High Court dismisses bid to strike out securities fraud abetment charge

THE Kuala Lumpur High Court has rejected an application by Daniel Wong Jit Kiang (also known as Daniel Wong) to strike out a charge of abetment relating to a major securities fraud involving RM17.6 million.

Wong stands accused of abetting the late Toh Chun Toh Gordon, then Managing Director of Multi-Code Electronics Industries (M) Berhad (Multi-Code), in allegedly defrauding the company in 2007.

The charge, brought under section 122C(c) read with section 87A(b) of the Securities Industries Act 1983 (SIA), pertains to the alleged misuse of Multi-Code’s funds between 26 and 28 March 2007 to finance the purchase of over 11 million of its own shares by Ace Prelude Sdn. Bhd.

Presiding over the matter, Justice Muniandy a/l Kannyappan ruled that the charge was neither defective nor invalid. The court dismissed Wong’s claim that the charge should be nullified on the grounds that Toh had not been convicted under section 87A(b) of the SIA.

Toh, the principal offender, was instead convicted of an alternative charge under section 409 of the Penal Code for criminal breach of trust (CBT) and passed away in August 2012 while appealing his conviction.

The Securities Commission Malaysia (SC) argued that the absence of a conviction against Toh under securities law did not affect the validity of the abetment charge against Wong. The High Court agreed, affirming that “the offence of abetting is distinct from that committed by the principal offender” and concluded that the charge should stand.

“It is not the Court’s role to second-guess the charge at this juncture,” Justice Muniandy said, adding that it would be premature to set it aside.

The charge carries a potential penalty of a minimum RM1 million fine and up to 10 years’ imprisonment.

Wong was arrested on 8 May 2024 after 15 years at large, despite two warrants of arrest issued in 2009 and 2019. He was formally charged on 9 May 2024 at the Kuala Lumpur Sessions Court.

The SC was represented by Deputy Public Prosecutor Hashley Tajudin along with prosecuting officers Mohd Shafiq Azman, Raihana Nadhira Rafidi, and Caysseny Tean Boonsiri. Wong was represented by Dato’ Hariharan Tara Singh and Tan Eng Seng.

The trial will proceed in the Sessions Court as scheduled. - October 18, 2025