Unlicensed Futures Trader Jailed 20 Years, Fined RM9 Mln For FCPO Fraud

KUALA LUMPUR, Aug 8 (Bernama) -- The Sessions Court has sentenced an unlicensed futures trader to a total of 20 years imprisonment and a fine of RM9 million for unlicensed activities and derivatives fraud.

The Securities Commission of Malaysia (SC), in a statement today, said that Judge Hamidah Mohamed Deril meted out the sentences yesterday after Mohd Azhidi Laili pleaded guilty to nine charges under Section 206(b) of the Capital Markets and Services Act 2007 (CMSA).

It said Mohd Azhidi was sentenced to two years imprisonment and a fine of RM1 million in default three months imprisonment for each charge, with the jail terms to run concurrently. 

"If Mohd Azhidi does not pay the fine, he will face a further imprisonment of 27 months after the completion of his jail term," read the statement.

Mohd Azhidi, who had falsely represented himself as a futures trader, committed the offences between May 2013 and March 2014 in Kuala Lumpur.

"According to the facts of the case as admitted by Mohd Azhidi, he had deceived nine victims of a total of RM1.45 million for a purported futures crude palm oil (FCPO) investment scheme under AmFutures Sdn Bhd, which did not exist," the commission said.

The court also sentenced Mohd Azhidi to two years' imprisonment after he pleaded guilty to a charge under Section 58(1) of the CMSA for holding himself out as a representative of AmFutures Sdn Bhd without being licensed or registered for dealing in derivatives, and ordered the jail term to be served concurrently.

Mohd Azhidi was initially charged by the SC on Feb 14, 2022, two days after his arrest, and he claimed trial to all the charges and was released on bail of RM250,000 with two sureties. He was also ordered to surrender his passport and to report to the SC’s Investigating Officer once a month.

"The trial proceeded from February 2023 to March 2025, after which he decided to change his plea to guilty. 28 prosecution witnesses, including seven victims, testified in court," read the statement.

The commission further said, Mohd Azhidi’s bail was revoked by the court on May 21, 2024, after he failed to appear in court for two case mentions and also for failing to report to the SC’s Investigating Officer for the monthly reporting. 

The court ordered Mohd Azhidi to serve the prison sentences from the date of bail revocation.

The SC was represented by Deputy Public Prosecutor Mohd Izuddin Mohamad and prosecuting officers Quek Yiing Huey, Raihana Nadhira Rafidi, Eunice Ong Jo Xing and Mark Rohan Mahadevan, while Mohd Azhidi was represented by counsel Al-Sabri Ahmad Kabri.

-- BERNAMA