YAYASAN Akalbudi was set up solely for charitable purposes, said the first witness in former deputy prime minister Ahmad Zahid Hamidi’s trial today.

Companies Commission of Malaysia executive Pinny Asnan testified that the foundation was formed on March 7, 1997 by Zahid and Zulkifli Senteri, and was then known as Yayasan Budi.

The 39-year-old said the terms stipulated in the foundation’s charter, under Section 24(1) of the Companies Act 1965, state that paying out dividends to board members is not allowed.

The organisation’s objective, according to its memorandum and articles of association, is to receive and administer funds to help the poor, she said.

“Among the foundation’s other aims are granting scholarships and carrying out sociopolitical research.

“It was also supposed to contribute to the development of welfare and related organisations.”

She told judge Collin Lawrence Sequerah that the foundation was tasked with accepting donations, and cooperating with the federal and state governments.

Pinny’s testimony was in the form of a witness statement recorded prior to her taking the stand. She was dismissed from the stand after a brief cross-examination by the defence.

Zahid has been slapped with 12 counts of criminal breach of trust, eight counts of corruption and 27 counts of money-laundering, involving a total of RM117.25 million.

He is accused of embezzling RM31 million from Yayasan Akalbudi.

The trial continues tomorrow morning with the second witness to testify. – November 18, 2019.