Forfeited funds cannot be used to pay lawyers, court rules

PUTRAJAYA: A law firm has lost its bid to review the decision of an earlier Federal Court panel that lawyers cannot claim legal fees owed to it from monies seized under the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act (AMLATFPUA).

Messrs Wan Shahrizal, Hari & Co’s review application was dismissed by a three-member panel of the Federal Court comprising Chief Judge of Malaya Justice Mohamad Zabidin Mohd Diah and Federal Court judges Justices Zabariah Mohd Yusof and Harmindar Singh Dhaliwal.

In delivering the court decision, Justice Mohamad Zabidin said the firm’s application did not meet the threshold requirement under Rule 137 of the Rules of Federal Court 1995.

Justice Mohamad Zabidin said they concurred with the majority judgment in the previous Federal Court ruling, which cannot be said to be unjust.

On June 22 last year, the Federal Court three-man bench dismissed Messrs Wan Shahrizal, Hari & Co’s appeal to collect legal fees amounting to RM398,722 from money that was forfeited under AMLATFPUA.

The firm has sought the sum as its fees for representing Amar Asyraf Zolkepli, who was investigated by police for offences under the Computer Crimes Act.

The 2016 investigation revealed that Amar possessed computer software that enabled access to the Malaysian Immigration System (MyIMMs) without the need for a password or fingerprint.

Amar had then provided the software to a syndicate that used it to unlawfully approve the permits for foreign workers for a fee of RM1,000 for every approval.

In follow-up action, the government seized RM553,918.44 from Amar, an apartment in Batu Caves, and an Audi S Line TFSI CVT(A).

The law firm had then sought for its legal fees to be deducted from Amar’s seized assets for services rendered to their client from the day he was detained by the police up to the time of the forfeiture proceedings.

The law firm’s claim was allowed by the Temerloh High Court but reversed by the Court of Appeal in a unanimous decision. — BK