Federal Court upholds former Malaysian minister Syed Saddiq's acquittal in RM1 million funds case

PUTRAJAYA, MALAYSIA: Malaysia's Federal Court has upheld the acquittal of former youth and sports minister Syed Saddiq Syed Abdul Rahman on four criminal charges linked to RM1 million (approximately US$245,038) in Armada funds, dismissing the prosecution's final appeal in a split 2-1 majority decision.

The ruling on 13 July 2026 brings an end to the long-running criminal proceedings after two members of the three-judge Federal Court panel agreed that the prosecution had failed to establish the offences against the Member of Parliament for Muar.

Federal Court judges Datuk Che Mohd Ruzima Ghazali and Datuk Collin Lawrence Sequerah dismissed the prosecution's appeal, affirming the Court of Appeal's decision delivered last year to acquit Syed Saddiq on all four charges.

Court of Appeal President Datuk Seri Abu Bakar Jais delivered a dissenting judgment, concluding that the Court of Appeal had erred and that Syed Saddiq should have been convicted on three of the four charges.

However, he acknowledged that his position did not prevail because the other two judges disagreed.

"In conclusion, I find no appealable error on the part of the Court of Appeal. Despite all the charges and reasons given above, each of these appeals are dismissed," Abu Bakar said when reading the court's majority decision.

Majority upholds acquittal

In his written judgment, Ruzima found that the Court of Appeal had correctly concluded the prosecution failed to prove all four charges beyond the required legal standard.

On the first charge of abetting criminal breach of trust involving RM1 million, Ruzima said the withdrawal of the funds alone did not amount to criminal breach of trust.

He added that Bersatu's constitution governed only the internal affairs of the political party and did not constitute statutory law.

"The Bersatu constitution is not law. It is a set of rules governing members of the political party. Any non-compliance would attract disciplinary action unless it also amounts to an offence under the law," he said.

Ruzima further held that because the prosecution failed to establish the principal offence of criminal breach of trust, it also failed to prove the related abetment charge against Syed Saddiq.

Collin agreed with Ruzima's findings, providing the majority required to dismiss the prosecution's appeal and uphold the acquittal.

Dissenting judge proposed conviction

In his dissenting judgment, Abu Bakar concluded that the prosecution had successfully proven the dishonest misappropriation and money laundering charges.

He proposed that Syed Saddiq be sentenced to six months' imprisonment and one stroke of the cane for the dishonest misappropriation charge.

For each of the two money laundering charges, Abu Bakar also proposed six months' imprisonment and a RM5 million fine, with a further two years' imprisonment if the fine was not paid.

However, Abu Bakar acknowledged that those proposed sentences had become irrelevant because the majority of the court had ruled otherwise.

"The conviction and sentence on the second, third and fourth charges become immaterial as the learned judges are not with me. They are very much entitled to do so as judges of this court," he said.

Judges address delayed verdict

The Federal Court also addressed questions surrounding the postponement of the judgment, which had originally been scheduled earlier in July after Ruzima went on medical leave.

Abu Bakar reminded those present that judges were not immune from illness.

"Although we are judges, we are also ordinary human beings. Sometimes we are healthy, sometimes we are not. That happens," he said.

Before reading the judgments, he urged members of the public to consider all three written decisions rather than focusing on a single opinion.

"Many people do not understand the process. Listening to only one judgment is insufficient. Listen to all three decisions first, then you will see the decision in its entirety," he said.

He also cautioned parties against making unnecessary public comments regarding the earlier postponement.

"We cannot defend ourselves from criticism because judges cannot answer publicly. But I advise the parties not to make statements they are not supposed to make," he said.

Court notes Syed Saddiq's future plans

During the proceedings, Abu Bakar also made reference to Syed Saddiq's reported personal plans following the outcome of the case.

"We observe and know what is happening around us. We know the respondent has plans after this. We know that. We know this majority decision is in your favour and we hope your plans can now proceed," he said, in an apparent reference to reports that Syed Saddiq plans to marry his fiancée, social media personality Bella Astillah.

Syed Saddiq attended the hearing with his legal team led by Datuk Hisyam Teh Poh Teik. The prosecution was represented by Deputy Public Prosecutor Datuk Wan Shaharuddin Wan Ladin.

Following the announcement of the majority decision, the courtroom broke into brief applause. Bella Astillah was seen letting out a sigh of relief while seated beside Federal Territories Minister Hannah Yeoh, who has regularly attended court proceedings in support of Syed Saddiq.