KUALA LUMPUR — Former Malaysian human resources minister M. Saravanan has pleaded not guilty to three corruption charges involving RM1.097 million, escalating a closely watched case centered on the approval of foreign-worker quotas during his time in government.
Saravanan, 58, was charged at the Kuala Lumpur Sessions Court on Friday, August 28, over allegations that he received three separate payments connected with an application allowing a company to hire 1,000 foreign workers.
The Tapah MP, who is also deputy president of the Malaysian Indian Congress (MIC), denied all three charges before Sessions Court Judge Azura Alwi.
The prosecution alleges that the payments totaled RM1.097 million — roughly US$272,000 at current reported conversions — and were made in 2022 while Saravanan was serving as Malaysia’s human resources minister.
What prosecutors say happened
Court documents cited by Bernama, CNA, Free Malaysia Today and Malay Mail show the alleged payments were made in three tranches: RM150,000, RM350,000 and RM597,000.
The first alleged payment involved RM150,000 in cash on June 16, 2022, at the Bukit Jalil Golf & Country Resort.
Prosecutors say the money came from Vectica Resources Sdn Bhd director Tan Teck Lim through an intermediary, Syed Amirul Syed Ahmad.
Saravanan allegedly received the payment as an inducement connected to approving an application by TYKB Engineering Sdn Bhd for a quota of 1,000 foreign workers.
A second charge alleges that another RM350,000 in cash was received on July 7, 2022, at Jalan Telawi 3 in Bangsar.
The third and largest alleged payment, RM597,000, was also linked to July 7. Prosecutors say it was made through a Maybank Islamic cheque deposited into an account belonging to Big Seven Ventures Sdn Bhd.
All three alleged payments were connected by prosecutors to the same foreign-worker quota application.
Saravanan could face up to 20 years in prison if convicted
The charges were brought under Section 16(a)(B) of the Malaysian Anti-Corruption Commission Act 2009 and are punishable under Section 24(1) of the same law.
A conviction can carry a maximum prison sentence of 20 years, as well as a fine of at least five times the value of the gratification involved or RM10,000, whichever is higher.
The charges are allegations, and Saravanan remains legally presumed innocent unless and until proven guilty.
Court sets RM450,000 bail
Judge Azura Alwi granted Saravanan bail of RM450,000, despite prosecutors initially proposing RM800,000.
The court also ordered him to report to the nearest Malaysian Anti-Corruption Commission office once every three months and prohibited him from contacting prosecution witnesses, either directly or indirectly.
His next court mention has been scheduled for September 29, 2026.
Saravanan’s defence had sought a lower bail amount, arguing that he had cooperated with authorities, continued to serve as a member of parliament and was not considered a flight risk.
Saravanan hits back, calls allegations “wild”
But the former minister did not leave court quietly.
Speaking to reporters after being charged, Saravanan rejected the allegations and said he wanted the case to move quickly so that he could clear his name.
The Star reported that he urged authorities not to delay the proceedings and described the accusations against him as “wild allegations”. He also maintained that he did not have relationships with most of the individuals named in the case.
Malay Mail separately reported that Saravanan described the charges as “wild accusations” and suggested there could be a political element behind the prosecution.
However, he did not provide evidence establishing political interference, and no such motive has been established by the court. His comments therefore remain allegations made in his own defence.
His lawyer has said the defence intends to challenge the prosecution’s case and present evidence during the trial.
A disputed history behind the investigation
Before appearing in court, Saravanan had already publicly challenged the circumstances surrounding the investigation.
The Star reported a day earlier that he claimed the case had previously been classified as requiring no further action in 2023 and alleged that an individual who implicated him later withdrew those allegations through a statutory declaration.
Those statements have been made by Saravanan and his defence; they should not be treated as independently established findings about the prosecution’s evidence unless tested in court.
That distinction could become important as the case progresses.
The prosecution will have to prove the corruption charges beyond reasonable doubt, while Saravanan’s lawyers are signalling that they intend to attack both the factual basis of the allegations and the circumstances surrounding the evidence.
Why the foreign-worker quota angle matters
Saravanan served as human resources minister from 2020 until 2022, first in the government of Muhyiddin Yassin and later under Ismail Sabri Yaakob.
That placed his ministry at the centre of Malaysia’s labour and foreign-worker policies during an extraordinary period marked by COVID-19 disruptions, labour shortages and intense demand from businesses seeking approval to bring migrant workers into the country.
The current case focuses specifically on an alleged approval involving 1,000 foreign-worker positions for TYKB Engineering.
There has been no court finding that the company, the other individuals mentioned in the charge sheets or Saravanan committed the alleged offences. CNA also noted that information was not immediately available on whether further action had been taken against the other people or companies named in reporting on the charges.
The political stakes are also growing
Saravanan is not simply a former cabinet minister.
He remains the MP for Tapah and deputy president of MIC, a component of the Barisan Nasional coalition supporting Prime Minister Anwar Ibrahim’s unity government.
That means the courtroom battle could attract attention well beyond the RM1.097 million at the centre of the charges — particularly after Saravanan himself raised the possibility of political motives.
His prosecution also comes during a period of intense scrutiny of high-profile Malaysian politicians.
Just one day earlier, former prime minister Ismail Sabri Yaakob pleaded not guilty in a separate case involving an alleged failure to declare assets. Reuters reported that the former premier was released on bail after being charged under Malaysia’s anti-corruption law. There is no indication that Ismail Sabri’s case and Saravanan’s charges are connected.
For Saravanan, the immediate battle is now in court.
With three corruption charges, more than RM1 million in alleged payments, disputed evidence and an outspoken denial from the former minister, the September 29 court date could offer the first indication of how aggressively both sides intend to fight a case that is rapidly becoming one of Malaysia’s most closely watched political and corruption stories.
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