KUALA LUMPUR: A Malaysia former CEO of the palm oil giant Sime Darby was in court on Tuesday to face an inquiry over $30 million in losses for the state-controlled company. In a surprising case for a country that rarely sees top Malaysian government officials and state-owned firms prosecuted, Ahmad Zubir Murshid was facing charges of corruption. Despite regular claims of rampant corruption among the state-owned enterprises in the country, Malaysia is often seen as supporting such businessmen. But former Sime Darby group chief executive Murshid pleaded not guilty to criminal breach of trust and cheating over the affair, which came to light in 2010, said Malaysian Anti-Corruption Commission prosecutor Kevin Morais. The offense carries a maximum sentence of 20 years in prison. Murshid is accused of instructing the government of Malaysia's Sarawak state on Borneo island to sell land awarded to Sime Darby to two other companies, forcing his own firm to buy it back later, Morais said. He allegedly also failed to inform Sime Darby's board of the arrangement, and the fiasco cost the company some 100 million ringgit ($30 million), the prosecutor added. Sime Darby is the world's largest listed palm-oil producer by acreage and one of Malaysia's biggest conglomerates, with its portfolio also including power, property and other divisions. The case has shocked many in the country, especially in the business community. One top manager at a state-run company in Kuala Lumpur told Bikyamasr.com that this is a positive step for the country. He said, speaking on background, that the government should do more to tackle the corruption that exists within their own companies. He believes that investment could be bolstered if Malaysia is seen as an anti-corruption country.
