SELANGOR, MALAYSIA: The Malaysian Anti-Corruption Commission (MACC) has detained three individuals, including a deputy chairman of a non-governmental organisation (NGO), over the alleged misappropriation of RM230 million (US$58.2 million) linked to charitable and zakat-related collections.
The arrests were carried out in a series of operations across the Klang Valley on 21 April, with investigators also seizing luxury vehicles, properties, cash, and branded watches believed to have been acquired using misappropriated funds.
Remand granted as investigation widens
Two suspects, aged 57 and 61, have been remanded for four days from 22 April following an order issued by Magistrate Ameera Mastura Khamis at the Shah Alam Magistrate’s Court.
The application was submitted by the MACC earlier on Wednesday.
Both men arrived at the Shah Alam Courts Complex at approximately 9.07am in a MACC vehicle.
Authorities confirmed that the case is being investigated under the MACC Act 2009, with further inquiries ongoing to trace the flow of funds and identify additional assets.
Arrests and timeline of alleged offences
According to sources, two of the suspects were arrested between 3pm and 5pm during coordinated operations, while a third man in his 50s was detained earlier at about 2pm after presenting himself at the Selangor MACC office to provide a statement.
Preliminary investigations indicate that the suspects, including two company directors, are believed to have conspired in the alleged offences between 2018 and 2024.
Investigators suspect that the NGO deputy chairman transferred the RM230 million into company accounts for investment purposes as well as personal use.
Luxury assets and bank accounts seized
During the operation, authorities confiscated 18 high-end vehicles, including brands such as Porsche, Mercedes-Benz, Range Rover, and Honda Civic Type R.
In addition, several houses and properties estimated to be worth around RM11 million were seized.
Cash holdings and branded watches were also taken as part of the probe.
The MACC has further frozen 33 bank accounts containing approximately RM120 million believed to be linked to the alleged misappropriation.
Clarification on zakat funds involvement
MACC chief commissioner Tan Sri Azam Baki clarified that the case does not involve direct funds from zakat institutions.
“In this investigation, the NGO received funds from various sources, including commissions obtained from specific collections intended for a state zakat body,” he said.
“However, these funds did not reach their intended destination. Instead, irresponsible individuals misappropriated the money for personal interests, including the purchase of luxury assets.”
He added that while the funds were not sourced directly from zakat authorities, some collections were meant to be channelled to a state zakat body but were diverted before reaching it.
Investigators are focusing on elements of criminal breach of trust and misappropriation of public funds, as the NGO involved is believed to receive donations intended to support those in need.
Selangor MACC director Mohd Azwan Ramli confirmed the arrests and said all suspects had been brought before the court for remand proceedings as investigations continue.