Two brokers get 5 years' jail, RM 1 mil fine each for money laundering

Published: Thursday December 23, 2010 MYT 7:06:00 PM
Two brokers get 5 years’ jail, RM1mil fine each for money laundering

KUALA LUMPUR: Two unlicensed land brokers were each sentenced to five years' jail and fined RM1mil by the Sessions Court here Thursday for money laundering activities involving over RM4mil.

Judge Datuk Jagjit Singh made the decision after ruling that the defence for both accused failed to raise a reasonable doubt against the prosecution's case that the accused received the proceeds from the illegal activities.

The first accused, Gan Kiat Bend, 52, faced four charges of money laundering involving a total of RM2.4mil.

He was alleged to have committed the offence at Standard Chartered Bank Malaysia Berhad, No 2, Jalan Ampang, here between Nov 19, 2003 and Jan 9, 2004.

The second accused, Ismail Husin, 59, was charged with 12 counts of money laundering involving RM2.85mil. He was alleged to have committed the offence at the same place and time.

According to the facts of the case, Gan and a number of people were involved in the sale and purchase of land and falsifying of land ownership, with the proceeds paid to him and Ismail.

Jagjit sentenced Gan to five years' jail and fined him RM1 mil, or one year's jail on the first charge, two years on the second and fourth charge, and six months on the third, if he fails to pay the fine.

Ismail was sentenced to one year's jail on the first and 11th charge, six months on the second, third, 5th, 6th and 7th, two years on the 4th, 18 months on the 8th, five years on the 9th and 10th plus RM500,000 fine on each of these two charges or six months' jail for failure to pay the fines, and three months on the 12th charge.

Jagjit ordered the jail terms, sentenced under Section 4(1) of the Anti-Money Laundering Act 2001, to run concurrently from Thursday.

However, the judge allowed a stay of execution pending their appeals to the High Court.

Jagjit also ordered Gan to pay RM2.4mil and Ismail, RM2.6 mil, as penalty or levy for the laundered money involved, under Section 283 of the Criminal Procedure Code.

Failing to pay this penalty within a year will land them with another jail term.

In passing sentence, the judge said he took into consideration public interest as the offence was serious because it involved falsifying of land ownership, the amount was big and the money was not returned to the victims.