FV founders slapped with alternative charge of dishonest misappropriation

Summary

• FashionValet founders Vivy Yusof and husband slapped with alternative charge of dishonest misappropriation in regard to RM8 million they allegedly embezzled.

• The alternative charge carries a lighter jail sentence, but still punishable with whipping and a fine.

FashionValet co-founders Vivy Yusof and her husband Fadzaruddin Shah Anuar have been slapped with alternative charges in regard to the alleged misappropriation of RM8 million.

The alternative charges, read out in court today, were framed under Section 403 of the Penal Code for dishonest misappropriation.

Previously, the couple were charged under Section 409 with criminal breach of trust by a public agent.

Vivy and Fadzaruddin claimed trial to the alternative charges, according to Bernama.

The jail sentence under Section 403 is between six months to five years compared to the two to 20 years under Section 409.

Those convicted under either section will be whipped, and are also liable to a fine.

Embezzlement

Vivy and Fadzaruddin are accused of embezzling RM8 million in investment funds from Khazanah Nasional and Permodalan Nasional Berhad (PNB) by transferring the money to 30 Maple Sdn Bhd’s account without the approval of FashionValet’s board of directors.

Vivy and Fadzaruddin were owners of 30 Maple at the time the transaction allegedly took place on Aug 21, 2018.

It was reported that FashionValet later bought 30 Maple from the couple in December 2018 for RM95 million.

Khazanah and PNB jointly invested RM47 million in FashionValet in March 2018.

However, it was revealed in a written parliamentary reply in October that when the two firms exited the clothing company in 2023, the value of their shares had dwindled to RM3.1 million.

Subsequently, the MACC launched a probe into the issue and froze personal and company accounts linked to Vivy and Fadzaruddin including 30 Maple’s.

Vivy, husband get temporary release of passports to perform umrah

'Those who okayed FashionValet investment still glorified'

FashionValet founders charged with CBT for embezzling RM8m

FashionValet founders to be charged on Thursday - MACC

'Khazanah will continue with venture capital investments'