The Court of Appeal (COA) has affirmed the conviction and jail sentence passed by a Kuala Lumpur High Court in 2021 against a former group accountant of Asia Media Group Berhad.

Ong Kar Kian (Ken Ong) committed offences under the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 (AMLATFPUAA).

In its ruling on 11 September 2023, the COA, however, affirmed the High Court’s decision to set aside the daily fine of RM1,500 per day, which was imposed against Ken Ong by the trial judge.

This case is the first prosecution by the Securities Commission Malaysia (SC) against a person who failed to comply with the SC’s written orders issued under section 32(2)(a) of the AMLATFPUAA.

The COA’s decision sent a strong message that failure to adhere to the SC’s written orders under the AMLATFPUAA is viewed seriously both by the court and the capital market regulator.

On 19 February 2020, Ken Ong was charged on three counts under section 32(8)(a) of the AMLATFPUAA for failing to comply with written orders to appear before an investigating officer of the SC to assist in a money laundering investigation.

Ken Ong was found guilty and convicted of all three charges by the Kuala Lumpur Sessions Court on 10 December 2020, following a full trial. He was sentenced to a one-day jail and subjected to RM25,000 fine for each charge, with the jail terms to run concurrently.

In addition, Ken Ong was also fined RM1,500 per day by the Sessions Court for failing to comply with the said orders for a span of 673 days, totaling RM1,009,500.

Ken Ong filed an appeal to the High Court on 14 December 2020. On appeal, the High Court affirmed the conviction and sentence in relation to the three charges. However, the daily fine amounting to RM1,009,500 was set aside.

Ken Ong subsequently filed an appeal to the COA against the decision of the High Court, whilst the SC filed a cross-appeal against the setting aside of the daily fine.