Former Sabah water department deputy director Teo Chee Kong was initially given a discharge not amounting to an acquittal (DNAA) from all 146 counts of money laundering on Feb 18.
Judge Abu Bakar Manat, however, ordered him to be acquitted during a mention to update the status of the case today.
Teo, 58, one of four key suspects in the case dubbed the “Sabah watergate scandal”, had been charged with 146 counts of money laundering charges involving RM32.93 million.
The judge made the ruling based on new developments and after confirmation by the prosecution that it no longer wished to pursue the case.
Abu Bakar added there were no more pending investigations against the accused and that there was no objection from the prosecution over the changing of the DNAA status to an acquittal.
“As such the accused, Teo Chee Kong is now ordered by this court to be discharged and acquitted from all 146 charges,” he was quoted as saying in a Daily Express report.
Abu Bakar had on Feb 18 granted the DNAA after being informed that the prosecuting team led by the Malaysian Anti-Corruption Commission (MACC) had opted not to proceed with the case.
The MACC and the Attorney-General, however, decided to impose a RM30 million compound against Teo.
Earlier in court today, Ram Singh, the lead defence counsel, said Teo had settled the notice of compound within the stipulated time given by the court.
He also told the court that they had received a letter from the prosecution dated March 10, which said the prosecution did not intend to further pursue the charges against Teo.
Ram, during a mention at the High Court earlier yesterday, said the prosecution had also confirmed to the court that the defence agreement on the forfeiture of property (FOP) involving land and bank accounts belonging to Teo and his son and all other restrictions on property and assets overseas be revoked and released to Teo and his family.
He said the prosecution had also confirmed that all matters pertaining to charges and properties in Malaysia, Singapore and New Zealand would be discontinued.
Deputy public prosecutors Mahadi Jumaat and Haresh Prakash Somiah confirmed to the court that the Malaysian government had received the RM30 million compound paid by Teo under Section 92 of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act (AMLATFPUAA) 2001.
Speaking to reporters outside the courtroom later, Ram said his client wished to “lead a normal life” with his family who had been much affected by the proceedings that had stretched for more than five years.
The scandal caught the nation’s attention after the MACC, in several raids, found RM45 million in the director’s home and another RM3 million in his deputy’s office in 2016.
It was reported that the MACC had quizzed 200 witnesses in its investigations and seized RM114.5 million in cash and frozen bank accounts, unit trusts and other assets in Malaysia and abroad.