing") and used or distributed.

To prevent the tracing of funds, multiple complex transfers are done through bank accounts or wire transfers ("layering"), often through banks of several countries to camouflage the illegal source.

Finally, the illegal money is integrated into the economy by, for example, the purchase of property (luxury condos, jets, yachts and the like) and other high-value goods.

Pink diamonds

Because it is easy to move around and hide, dirty money is hidden increasingly through buying precious stones and jewellery – such as diamonds. These can easily be converted into cash.

Pink diamonds are particularly targeted because they can sell for 40 times more than white diamonds. Consequently, the Paris-based Financial Action Task Force, which assesses the ability of countries to fight illicit financial flows, had in 2016 flagged Australia – which produces 90% of the world's pink diamonds – the risk of their use for money laundering.

Last month, Singapore proposed a new law requiring dealers of precious stones and metals to be registered and to report suspicious transactions and other reports, and perform customer due diligence for cash transactions over S$20,000 (RM60,611). As well as keep records of money laundering.

Wide scope

The net is cast wide to catch any form of activity to launder money. This includes persons who:

>> Participate, directly or indirectly, in a transaction involving the proceeds of an unlawful activity.

>> Acquire, receive, possess, disguise, transfer, convert, exchange, carries, disposes of or uses proceeds of such activity.

>> Brings such proceeds into Malaysia.

>> Conceals, disguises or impedes the establishment of the true nature, origin, location, movement, disposition, title of, rights with respect to, or ownership of, proceeds of such activity.

The penalty: Imprisonment for a term not exceeding 15 years as well as fine exceeding five times the sum or value of the proceeds of such activity at the time the offence was committed or RM5 million, whichever is higher.

Source ignorance

It is not so easy for an accused to feign ignorance of the receipt of the laundered money. The court will examine the evidence and infer that he:

>> Either knows or has reason to believe or has reasonable suspicion that the property is the proceeds of an unlawful activity; or

>> Without reasonable excuse failed to take reasonable steps to ascertain whether or not the property is the proceeds of an unlawful activity.


The law requires banks and other listed institutions to report any cash transaction above RM50,000 to Bank Negara Malaysia (BNM) as well as any transaction that gives the bank reason to suspect that the transaction appears unusual. Or has no clear economic purpose, or that cannot be matched with, for example, the income level of the customer. BNM must then ask the account holder to justify the transaction and provide the source of the money.

Additionally, there is an obligation to declare the receipt of cash from another country into one's bank account.

1MDB-related convictions

So far, Singapore courts have jailed three persons for money laundering offences linked to 1MDB.

>> Yvonne Seah, a former Swiss BSI banker for aiding in forging documents and failing to report suspicious transactions allegedly related to Malaysian financier Jho Low. Jho Low was identified by Singapore authorities as a key person in its 1MDB-linked probe.

>> Her supervisor, Yak Yew Chee, for similar offences.

>> Former BSI wealth planner, Yeo Jiawei, for money laundering and cheating in relation to misappropriated billions from 1MDB.

BSI bank was shut down by the Monetary Authority Singapore in May 2017.

Last month, a Singapore court ordered the return of RM46 million misappropriated from 1MDB and SRC International. Millions more are expected to be recovered shortly.

Other jurisdictions

Switzerland's attorney-general has promised to return stolen 1MDB-funds to Malaysia. A process long delayed because then Malaysian attorney general (and former Federal Court judge) Tan Sri Apandi Ali refused to cooperate in the Swiss 2016 investigations.

The US is in full throttle for the recovery of properties (luxurious apartments, paintings) seized in relation to 1MDB.


While the rest of the world was, and is, ablaze recovering properties and levying charges in relation to the biggest ever kleptocracy scandal, in 1MDB's home country, the alleged perpetrators remained insulated. That is, until Najib was deposed in the May 2018 general elections.

Now the drama climaxes as charges after charges are rolled out against those who allegedly partook of the stolen monies.

Gurdial Singh Nijar, a former University of Malaya law professor, currently practises law. Comments: - Sun Daily, 24/9/2018

Shafee charged with money laundering, tax evasion

KUALA LUMPUR: Prominent lawyer Tan Sri Shafee Abdullah was charged with two counts of money laundering at the sessions court at Jalan Duta here today.

The charges – relating to a RM9.5 million payment he received from former prime minister Datuk Seri Najib Razak – were filed under Section 4 (1) (b) of the Anti-Money Laundering and Anti-Terrorism Financing Act (AMLA) 2001.

Shafee was also charged under the Income Tax Act with two counts of making false declarations to the Inland Revenue Board for not including the RM9.5 million in his tax filing for the year.

The Umno lawyer pleaded not guilty to all four charges.

On the first and second counts, Shafee is alleged to have involved himself in money laundering activities by receiving proceeds of unlawful activities via two cheques belonging to Najib totalling RM4.3 million and RM5.2 million respectively, on Sept 13, 2013 and Feb 17, 2014.

The offences were allegedly committed at the CIMB Bank Bhd in Taman Tunku, Bukit Tunku, here.

On the third and fourth counts, Shafee is alleged to have committed acts contrary to Section 113(1)(a) of the Income Tax Act 1967 by omitting the income he received on Sept 13, 2013 totalling RM4.3 million, and on Feb 17, 2014 totalling RM5.2 million.

He was accused of committing the offences at Lembaga Hasil Dalam Negeri, Duta branch, Government Complex at Jalan Tuanku Abdul Halim here on March 3, 2015 and June 29, 2015.

All four charges were made under Section 4(1)(a) of the Anti-Money Laundering and Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 (AMLATFPUAA).

Malaysian Anti-Corruption Commission (MACC) deputy public prosecutor Ahmad Akram Gharib offered RM2.5 million bail to be imposed on the accused.

The judge then allowed RM1 million bail with two sureties and ordered that Shafee surrender both his passports to the court until the disposal of the case.

The judge also allowed Shafee's lawyers’ application for half of the bail amount to be paid today and the rest by Sept 18.

Shafee's case will be up for mention on Oct 2.

The lawyer was detained by the Malaysian Anti-Corruption Commission (MACC) early this morning.

He arrived at the court here at 11am, escorted by 10 MACC officers.

As he entered the complex, Shafee told reporters that charges brought against him are an act of ‘victimisation.’

Deputy public prosecutor Datuk Seri Gopal Sri Ram led the prosecution team, while Shafee was represented by counsels Harvinderjit Singh, Chetan Jethwani, Datuk Hasnal Rezua Merican, Rahmat Hazlan and Muhammad Farhan Shafee.

It was reported that Shafee received RM9.5 million from Najib to lead the prosecution team in Datuk Seri Anwar Ibrahim’s sodomy II appeal trial in 2015.

An affidavit which names Siti Rahayu Mohd Mumazaini alleges that two cheques were issued by Najib – one on Sept 11, 2013 for RM4.3 million and another on Feb 14, 2014 for RM5.2 million.

Shafee allegedly received RM9.5 million in two tranches of RM4.3 million and RM5.2 million in his bank accounts on Sept 13, 2013 and Feb 17, 2014, respectively.

Rahayu said the information was obtained by the MACC following a probe into Shafee under AMLATFPUAA. - New Straits Times, 13/9/2018

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