Malaysia

Penang DCM I declines comment as MACC probes zakat-funded land deal claims

The Batu Maung assemblyman believes the accusations were politically motivated and aimed at discrediting him over his efforts to strengthen the position of Islam in Penang

Updated 5 months ago · Published on 02 Feb 2026 3:01PM

Penang DCM I declines comment as MACC probes zakat-funded land deal claims
The current controversy emerged after claims surfaced of possible improper dealings involving a senior state officer over the sale of land using zakat funds - February 2, 2026

by Ian McIntyre

PENANG Deputy Chief Minister I Datuk Dr Mohamad Abdul Hamid has refused to be drawn into allegations of irregularities involving the state Islamic Religious Council’s use of zakat funds to acquire state land

Mohamad, a first-term Batu Maung assemblyman and former academic, said he would give his full cooperation to investigators and insisted there was nothing to conceal.

Speaking in an interview with the New Straits Times, he said: “I will cooperate fully with the MACC over the claims. There is nothing to hide.”

He added, however, that he believed the accusations were politically motivated and aimed at discrediting him over his efforts to strengthen the position of Islam in Penang.

“This is all politics. Certain quarters want to victimise me because of what I am trying to do for Islam in Penang,” Mohamad said.

The deputy chief minister, who also serves as deputy chairman of the Penang PKR liaison committee, said he was prepared to defend himself against personal attacks arising from the controversy.

Under his leadership, the state’s religious authorities have recorded significant gains, particularly in zakat collection. He said collections were expected to exceed RM200 million last year, compared with RM172.8 million in 2024.

“This significant increase reflects the confidence of the Muslim community in the state’s zakat management system, as well as the effectiveness of the zakat distribution mechanisms and community development programmes,” he said.

The post of Penang Deputy Chief Minister I has long been a sensitive and closely watched position since 2008.

The first office holder, Mohd Fairus Khairuddin, resigned after only a few months amid pressure from multiple quarters.

His successors, Datuk Mansor Ismail and Datuk Mohd Rashid Hasnon, both later quit PKR after winning the post in 2008 and 2013 respectively, and subsequently joined Parti Pribumi Bersatu Malaysia following the 2020 Sheraton Move that toppled the Pakatan Harapan government.

Mohamad’s immediate predecessor, Datuk Ahmad Zakiyuddin Abdul Rahman, served a single term from 2018 to 2022 before retiring due to health reasons.

The current controversy emerged during the most recent Penang state legislative assembly sitting, after claims surfaced of possible improper dealings involving a senior state officer over the sale of land using zakat funds.

Penang MACC director Datuk S. Karunanithy has since confirmed that investigations are under way to determine whether any wrongdoing occurred in the transaction.

Meanwhile, Penang PAS information chief Muhammad Fawwaz Mohamad claimed the allegations extended beyond the land sale and included accusations of abuse of power, cronyism and nepotism within the religious council.

Fawwaz, who is also the Permatang Pauh MP, urged Mohamad to resign, alleging that he had used the religious council for personal benefit. - February 2, 2026

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