Former director Awang Mohd Tahir Mohd Talib, 54 and his wife Fauziah Piut, 51, as well as former deputy director Lim Lam Beng, 62, were charged under Section 4 (1)(b) of the Anti-Money Laundering and Anti-Terrorism Financing Act 2001 for abbeting the commission of money-laundering.
The trio appeared calm when the charge was read before Judge Ummu Khaltom Abdul Samad. Awang faced 12 money-laundering charges involving RM56.9 million while Fauziah faced 19 charges involving RM2.2 million.
They pleaded not guilty. Both also claimed trial to two counts of possessing 575 pieces of jewellery and 346 other valuable items.
Meanwhile, Lim pleaded not guilty to four money-laundering charges involving RM2.38 million. The court session was adjourned until 12.45pm for bail decision.
The two top senior officials were among 28 people arrested by the Malaysian Anti-Corruption Agency (MACC) in October on suspicion of siphoning money from a billion ringgit worth of federal-funded projects to boost clean water supply in Sabah.
The trio had arrived in a van at 9.30am. They covered their faces with jackets as they were escorted by MACC officers into the court.
The courtroom was packed as family members, reporters and MACC officers flocked the gallery to witness the session.
An MACC officer had to be brought out of the court to get fresh air after he was seen experiencing breathing difficulties.
MACC deputy chief commissioner (operations) Datuk Azam Baki is expected to hold a press conference in relation to the Op Water investigation at the commission's office here at about 2pm.