Ex-CEO of Felda investment arm charged over Jalan Semarak project

A former CEO of a Felda investment unit has been charged with deceiving the company’s board of directors in relation to the proposed commercial development of Felda land in a project at Jalan Semarak here in 2014.

Former Felda Investment Corporation Sdn Bhd (FIC) CEO Zaid Abdul Jalil pleaded not guilty in the sessions court here after two charges were read before judge Rosli Ahmad.

On the first charge, he is accused of deceiving the FIC board into believing that Synergy Promenade Sdn Bhd was eligible for appointment as the project’s master developer, when he knew the firm was only eligible to be the project’s master planner.

By doing so, he allegedly induced the board to approve Synergy Promenade’s appointment as project master developer. Zaid allegedly committed the offence at Menara Felda on Jan 16, 2014.

He is also charged with deceiving the FIC board into believing that a market value assessment for the commercial development of the 24 lots of Felda land amounted to RM330.96 million, when he knew the actual amount reported by Firdaus & Associates Property Professionals Sdn Bhd was RM691.7 million.

He is also accused of deceiving the FIC board into believing the 24 lots were valued at RM180 million, when he knew the valuation and property services department had never provided such an indicative valuation to FIC.

By doing so, he allegedly induced the FIC board to accept an offer from Synergy Promenade under the proposed minimum guaranteed return of RM500 million or 10% of the gross development value, whichever was higher.

Zaid allegedly committed this offence at Menara Felda on April 29, 2014.

Both charges were framed under Section 417 of the Penal Code for cheating, which is punishable by up to five years’ imprisonment, a fine or both, upon conviction.

Deputy public prosecutor Radzi Shah Razak proposed bail of RM50,000 for each charge, with the conditions that Zaid surrender his passport and report to the Malaysian Anti-Corruption Commission (MACC) office once a month.

However, Zaid’s lawyer Shahrullah Khan asked the court to set bail at RM10,000 for each charge, citing his client’s financial difficulties.

Shahrullah also said that Zaid had fully cooperated with MACC and served as a prosecution witness twice, including in a case involving former Felda chairman Isa Samad.

The judge set bail at RM60,000 for both charges with one surety, and ordered Zaid to surrender his passport until the disposal of the case and report to the MACC office once a month.

The court fixed Oct 29 for case mention.

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