A source said the man, in his 30s, was arrested with two others, including his wife, on April 10.

It is understood the trio are out on police bail.

“The police are wrapping up the investigation and will submit their findings to the deputy public prosecutor soon,” the source told FMT, adding that the assemblyman was not a suspect in the case.

The source said in July 2022, the aide invited the victim, a company director, to bid for a RM1.7 million contract to organise a youth and sports ministry programme in Perak.

The victim was asked to pay a 3% commission and bid for the project through an NGO linked to the aide.

However, after receiving payment, the victim realised he was shortchanged by some RM533,440, the source said.

The victim is said to have discovered that the amount was transferred by the NGO to a company owned by the suspect’s wife.

The victim filed a police report and the case was investigated under Section 408 of the Penal Code for CBT.

FMT has contacted the assemblyman for comment.