Two former senior Tabung Haji officials pleaded not guilty to charges of deceiving the board of directors regarding property valuations to enable a RM3.3 billion hibah distribution.
KUALA LUMPUR: Two former senior Lembaga Tabung Haji (TH) officials pleaded not guilty in the Sessions Court here today to charges of deceiving the institution’s board of directors over a proposal to adjust property valuations to facilitate the distribution of RM3.3 billion in hibah to depositors.
Former TH Group chief executive officer Datuk Seri Johan Abdullah, 70, and former TH chief financial officer Datuk Rozaida Omar, 63, entered their pleas after the joint charge was read out before Judge Norma Ismail.
They are jointly charged with conspiring to deceive TH’s board of directors by preparing and presenting Working Paper No. 3/2018 (K)(358), which proposed adjustments to the valuations of three investment properties, namely TH Platinum Park, TH Perdana and TH Selborne buildings.
The proposed adjustments were allegedly intended to inflate TH’s profits in its unaudited financial report for the financial year ending Dec 31, 2017, to enable the distribution of approximately RM3.3 billion in hibah to depositors.
The two accused allegedly committed the offence despite knowing that the properties should have been valued at lower market rates, thereby inducing the board to approve the working paper and the proposed valuation adjustments.
The offence was allegedly committed at Menara TH Tun Razak in Jalan Tun Razak here between 3 pm and 10.30 pm on Feb 9, 2018.
The charge, framed under Section 417 of the Penal Code, read together with Section 34 of the same Code, provides for a maximum jail term of five years, a fine, or both upon conviction.
Deputy Public Prosecutors Datuk Nazran Mohd Sham, Rohaiza Abd Rahman and Siti Aina Rodhiah Md Shikh prosecuted.
Lawyer Shamsul Sulaiman represented Rozaida, while Johan was represented by lawyers Datuk Shukri Mohamed and Malissa Shukri.
The court granted each accused bail of RM60,000 with one surety and fixed Dec 8 for mention for submission of documents.