SHAH ALAM: The High Court here yesterday ordered two individuals to pay RM848.14 million to a timber company over the revoking of an approval for a project to supply raw acacia wood in Kamasul, Pahang.Judicial Commissioner Datuk Zaleha Yusof made the decsion in her chambers after allowing a suit filed by plaintiff, Kaohsiung Timber Products Sdn Bhd (KTP) against Hamid Man and Abu Bakar Rahmat.
KTP had filed the suit against Hamid, 67, and Abu Bakar, 48, claiming the duo had sabotaged the company from getting the project.
Laywers Majdah Muda and Azlinda Baroni, who represented KTP, when met oustide the court, said the judge besides allowing the suit by KTP, also rejected the defendants application for costs.
In 2007, KTP filed the suit against Hamid and Abu Bakar to demand a total of RM848,144,000 in damages, comprising future loss in income, general damages, specific damages, aggravated damages, exemplary damages, costs as well as other relief deemed fit by the court.
In its statement of claim, KTP alleged that in March 2001, the company had appointed the two defendants to represent KTP in making an official application to undertake an acacia raw wood supply project involving 100,000 acres (40,000 hectares) of land in the district of Kamasul, to the Pahang Government.
KTP further claimed that under the terms of appointment, the duo agreed to allow their names to be used by the company in the official dealings with the state government and the relavant authorities and had also pledged to act in the interest of the company until the approval was obtained.
On March 14, 2001, the company said, Hamid acting as the chairman of KTP had written to the Pahang Menteri Besar to get approval for the project.
However, the company claimed, unkown to it, the duo had set up another timber logging company named Anjakan Wawasan Sdn Bhd (AWSB) on March 30, 2001, where they were directors.
KTP added that on Jun 27, 2001, the Pahang Forestry Department (JPP) replied to the March 14 letter stating that the Pahang government agreed to approve 4,048 hectares for the project and would follow up the matter with a contract signing ceremony accordingly.
The plaintiff claimed this approval was a big boost for its repuation and that the project promised lucrative returns.
KTP said following the approval of the project, the company and the two defendants drew up agreement on Aug 23 2001 so that each would get an equal share of the project.
However, unknown to KTP, the two defendants continued to remain as directors of AWSB, and on Feb 18, 2002, Hamid with the tacit support of Abu Bakar had made a written objection to JPP over the awarding of the project (to KTP), KTP said.
KTP said the letter cast negative aspersions on it resulting in JPP on Aug 20 2003 revoking approval of the project to it and instead awarding it to AWSB. — Bernama