The Sessions Court in Kuala Lumpur today granted a full acquittal to Khairuddin Abu Hassan and Matthias Chang, who had been charged with financial sabotage for lodging overseas reports on the 1MDB issue.

Sessions judge Wan Mohd Norisham Wan Yaakob ruled that it was bound by the High Court's decision that there were no witnesses called in the case for the court to grant an acquittal.

“In granting the acquittal, the court orders that the bail and passports of the accused be returned,” Wan Mohd Norisham ruled.

Khairuddin and Chang had each posted bail of RM10,000 after the High Court in Kuala Lumpur decided on Nov 18, 2015, that the charge they faced under Section 124L of the Penal Code did not fall under the Security Offences (Special Measures) Act 2012, and ordered the case to be heard in the Sessions Court.

Yesterday, the prosecution, led by Awang Armadajaya Awang Mahmud, told the court that they would discontinue prosecution against the duo, and applied for a discharge not amounting to an acquittal.

Former prime minister Dr Mahathir Mohamad, who was also present in the court, said that the decision by the court today had restored his faith in the judiciary.

“The judiciary made the decision based on facts,” the former Umno president, who is now Parti Pribumi Bersatu Malaysia chairperson, said.

Khairuddin and Chang were charged for lodging several police reports overseas against 1MDB. This includes in Switzerland, the United Kingdom, France, Hong Kong and Singapore.

They were arrested and placed under Sosma, just before they were scheduled to leave for New York to lodge another report. 

They spent two months under Sosma detention, before the High Court ruled, on Nov 18, 2015, that the charge against them under Section 124L of the Penal Code for alleged sabotage on financial institutions should not fall under Sosma.

The decision was upheld by the Court of Appeal and the Federal Court earlier this year, and yesterday was supposed to be the first day of trial, when the prosecution decided to withdraw charges. 

Today, Khairuddin was represented by lawyers Haniff Khatri Abdulla, Rafique Rashid Ali and Fahmi Moin, while Zainur Zakaria appeared for Chang.

DPP Wan Shaharuddin Wan Ladin appeared for the prosecution.