A KEY witness in the trial of Syed Saddiq Syed Abdul Rahman – who faces criminal breach of trust and money-laundering charges – told the Kuala Lumpur High Court today that the withdrawal of RM1 million on the instructions of the Muar MP was not in accordance with the set procedure.

Rafiq Hakim Razali, a former assistant treasurer of Bersatu’s youth wing, also admitted he was involved in the matter from the very beginning.

The 32-year-old said the withdrawal from the Armada account was wrong as there was no working paper submitted to enable the bank withdrawal on March 6, 2020.

“If you want to make a withdrawal, there should be a working paper on the programme (carried out) and the working paper presented to the Armada chiefs council, comprising the chief, the deputy, assistant secretary and I,” he said during the examination-in-chief by deputy public prosecutor Wan Shaharuddin Wan Ladin.

The witness agreed with the Wan Shaharuddin’s suggestion that Syed Saddiq’s order for the RM1 million withdrawn to be disposed of for fear that the money would be seized by the Malaysian Anti-Corruption Commission (MACC), was an offence.

“It is wrong because they want to hide something from the authorities. If there is nothing wrong, why would this happen?” he asked.

When asked why he continued distributing the money to former Federal Territories Bersatu Youth information chief Muhammad Daniel Kusari and Muhammad Naqib Ab Rahim, who were then party members, on Syed Saddiq’s instructions despite knowing it was an offence, the witness replied: Because I was stuck in it from the beginning, so I went  with it”.

Wan Shaharuddin: Can you explain the meaning of being “stuck in it”?

Rafiq: The withdrawal of this money was wrong from the very beginning. Indeed, it did not follow the proper procedure.

The 13th prosecution witness said if the funds were not distributed to Daniel and Naqib, he was afraid MACC would seize the money.

According to the witness, he would not have withdrawn the money and distributed it to the two individuals if he had not received instructions from Syed Saddiq.

Rafiq in his testimony previously said Syed Saddiq had ordered him to “clear” the RM1 million, where RM650,000 was distributed to Daniel and RM250,000 to Naqib, while RM100,000 was used for the Armada programme on the instructions of the politician.

Meanwhile, Rafiq agreed with the suggestion of counsel Gobind Singh Deo representing Syed Saddiq that there was nothing stated in the party’s constitution that the withdrawal of money for the purpose of the Armada programme required a working paper, and agreed that there was no legal directive requiring one that time.

Gobind: According to the Bersatu Constitution, what is needed is a balance sheet or account showing the disbursement of money and it needs to be presented at the end of the financial year. That’s what’s required, isn’t it?

Rafiq: Yes.

Syed Saddiq is charged as the then Armada chief – who was entrusted with control of Armada’s funds – with abetting Rafiq over CBT of RM1 million in money belonging to the wing.

He is alleged to have committed the offence at CIMB Bank Bhd, Menara CIMB KL Sentral, Jalan Stesen Sentral 2, on March 6, 2020.

The offence, under section 406 of the penal code, carries a jail term of up to 10 years with whipping, and is liable to a fine.

For the second charge, the accused is alleged to have misused property for himself, namely RM120,000 from the Maybank Islamic Bhd account belonging to Armada Bumi Bersatu Enterprise by causing Rafiq to dispose of the money.

Syed Saddiq is charged with committing the offence at Malayan Banking Bhd, Jalan Pandan 3/6A, Taman Pandan Jaya between April 8 and 21, 2018.

The charge, under section 403 of the penal code, carries a maximum five years’ jail with whipping and is punishable by a fine.

He also faces two counts of engaging in money-laundering activities, namely two transactions of RM50,000, believed to be proceeds of unlawful activities, from his Maybank Islamic Bhd account into his Amanah Saham Bumiputera account.

Syed Saddiq is charged with committing the offence at a bank on Jalan Persisiran Perling, Taman Perling, Johor Baru, on June 16 and 19, 2018.

The charges were framed under section 4(1)(b) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001, which carries a maximum 15 years’ jail and a fine of not less than five times the amount or the proceeds of illegal activities.

The trial before judicial commissioner Azhar Abdul Hamid continues tomorrow. – Bernama, July 6, 2022.