KUALA LUMPUR, 12 June – Citadel Trustee Berhad (CTB) told all affected settlors that the legal representation submitted by their counsel to the Malaysian Anti-Corruption Commission (MACC) has been accepted, and MACC has uplifted the freezing order over their bank accounts.
Following the development, Citadel announces the resumption of dividend distributions to all eligible trust accounts; payments will be processed expeditiously and their Client Services team will be in direct contact with all affected settlors.
The news is welcomed by one of their settlors that refused to be named, saying that the issue had dragged for months to a point of wondering if Citadel is a ponzi scheme.
Earlier in April, Citadel notified all their agents of delay in profit sharing distribution.
“We wanted to let you know that there has been a slight delay with today’s (30 April 2026) profit sharing payouts. The bank is currently resolving a technical glitch on their system.” said Syarifah Baizura Binti Syed Radzuan, Director and CEO of Citadel Trustee Berhad.
She also said that they will be back with full update by 4 May 2026 after the extended weekend and public holidays.
On 4 May 2026, Citadel notified all agents and staff that the delays are due to regulatory review on certain trust accounts managed by them, resulting in temporary suspension of transactions as a precaution.
“Citadel Trustee Berhad is presently engaging with the bank and the relevant authority to ascertain the status of the affected accounts. As a precautionary and procedural measure, transactions for the affected accounts have been suspended temporarily pending the outcome of the regulatory review.” – they said in an internal memo.
They also said that all funds remain safely held in the Company’s designated segregated trust account, on trust for the settlors in accordance with the Trust Deed; the suspension applies to the movement of funds only and does not affect the underlying trust holding.
Citadel issued a memo to all settlors on 6 May 2026 to inform of the situation as well as telling them to submit an updated Source of Funds and Source of Wealth Declaration, together with supporting documentary evidence (such as salary slips, business income records, bank statements, tax filings, or sale and inheritance documentation, as applicable).
Such request came to a surprise to settlors because they had submitted those information earlier before signing the deed of trust.
On 29 May 2026, Citadel revealed that the account restrictions were placed by the MACC.
“We are writing to inform you of an important development regarding the ongoing matter concerning the account restrictions placed by the Malaysian Anti-Corruption Commission (MACC).”
They also announced that the Company has formally appointed a prominent senior counsel to represent Citadel Trustee Berhad in this matter.
“He brings substantial experience in regulatory and enforcement proceedings of this nature and will lead our engagement with the relevant authorities toward the lifting of the current restrictions.” – said Citadel CEO in the statement.
“This engagement is now in motion and is actively being pursued. As the process is ongoing and subject to the timelines of the authorities and the courts, stakeholders should anticipate a temporary delay affecting deposit and withdrawal processing / transaction settlement / payout cycles for the duration of this period. We want it to be clear that this delay is a function of the process itself and not a reflection of the underlying strength of our position or the soundness of the Company.” – she said further.
Their statement turned a little peculiar when she also asked that the matter be kept strictly confidential and not to discussed externally or with media.
-NMT
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