By Aidila Razak
Photo from: arowanaclub.com
The police commercial crime department has made a recommendation that charges be made in the RM87.5 million graft probe involving ornamental fish breeder Xian Leng Holdings and MCA president’s brother Chua Bah Bee @ Chua Chong Seng.
According to police Federal Commercial Crime Investigation Department (CCID) chief Syed Ismail Syed Azizan, the investigation papers were handed over to the Attorney General’s Chambers “very recently”.
“On our part, we have taken all actions and our investigations are completed. Of course we recommended charging but it is up to the Attorney General’s Chambers to see if our probe is sufficient or not,” he told KiniBiz when contacted.
Syed Ismail, however, declined to specify the charges recommended by the CCID, stressing that it is the Attorney General’s prerogative whether or not to press charges.
He added that the Attorney General’s Chambers has yet to get back to the CCID on the case, but that it is to be expected as there is a lot that the chambers need to peruse.
“Give them time to read through all the statements,” he said.
Police raided Xian Leng’s office in April 2012, following findings by Pricewaterhouse Coopers Advisory Services (PwC) that RM87.5 million meant to build ponds could not be accounted for.
PwC was hired to investigate alleged irregularities in capital expenditure from Feb 1, 2001 to Jan 31, 2008. The audit was commissioned soon after.
It was reported that Xian Leng had, without open tender, hired four companies to build ponds. The companies were sole proprietors, while three of them were not registered when they issued invoices to Xian Leng.
Money trail
As part of the plan, PwC reported that Xian Leng issued cash cheques to Inco Licences Money Changer, while the four contractors issued corresponding payment vouchers.
Inco Licenced Money Changer is 80 percent owned by Chua, who resigned as executive director of Xian Leng in Aug 2008.
Photo from: arowanaclub.com
The alleged irregularities occurred under the watch of managing director Ng Huan Tong, who resigned in April 2012, prior to the release of the PwC report.
Ng and his wife Lim Wan Hong, who was executive director up to late 2011, owned a collective 46.73 percent of the company in May 2012. They ceased to be substantial shareholders in Oct 2012.
Both were signatories of the cheques for the RM87.5 million.
Corporate personalities Chin Seak Huat and Idris Abdullah @ Das Murthy control 5.36 percent and 8.07 percent of the company respectively.
In a filing with Bursa Malaysia, Xian Leng said that changes to cheque signatories have been made while new appointments were made to ensure healthy farm operations.
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