KUALA LUMPUR (Sept 21): The Sessions Court has ordered the return of RM1.505 million to Bank Pertanian Malaysia (Agrobank) from 60 mule accounts, marking the first recovery in a much larger online fraud case in which the bank lost more than RM200 million last year.
Sessions Court judge Datin Surita Budin ordered the funds to be returned to Agrobank within 21 working days. The money had been frozen by the police commercial crime unit during investigations into the case first filed in November 2025.
Agrobank’s counsel Datuk Baljit Singh Sidhu and Gupreet Kaur Pannu filed the application on Aug 11, seeking the return of funds traced to the 60 accounts.
Deputy public prosecutors Shukor Abu Bakar and Eugenie Meredith Gilbert appeared for the police commercial crime department.
Based on the police report and investigations conducted, a total of 1,903 accounts were seized through written orders issued under Section 116D(2) of the Criminal Procedure Code (CPC), involving a total sum of RM16.929 million.
The bank’s application through Messrs Shukor Baljit & Partners was made in respect of the first group involving only 60 accounts, based on the details identified and provided by the police to the applicant.
In its application, Agrobank had said it is fair and reasonable for the money identified as belonging to the bank to be returned to the applicant without having to wait for the completion of the overall investigation involving the 1,903 accounts, particularly as all 60 account holders have agreed to the return of the funds.
Further they sought an order that the police could maintain all the bank statements, transaction records, documents and electronic data and evidence for the purpose of its investigations and other orders deemed fit, and just by the court.
The RM1.505 million is part of funds allegedly siphoned from Agrobank between Oct 31 and Nov 3 last year through unauthorised transactions involving the bank’s application control interface on the Payments Network Malaysia Sdn Bhd resulting in monies in Agrobank is unlawfully credited to various depositor accounts.
The bank, in the affidavit in support of the application, claimed that the transaction did not involve its client’s account but involved the bank's settlement account, which was done without the knowledge, approval or agreement of Agrobank.
The unauthorised transactions involved 1,644 Agrobank accounts and 881 beneficiary accounts across 20 banks, covering 2,973 transactions worth RM203.8 million.
Following a police report and investigations by the authorities, a total of 1,903 accounts were frozen through written orders issued under Section 116D (2) of the CPC.
Under that section, it empowers a police officer to conduct a search during an investigation on suspects.
Police have so far arrested 47 people, with three charged under Section 424C(1) of the Penal Code over offences involving mule accounts.
Bank Negara Malaysia has also been investigating the case. It previously said no customer funds were affected and no customer data was compromised, while Agrobank, police and other authorities continue efforts to investigate the incident and recover the lost funds.