Kota Kinabalu: The Special Corruption Court on Monday heard that former Sabah Railway Department chief engineer Ismail Ahmad admitted he had not produced documentary evidence to support his claim that he received rental income from 26 properties owned by him and his family.
Testifying in his defence before Judge Andi Razalijaya A. Dadi, the 65-year-old made the admissions during cross-examination by Malaysian Anti-Corruption Commission (MACC) Deputy Public Prosecutor Haresh Prakash Somiah.
Ismail agreed that he had not produced tenancy agreements, bank-in slips, tenancy renewal documents, rental ledgers or other records to support his claim of receiving rental income from the properties listed in his witness statement.
He, however, maintained that most of the relevant documents had been confiscated by the MACC when officers raided his house.
The court also heard that Ismail had appointed Mailis Sungian to manage most of the properties, including finding tenants and arranging repairs.
Ismail acknowledged that there were no receipts to show rental payments collected by Mailis, saying all their dealings were conducted verbally.
He also confirmed that Mailis had lent him RM300,000 but disagreed with the prosecution’s suggestion that Mailis should be regarded as a money lender.
Ismail further agreed that, according to his witness statement, he had received RM383,200 from Mailis in 2016, comprising RM283,200 in rental collections and a further RM100,000.
However, he acknowledged that no document had been produced in court to show he had received the RM100,000.
He also agreed that Mailis could have banked the rental collections into his account.
Questioned on the rental proceeds, Ismail said he kept cash collected from tenants at his house and that his wives were aware of it.
Ismail also confirmed that a table summarising his rental income, which was referred to in his witness statement, had been prepared before he began giving evidence in his defence last month.
On his income tax declarations, Ismail said he had declared part of the rental income but could not recall whether the relevant tax forms had been produced in court, although he believed he had handed them to his counsel.
Ismail is jointly charged with his first wife, Muhilim @ Masniah Buaya @ Buayie, over RM275,550 allegedly derived from unlawful activities from March to Sept, 2016, at the HSBC Kota Kinabalu branch, and with his second wife, Runtiah, over RM133,300 allegedly derived from unlawful activities from Feb to Sept, 2016, at the OCBC Bank, Kota Kinabalu Branch.
Runtiah also faces five separate money laundering charges involving a total of RM30,000 allegedly derived from unlawful activities at Maybank branches in Karamunsing, Putatan and Kg Air here, and at Pos Malaysia Putatan on July 1, 2016.
Each charge is framed under Section 4(1)(b) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 provide for a jail term of up to 15 years and a fine of not less than five times the amount of the proceeds from the ill-gotten gains, or RM5 million, whichever is higher, on conviction.
Together with DPP Haresh is DPP Nurul Izzati Sapifee for the prosecution.
Ismail and his wives were represented by counsel Zahir Hussein Ahmad Shah, Datuk Rizwandean M Borhan and Elhanan James.
Trial continues.
