Money laundering charges against frozen food firm dropped

JOHOR BARU: The Sessions Court here dropped money laundering charges amounting to over RM12.9mil against a frozen food supply company, its store manager and an accountant – all implicated in a meat cartel scandal.

LY Frozen Food Sdn Bhd, represented by its director Yong Chee Keong, 42, store manager Chong Kim Kuang, 50, and accountant Ng Yee Xin, 39, were acquitted and discharged by Sessions judge Fatimah Zahari yesterday.

They faced four charges each under Section 4(1)(b) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act (AMLATFPUAA) 2001.

Deputy Public Prosecutor Norazihah Asmuni told the court that the charges against the accused were submitted to the Attorney General’s Chambers (AGC) where the legal representation for their case was accepted.

“The AGC also instructed all charges against the three accused to be dropped after they paid a compound of RM1.5mil in total,” she told the court.

It is understood that the accused paid the amount on Saturday.

On Dec 13, 2021, the three and another company director Tan Siew Huak, who is still at large, were charged under the Act, which carries a maximum jail term of 15 years and a fine of five times the amount or equipment value involved, or RM5mil, or whichever is higher, upon conviction.

The accused were charged with receiving the amount allegedly from money-laundering activities on four occasions, amounting to RM13.2mil, from the company’s account between Oct 31, 2018, and Dec 31, 2020, at two different bank branches in Senai and Taman Molek here.

The company, Chong, Ng and Tan were represented by lawyer Zamri Idrus.

Meanwhile, Fatimah set Feb 22 for the status update from AGC on Tan’s case, as he is still at large.

All of them are also facing an ongoing trial for 21 charges of abetting and possession of goods prohibited from being imported, allegedly committed at a premises at the Desa Idaman industrial area near Senai in Kulai on Dec 15, 2020.

Among the items said to be in their possession were 821 boxes of frozen beef parts and hundreds of boxes of frozen lamb and frozen chicken parts.

In 2020, the authorities busted a cartel that had been smuggling meat from Ukraine, Brazil, Argentina and China and repackaging it with fake halal logos.