Malaysia Securities Commission wins Court of Appeal ruling restoring convictions and daily fine for failure to attend money laundering questioning

Malaysia’s Securities Commission reported that the Court of Appeal dismissed a company director’s appeal against his conviction and sentence for failing to appear before the Securities Commission’s investigating officer for questioning in connection with a money laundering investigation, and allowed the Securities Commission’s cross-appeal to reinstate additional convictions and a continuing daily fine. The director, Amirruddin bin Nin of CTB Solutions Sdn Bhd, was charged with three offences under section 32(8)(a) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 for conduct between 15 June 2017 and 18 February 2020. The Kuala Lumpur Sessions Court convicted him on all three charges and imposed one day imprisonment and a RM100,000 fine for each charge, plus a RM2,000 daily fine for 979 days totalling RM1,958,000 for the continuing offence (in default of 12 months imprisonment). The High Court later maintained the first conviction but set aside the second and third convictions and the daily fine, which the Court of Appeal has now restored, holding that the charges were distinct and that the offence is a strict liability offence. The Securities Commission reiterated that failure to comply with a written notice issued by its investigating officer is a punishable offence and can hinder its investigation and enforcement functions.