A witness told the Sessions Court in Kuala Lumpur today that Youth and Sports Minister Khairy Jamaluddin had never instructed nor issued memos to the ministry's former finance division secretary, Otman Arshad, to make payments to several companies organising sports programme on behalf of the ministry.

Khairy’s senior private secretary (SUSK), Wan Murtadza Wan Mahmud, said every letter addressed to the minister would be read by him (Wan Murtadza) for screening before it was taken to the attention of the minister.

“Throughout my tenure as the SUSK to the minister, Otman had never informed me, either verbally or via a written memo, on programmes allegedly contained in the payment through ministry’s account at the National Sports Council letter,” he said.

Mustadza, 44, said this during the examination-in-chief by MACC deputy public prosecutor Amer Abu Bakar Abdullah in the trial of Otman, 59, who was charged with 32 counts of power abuse and with submitting false claims involving RM38.4 million, six years ago.

The 46th witness also said that he had never convened a meeting with Otman to ask for allocation from the National Sports Trust Fund (KWASN) to carry out programmes involving the minister’s office.

“Allocations for any programme under KWASN are required to undergo a systematic application process and obtain the approval of the committee involved because the fund can only be used for sports-related programmes and the development of athletes.

“Expenses involving the minister’s office usually use the allocation for operating expenditure and the procurement of office equipment and other related items are done according to the ministry’s usual financial procurement procedures,” he explained.

Besides, Mustadza said he and Khairy had never attended a KWASN committee meeting, and as far as he was concerned, the minister’s office had never conducted the ministry’s programmes using KWASN allocations.

“During my tenure as the SUSK to Khairy from 2013-2015, Otman had never informed me that KWASN allocations were being used to make payments to several companies, namely Gapa Jitu Sdn Bhd, GPO Essence Sdn Bhd, Econic Corporation Sdn Bhd and Dial-Ex Sdn Bhd, for programmes under the ministry,” he said.

In reply to Amer’s question on whether the minutes issued by Khairy for each financial aid application made had influenced the decisions of the KWASN committee meeting, he denied that it had any influence.

"The committee meeting will make their decision based on the working paper tabled,” he said.

On April 21 last year, Otman, who had been suspended from work, was charged with 64 counts of receiving RM16,623,000 allegedly obtained from unlawful activities, which were deposited into his Maybank, RHB and CIMB accounts through cheques, between March 7, 2012 and Dec 11, 2015.

Meanwhile, Abdul Gafar, 44, a director of sports supply company under the ministry, and his wife Siti Rohanah, 44, were each charged with 63 counts of transferring RM15,723,000, also allegedly obtained from unlawful activities, from the accounts of their three companies to Otman’s account during the same period.

The offences were allegedly committed at several locations, namely the RHB Bank branch in Precinct 8, Putrajaya; Menara Maybank, at Jalan Tun Perak and the Maybank branch in Jalan Raja Laut.

They were all charged under Section 4(1)(a) of the Anti-Money Laundering and Anti-Terrorism Financing and Proceeds of Unlawful Activities 2001, which provides for a maximum fine of RM5 million or a jail term up to five years, or both, if convicted.

They are also charged under Section 4(1)(b) of the Anti-Money Laundering and Anti-Terrorism Financing and Proceeds of Unlawful Activities 2001 which carries jail term up to 15 years, or a fine not less than five times the sum received from unlawful activities, if convicted.

Otman was represented by counsel Muhammad Rafique Rashid Ali, while Abdul Gafar and Siti Rohanah were represented by counsel Jahaberdeen Mohamed Yunoos.

The hearing before Judge Azura Alwi continues tomorrow.

- Bernama