Law & Justice

Ex-Tabung Haji Chairman Denies Abuse of Power Charge Over Putrajaya Perdana Investment

By Farah Solhi

Former Tabung Haji chairperson Abdul Azeez Abdul Rahim pleaded not guilty on Monday to a charge of abuse of power under Section 23(1) of the MACC Act 2009, in a case heard at the Kuala Lumpur Sessions Court before judge Azura Alwi.

Prosecutors allege that in 2014, Azeez misused his position as Tabung Haji chairperson to secure the chairmanship of Putrajaya Perdana Berhad for himself, a role that came with an annual remuneration of RM690,000, a BMW Series 7 vehicle and a personal driver.

According to the charge sheet, Azeez allegedly instructed then Tabung Haji chief executive officer Ismee Ismail to nominate him as the fund's representative on Putrajaya Perdana's board. He is also accused of directing Ismee to persuade other Tabung Haji board members to approve an investment of up to RM193.5 million in Putrajaya Perdana, a company in which Azeez held a personal interest. The alleged offence took place during a board meeting at Tabung Haji's Kuala Lumpur office on August 25, 2014.

If convicted under Section 23(1), Azeez faces a maximum sentence of 20 years' imprisonment and a fine of up to five times the value of the gratification received, or RM10,000, whichever is greater.

During the bail hearing, deputy public prosecutor Ahmad Akram Gharib argued that offences under this section are generally non-bailable, though the court retains discretion to grant bail. The prosecution requested RM1 million bail with local sureties, citing the seriousness of the allegations and Azeez's public profile as reasons for a substantial bail amount. Additional conditions proposed included reporting to the Malaysian Anti-Corruption Commission (MACC) every three months and surrendering his passport.

Defence lawyer Amer Hamzah Arshad countered that the sum was excessive, proposing RM100,000 bail with one surety instead. He noted that Azeez had cooperated fully with investigators since his arrest the previous month and had not attempted to evade authorities, instead voluntarily contacting his legal team.

The court ultimately set bail at RM450,000 with two sureties, along with the condition that Azeez report to the MACC every three months.

Despite being granted bail, Azeez, a former Member of Parliament for Baling, remains in custody under a separate remand order related to an ongoing investigation into Tabung Haji hibah payments. Sessions Court judge Afiq Zuber, acting as magistrate, approved a two-day remand extension for Azeez and two others—a former Tabung Haji CEO and a former chief financial officer—to assist with the probe.

Azeez had previously been remanded for seven days, from August 27 to September 2, alongside former Treasury secretary-general Irwan Serigar Abdullah, in connection with a MACC investigation stemming from a royal commission of inquiry report on Tabung Haji. That report, released on July 29, examined the institution's management and operations between 2014 and 2020, recommending a forensic audit of past investment decisions that contributed to a substantial decline in Tabung Haji's asset value. The inquiry also flagged several suspicious transactions and instances of concealed information.

This is not Azeez's first encounter with corruption charges. In 2019, he faced three counts of accepting bribes totaling RM5.2 million tied to road construction projects in Perak and Kedah, along with 10 counts of money laundering. Those charges were also heard before judge Azura Alwi. In September 2022, Azeez received a discharge not amounting to an acquittal after submitting a representation letter to the Attorney-General's Chambers under Section 254(3) of the Criminal Procedure Code. Later that year, on December 23, the Kuala Lumpur High Court fully acquitted him of all charges after the prosecution raised no objection to his acquittal application.