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Friday, Apr 18, 2014


4 Malaysian senior execs charged over unjustified contract award

The Star/ANN | Friday, Apr 18, 2014

JOHOR BARU - Three senior executives from Sime Darby Engineering Sdn Bhd were charged at the Sessions Court here with misusing their positions to grant a contract in 2008, while another executive was accused of conspiring with them.

The three executives from the group's energy and utilities division are former chief financial officer Abdul Rahim Ismail, former executive vice-president Datuk Mohamad Shukri Baharom and former head of the oil and gas business unit Abdul Kadir Alias.

They were charged with committing the offence between Aug 18 and Aug 20, 2008 by using their positions to award a contract to Incobliss Consulting Sdn Bhd without first getting approval at the group's annual general meeting.

They were charged under Section 132(2)(c) of the Companies Act 1965 (Act 125).

The three were offered an alternative charge of acting unreasonably and not in good faith by using their positions to offer a service contract to Incobliss Consulting.

The charge detailed how their decision was done against the company's best interest because Incobliss Consulting was not providing any kind of service to Sime Darby Engineering.

Meanwhile, the alternative charge falls under Section 132(1) of the Companies Act 1965 (Act 125).

All three men claimed trial to both of the charges.

In the same court, former senior general manager Mohd Zaki Othman was charged with conspiring with the three executives over the same contract.

Mohd Zaki was charged under Section 132(2) of the Companies Act 1965 (Act 125).

He faced an alternative charge under Section 132(1) of the Companies Act 1965 for conspiring with the three to act in an unreasonable manner to award the contract.

Mohd Zaki claimed trial to both of the charges.

Sessions judge Mohamad Haldar Abdul Aziz fixed May 11 for the next mention.

He also set bail at RM10,000 (S$3,800) for each accused.

Companies Commission of Malaysia prosecuting officer Steve Chin Yun prosecuted, while the accused were represented by Nordin Husin.

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