THREE office-bearers of a Sarawak cooperative face a slew of money-laundering and criminal breach of trust charges for allegedly embezzling RM3.4 million in the organisation’s funds.

“These three are, at the moment, the main suspects,” said Khalil Azlan Chik, Bukit Aman Inspector-General of Police Secretariat’s anti-money-laundering division chief, of the probe into Koperasi Automobil Kuching Sarawak Bhd’s (Kokas) chairman, treasurer and secretary, all in their 50s.

Bank accounts containing more than RM2.9 million, including Lembaga Tabung Haji deposits, have been frozen as part of the investigations. Police have seized 16 luxury vehicles worth more than RM763 million; shoplots; houses; land valued at RM2.3 million; cash; and, branded items, such as watches and handbags, valued at some RM90,000.

In all, the amount comes up to RM6.2 million.

Most of the vehicles have personalised registration plates, and some cars’ windscreens sport stickers of an international school.

Khalil said the three suspects allegedly embezzled a portion of the RM7.5 million given to Kokas by the Cooperative Commission of Malaysia for an automotive workshop modernisation programme and one on retail shop transformation. The total sum was channelled in stages, between May 2012 and December 2017.

“Investigations showed that some of the money was not used for the intended purposes.

“We opened an investigation under Section 409 of the Penal Code in September last year,” said Khalil, referring to the section on CBT.

In June, the probe was continued under Section 4(1) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 by police’s anti-money-laundering division.

The seizures began on August 22 last year with six shoplots suspected to have been bought with misappropriated funds.

Khalil said 57 family members of the suspects have been questioned, of the total of 102 people interviewed in connection with the case.

He said the investigation papers have been forwarded to the attorney-general’s Kuching and Putrajaya offices for further action.

“We expect to charge the trio soon.” – September 20, 2019.