The fraud trial of the former head of the national steel company will begin today, in one of the most high profile signs yet of Prime Minister Abdullah Ahmad's anti-corruption drive.

Singapore-born Eric Chia, 71, is alleged to have authorised the payment of RM76.4 million from Perwaja Steel to Japanese steel company NKK Corporation through a non-existent company in 1994.

He is one of the most prominent people to be charged with corruption since Abdullah took over power in October last year from Dr Mahathir Mohamad.

"My client is looking forward to the trial and he is especially looking forward to hearing evidence from the Japanese witnesses," Muhammad Shafee Abdullah, Chia's top counsel told AFP.

Mohamed Yusoff Zainal Abiden, senior deputy public prosecutor said Chia's trial was expected to last almost four weeks.

RM2 million bail

The Anti-Corruption Agency probe into alleged misdealings centred on the payment made to non-existent Frilsham Enterprises for technical assistance provided by NKK for a project in Gurun, Kedah.

The prosecution would state that no such payment was made to NKK.

Chia was charged with criminal breach of trust in February and if convicted, he faces a minimum jail term of two years and a maximum of 20 years and a fine.

Wheelchair-bound Chia had pleaded not guilty, posted bail of RM2 million and was ordered by the court to surrender his travel documents.

Perwaja was the cornerstone of the industrialisation drive that former prime minister Mahathir began in the early 1980s.