Businessman Kenneth Eswaran accused of taking RM2.3 million in government funds

Malaysian Associated Indian Chambers of Commerce and Industry (MAICCI) president Tan Sri Kenneth Eswaran is accused of misappropriating more than RM2 million given by the government. – Facebook pic, November 5, 2015.Malaysian Associated Indian Chambers of Commerce and Industry (MAICCI) president Tan Sri Kenneth Eswaran has been accused of misappropriating about RM2.3 million, part of which was a government grant disbursed to the guild in 2013 and last year.

Selangor Indian Chambers of Commerce and Industry Indian president P. Muguntha said he had lodged a police report on October 5 after coming across cheques signed only by Eswaran and the MAICCI secretary-general.

"The MAICCI constitution states that all cheques must be signed by the treasurer together with the president or the secretary-general," he told The Malaysian Insider.

Muguntha, who is now MAICCI assistant secretary-general, said the treasurer only began to sign cheques in August last year.

Muguntha said the Finance Ministry had allocated RM2 million while another RM500,000 came from former deputy prime minister Tan Sri Muhyiddin Yassin in 2013.

"The grant from the ministry came with a condition that the money must be used to promote the 1Malaysia concept among its members," he said.

He added that RM1.9 million was then withdrawn and the money transferred into Eswaran's bank accounts.

He said Eswaran took another RM330,000 from another allocation of RM2 million last year, given by Putrajaya for administrative purposes of all of MAICCI's 14 affiliates.

"About RM330,000 was withdrawn as reimbursement on grounds that he (Eswaran) had advanced the money earlier as election expenses (for MAICCI)," he said.

Elections were held this year when the three-year term of the previous office bearers came to an end in June.

Eswaran was re-elected president after a tough contest while the previous treasurer moved up to win the deputy president's post.

Eswaran when contacted said Muguntha's allegations were baseless and unfounded, made by "an unproductive fellow".

"The police have yet to call me although the report was made in early October," he said.

Eswaran said MAICCI had held its council meeting last week and Muguntha, who was present, had not raised the matter or informed him about the report.

Sentul Police District Chief Assistant Commissioner R. Munusamy was not available for comment.

- TMI