BUSINESSMAN M.G. Gnanaraja has been charged in the Shah Alam Sessions Court today for cheating the main contractor of the Penang undersea tunnel project.

He claimed trial this morning for deceiving the managing director of Consortium Zenith Construction Sdn Bhd’s Zarul Ahmad Mohd Zulkifli on three occasions for a sum totalling RM19 million in 2017.

The 38-year-old businessman had allegedly convinced Zarul that he could use his connections to close Malaysian Anti-Corruption Commission (MACC) investigations against the managing director under the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001..

Zarul had allegedly handed over to the accused RM4 million and another RM15 million through a Maybank account belonging to Visione Construction Sdn Bhd to a CIMB Bank account belonging to Bumi Muhibbah Capital Holding Sdn Bhd.

Gnanaraja is alleged to have committed all the offences at a hotel in Damansara and a bank in Kuala Lumpur in July and August 2017.

He was charged under Section 420 of the Penal Code and faces up to 10 years’ jail and whipping and is liable to a fine, if found guilty.

Consortium Zenith Construction is the main contractor for the undersea tunnel project.

The prosecution, conducted by deputy public prosecutor Umar Saifuddin Jaafar of MACC, offered bail of RM100,000 in one surety.

Gnanaraja’s lawyer, Geethan Ram Vincent, did not object to it.

Rozilah allowed Gnanaraja to be released on bail of RM100,000 in one surety  and also ordered him to surrender his passport to the court.

The court set May 6 for mention.

Gnanaraja was arrested by MACC in February last year.

Media reports also stated this morning that the Pahang palace has revoked Gnanaraja’s “Datuk Seri” title.

State secretary Dr Sallehuddin Ishak was reported as saying that the Sri Sultan Ahmad Shah Pahang award, which was conferred on Gnanaraja on March 19, 2014, had been revoked and cancelled with immediate effect.

The award was granted in conjunction with Paduka Ayahanda Sultan Ahmad Shah’s 83rd birthday. – April 3, 2019.