AHMAD Zahid Hamidi had treated Yayasan Akalbudi funds as if he owned the money, without a thought for the poor, the Kuala Lumpur High Court was told today.

Deputy public prosecutor Raja Rozela Raja Toran said it is “obvious” that there had been “gross misappropriation” when the Umno president spent huge amounts on everything else but helping the poor, which is the main function of the charity foundation.

“Gifting or lending money to a businessman and football team, and paying a political consultancy firm can hardly be counted as charity to eradicate poverty.”

Raja Rozela was referring to the RM10 million loan that Zahid had allegedly given to coal fuel supplier Armada Holdings Sdn Bhd, RM1.3 million donation to the Royal Malaysia Police Football Club and RM360,000 to TS Consultancy & Resources (TSCR).

The defence team had previously argued that Zahid should be acquitted from the charge of criminal breach of trust in relation to the donation to the football team.

It said the donation was necessary as the players were not paid salaries because the association was facing financial difficulties.

Raja Rozela pointed out that it was just a football club, not a non-governmental organisation that ran a food bank or soup kitchen.

“These players are professional players; they are given wages. A shortfall of money does not necessarily make one poor or destitute.

“It does not fall into the category of poverty as envisaged or stated in the memorandum and articles of association linked to Yayasan Akalbudi.”

Armada Holdings and TSCR, too, did not deserve foundation funds, she added.

She said to consider these payments as charity is like “fitting a square peg into a round hole”.

Zahid, 68, is facing 47 charges – 27 for money laundering, 12 for criminal breach of trust and eight for corruption – involving tens of millions of ringgit belonging to Yayasan Akalbudi.

Fifty cheques were issued from the foundation’s account between 2014 and 2016, involving RM13,129,547.36.

The prosecution team had earlier said 43 cheques were used for the payment of credit cards, three for the purchase of motor insurance policies and road tax of privately owned vehicles, two for TSCR, and one each for the football club and Armada Holdings.

Raja Rozela said based on monthly credit card statements, it was found that the credit cards were extensively used for purchases at local and international high-end stores.

“Although, admittedly, the spending habits of the accused and wife Hamidah Khamis may not be an issue in our case, one cannot help but wonder if they had kept the poor folk of Bagan Datuk (Zahid’s parliamentary constituency) in mind when they went on shopping sprees at Giorgio Armani, Hermes or Louis Vuitton.

“We very much doubt that,” she told judge Collin Lawrence Sequerah.

The trial resumes tomorrow. – October 13, 2021.