KUALA LUMPUR, Nov 24 ― The National Feedlot Corporation Sdn Bhd (NFCorp) executive chairman Datuk Seri Dr Mohamad Salleh Ismail was acquitted of criminal breach of trust (CBT) charges against him in relation to RM49.7 million of funds meant for a national cattle rearing project, his lawyer confirmed today.

Salleh's lawyer, Tan Sri Muhammad Shafee Abdullah, said the prosecution had sought for a discharge not amounting to acquittal (DNAA), but he had pressed for a full acquittal instead.

“The DPP asked for DNAA but I asked that the DNAA must amount to acquittal because of the exceptional facts of this case, because the trial has already started.

“So based on our representation, when the trial has started, the request for DNAA is not suitable, it must be a decision for acquittal and discharge. That's the reason why I asked. They agreed, when they reviewed the law, they agreed that is correct,” he told reporters at the Kuala Lumpur court complex.

Malay Mail Online managed to obtain a recording of his comments to reporters.

On August 28, the Court of Appeal dismissed Salleh's bid to strike out the two CBT charges against him as prosecution witnesses had already been called to testify.

The appellate court also ruled then that the trial at the Sessions Court should continue.

Muhammad Shafee had told the appellate court then that the two alternative charges under the Companies Act against Salleh would not stand if the two CBT charges were dropped.

Muhammad Shafee had then reportedly sent a letter of representation in September to the Attorney-General's Chambers to seek for the withdrawal of the charges against his client.

In March 2012, Salleh was charged with two counts of criminal breach of trust, including through the alleged misappropriation of RM9,758,140 from NFCorp’s funds through four cheques for the partial finance two condominium units purchased at the One Menerung complex in Kuala Lumpur.

He was also charged with the transfer of RM40 million through a cheque to the account of a company owned by him and one of his children, the National Meat & Livestock Corporation Sdn Bhd.

The two alleged offences were said to have taken place between December 1 and 4, 2009 and between May 6 and November 16, 2009 respectively.

Under Section 409 of the Penal Code, criminal breach of trust by a public servant or agent is punishable by a jail term of a minimum of two years and a maximum of 20 years and whipping and a fine.

Salleh, who is also a NFCorp director, was then also charged with two alternative charges of using the firm’s funds without receiving approval in its annual general meeting for the part-finance of the condominium units' purchase.

These two alternative charges under Section 132(2)(a) of the Companies Act 1965 are punishable by a maximum five-year jail term or a maximum fine of RM30,000.

NFCorp was previously given a RM250 million federal loan for a cattle farming project, the National Feedlot Centre, that later featured in the Auditor-General’s annual report for 2010 over irregularities found.