Malaysia's ex-army chief charged with money laundering in defence scandal

Malaysia's former army chief was charged Thursday with laundering more than 2.1 million ringgit ($519,000) after investigations into alleged corruption in defence contracts.

Hafizuddiean Jantan, 57, pleaded not guilty to four charges of receiving proceeds from illegal activities between 2024 and 2025 under the anti-money laundering law. He would face up to 15 years in prison and fines if convicted.

His wife, Salwani Anuar, separately pleaded not guilty to laundering 77,000 ringgit ($19,000). Both were released on bail.

The anti-corruption agency said Wednesday that Mohamad Nizam Jaafar, who served as defence forces chief in 2025, would face charges Friday including abuse of power and criminal breach of trust.

 

The cases are believed to be the first brought against Malaysian chiefs of the army and defence forces - the military's most senior posts. The investigation that began last month has led to raids on firms, arrests of senior officers and the seizure of millions of ringgit linked to defence contracts.

Investigators have found that a cluster of firms repeatedly secured high-value army procurement contracts, and local reports said initial investigations found companies paid bribes to senior officers to obtain supply and maintenance projects. Specific products haven't been named.

Hafizuddiean became army chief in September 2023, was placed on work leave in December and opted for early retirement in January.

Mohamad Nizam, 59, also retired this month.

The corruption investigation has prompted the government to tighten oversight of defence contracts.