He was released from his six-day remand today on RM50,000 bail with RM15,000 to be deposited under two sureties.
The man, who is also an engineer, was said to have been involved in a water treatment plant project in Semporna.
Magistrate Cindy Balitus ordered him to report to the Malaysian Anti-Corruption Commission (MACC) office once a month.
Warisan president Shafie Apdal is currently under remand until Friday, but the Semporna MP is seeking an early release so that he can attend the annual budget debate at the Dewan Rakyat that day.
Several top Warisan and Umno leaders as well as family members of Shafie were also remanded and later released for the same investigation.
It was earlier reported that the MACC was scrutinising a total of 72 projects out of an original list of 350 under the rural and regional development ministry for suspected embezzlement of funds.
The projects were planned to be carried out between 2009 and 2015 in Kota Kinabalu, Kudat, Kota Belud, Ranau, Beaufort, Keningau, Lahad Datu, Tawau and Sandakan.
The RM1.5 billion was said to be part of RM7.5 billion allocated for water, electricity and road infrastructure development projects.
Some RM170 million in bank accounts and assets of the companies involved in the projects have reportedly been frozen.
More than 45 people have been questioned since the probe began two weeks ago.
Opposition leaders have claimed the investigation was politically motivated to smear the image of Warisan ahead of the 14th general election, but Deputy Prime Minister Ahmad Zahid Hamidi and the MACC denied this, insisting that the agency operated independently.