Crime & Courts

Sabah water scandal: Up to RM3.5m in 'commissions' handed over yearly from 2006 to 2016

KOTA KINABALU: A prosecution witness told the Special Corruption Court that based on a contribution scheme, he handed over between RM1 million and RM3.5 million yearly to former state Water Department deputy director Teo Chee Kong from 2006 to 2016.

Tam Yin Foon, 58, said he did not know the total amount of the 10.75 per cent commission or contribution that he had handed over to Teo since 2008.

"However, I can estimate that the total amount of the commission money that I have sent to him (Teo) every year from 2006 to 2016 is between RM1 million to RM3.5 million."

Reading his witness statement, Tam confirmed that he was involved in the contribution scheme — accepting commissions from contractors to be channelled to Teo — as he just followed instructions from by his superiors, namely the then department director Ag Mohd Tahir Mohd Talib (first accused) and deputy director Lim Lam Beng (third accused).

Lim was the deputy director before Teo. Teo was promoted to deputy director in February 2015 and he was also a Kota Kinabalu division water engineer.

"If I do not follow the instructions and plans that have been set, it will make it difficult for me to carry out my duties as a water engineer for the Keningau division. I may not get the allocation to develop water infrastructure in the division.

"Apart from that, if I didn't follow what was instructed, it would be difficult for me to ensure the continuous supply of water in Keningau division since my department does not have sufficient allocations to repair and replace broken or worn out water pipes."

Tam, who is now senior assistant director of water bodies management in the Sabah Irrigation and Drainage Department, testified before Sessions Court judge Abu Bakar Manat.

On trial were Ag Mohd Tahir and his wife, Fauziah Piut, who were jointly tried with Lim, over 37 counts of money laundering charges involving cash and bank savings totalling RM61.57 million, as well as unlawful possession of luxury goods.

The offences were allegedly committed between October and November 2016.

Tam said those who attended the division and district engineers' meeting in April 2005 agreed to the contribution scheme, which was explained by Teo.

He said they were told that if the contribution or commission amounting to 10.75 per cent was not channelled to Teo, allocations for water infrastructure development projects (quotation projects and emergency works) would not be approved or might be approved late for divisions and districts.

This would affect water development project planning and worsen user dissatisfaction.

"At the meeting, I confirm that all engineers present, including myself, agreed with the directive — 27.5 per cent contribution or commission from the contractor, with 10.75 per cent of it handed over to Teo for further distribution, as listed in the table (the scheme's percentage distribution formula).

"I confirm that I don't really remember the parties that will receive the 10.75 per cent contribution or commission.

"As far as I remember, the donation would be distributed to the Water Department director, deputy director, head of finance, several officials at the headquarters, Sabah Infrastructure Development Ministry and Sabah Finance Ministry."

Tam said parties at the meeting agreed to hand over the money to Teo in cash and that the discussion was not minuted because it was unofficial and happened after the end of the official agenda for the meeting.

He said verbal agreement was reached based on the assumption that the scheme would not be implemented without the director's approval.

"If the 'contribution' instruction was not followed, it may affect the relationship between the two parties and further complicate any official business between the headquarters (director) and division and district offices (division/district engineers)."

Deputy public prosecutors Mahadi Abdul Jumaat, Haresh Prakash Somiah and Zander Lim prosecuted.

Counsels Priskila Akwila Sinem and Mohammed Fareez Mohammed Salleh represented Ag Mohd Tahir and Fauziah, while counsels Datuk Tan Hock Chuan, Baldev Singh, Karpaljit Singh and Calvin Wong represented Lim.

The trial adjourned to March 8-10.

Most Popular
Related Article
Says Stories