The Kuala Lumpur High Court today heard that former Felda chairman Mohd Isa Samad solicited money from Gegasan Abadi Properties Sdn Bhd (GAPSB) to approve Felda Investment Corporation Sdn Bhd’s RM160 million purchase of Merdeka Palace Hotel & Suites (MPSH).
Former GAPSB director Ikhwan Zaidel, 59, said in his witness statement that the accused had asked for money through his special officer Muhammad Zahid Md Arif.
“Zahid noted to me that Tan Sri, being a politician, needed funds for his political work. When he mentioned ‘Tan Sri’, I understood it to be Tan Sri Isa as Zahid Md Arif is his special officer,” said the 16th witness in the criminal breach of trust and corruption trial of Isa.
According to the witness, Zahid did not state an amount but said he would contact him for feedback.
Ikhwan said he had no choice but to oblige.
“We were worried about Tan Sri Isa’s decision and influence should we not fulfil his request…the possibility that he would delay the payment to GAPSB or cancel the MPHS transaction because previously Felda Investment Corporation Sdn Bhd had rejected the proposal to procure MPHS.
“So after taking into account the RM160 million purchase price of MPHS and minimum price of RM150 million consented to by the GAPSB board, we agreed to acknowledge Tan Sri Isa’s request, as delivered to Zahid, through paying RM10 million to JV Evolution Sdn Bhd (GAPSB’s property agent),” he said.
Ikhwan testified that sometime in June 2014, before the sale and purchase agreement was signed, he contacted Zahid by phone to say he and another GAPSB board member Ibrahim Baki had no choice but to agree to Isa’s request.
“I then met with Muhammad Zahid to tell him that Ibrahim Baki and I could only agree to give RM3 million for the political fund he mentioned.
“The RM3 million to Tan Sri Isa through Muhammad Zahid was not relayed to the GAPSB board of directors and only I and Ibrahim Baki knew about it. Muhammad Zahid agreed to the amount that I quoted to him.
“However, I did not hand any cash to him. I also said the payment to Tan Sri Isa would be made through him (Muhammad Zahid) when FICSB had disbursed the amount to GAPSB after the purchase,” he said.
Ikhwan said in early July 2014, Zahid contacted him and requested for an advance of RM100,000 for Isa.
“I agreed to the request. At that time, GAPSB had not yet received any payment from FICSB, and GAPSB had not paid the RM1 million commission to JVESB. I told Muhammad Zahid I would endeavour to get the funds,” he said.
Isa, 70, is accused of one charge of CBT and nine counts of receiving bribes of more than RM3 million at Menara Felda, Platinum Park, Persiaran KLCC between April 29, 2014, and December 11, 2015.
The hearing before Justice Mohd Nazlan Mohd Ghazali continues on Thursday.
Earlier reports:
Oct 18, Lawyer Accuses Former Felda Investment Boss of Blaming Isa to Save Own Neck
Oct 16, Isa Samad Took Lack of Objection from Felda Board as ‘Unanimous Consent’ for Hotel Buy
Oct 9, Isa Samad Ordered Immediate Payment of RM100M to FICSB for Hotel Purchase
Oct 8, Isa Samad Trial: Kuching Hotel Later Valued at Half of Purchase Price
Oct 7, Prosecution to Prove Isa Samad Got More Than RM3M in Bribes