Jakel denies accusations of being involved in money laundering

Jakel says all payments were received for goods sold or delivered and were accepted in good faith.

PETALING JAYA: Jakel Trading & Jakel Trading Sdn Bhd today rejected accusations of being involved in money laundering related to 1MDB.

In a statement issued today, it said it had provided the Malaysian Anti-Corruption Commission (MACC) all valid documents related to transactions involving former prime minister Najib Razak.

“Jakel would like to clearly state that all transactions related to the allegations were arm’s length genuine business transactions, supported by proper documents.

“Jakel had no prior knowledge whatsoever with regards to the money issues mentioned in the statement by MACC.

“Jakel has never been involved in any money laundering scheme and would remain to be so in the future.

“Jakel is committed to perform its business in a responsible manner and would like to stress that it has nothing to gain from illegal or unethical business practices.

“We take allegations of money laundering very seriously.

“We are not in a position to question the source of the said funds unless there is clear evidence that the same are ill-gotten funds.

“Any issue of money laundering is totally beyond our knowledge,” it said in a statement.

Earlier yesterday, the MACC filed civil forfeiture applications against 41 individuals and entities, including Jakel, to recover money allegedly transferred from Najib’s account.

MACC chief commissioner Latheefa Koya said the forfeitures, filed under Section 56 of the Anti-Money Laundering Act, were to recover RM270 million of 1MDB money transferred to Najib’s account and later to the individuals and entities.

Jakel said its core businesses are retail and wholesale trading of textiles and textile-related products.

“We carry out our bona fide activities in good faith where all customers are treated equally. All our sales are properly invoiced and payments are accepted likewise, in good faith.”

It explained that Najib and the previous Prime Minister’s Office (PMO) had requested Jakel to supply jubah fabrics for charity programmes (for imams, tahfiz, etc) to more than 7,000 mosques around the country.

It was also asked to supply clothing for flood victims between 2011 and 2014, “well before any issue pertaining to 1MDB came to its knowledge”.

Jakel received the payment after it delivered the goods.

“All payments for goods sold/delivered were accepted in good faith.

“Our stand is very clear. We’ll offer our utmost commitment and cooperation towards the government and MACC to restore Jakel’s image.”

Yesterday, in his Facebook post, Najib said western media and Pakatan Harapan had claimed wrongly that he and his wife had spent RM55 million at Jakel on lavish clothes.

“The truth is, the money was payment to Jakel to supply sarongs, robes and other supplies through NGOs and parties to over 7,000 mosques nationwide in conjunction with Ramadan for several consecutive years.

“The money was not donated to Jakel; it was payment to them for purchases.”

This, he said, was why he felt MACC’s latest move is politically motivated to weaken the opposition.

“After a year of investigations, MACC could not charge a single recipient with a criminal charge. This is why they have to resort to a civil suit.”