KOTA KINABALU: Royal Sabah Turf Club (RSTC) life member Han Bat Fong has called on club members to be rational and reject any unreasonable agendas that will be raised in the Extraordinary General Meeting (EGM) on September 22.
He urged the members to stay united and request the current club management committee to pay back RM1.76 million and RM388,000, in addition to eight per cent interest to the club, as per the court’s judgment.
Han said that in a press conference with several senior members of RSTC yesterday afternoon, in response to the current management committee’s announcement of the EGM in the print media on September 10 to discuss two agendas.
The first agenda is to seek information and clarification from the club management committee on matters arising in connection with the payment of RM3.5 million to Ambank Berhad.
Han said all the 11 defendants had submitted a document dated December 7, 2009, to the High Court during the trial before March 25, 2009.
In the document, the defendants agreed to draw RM2 million from the club’s fund, in addition to RM1.5 million obtained from the Land and Survey Department, to pay to AmBank.
However, a receipt from AmBank showed that the bank only received RM1.74 million, rather than the RM3.5 million stated in the document submitted to the court.
The senior members opined that that all the management committee should take the responsibility on the disappearance of the remaining RM1.76 million, rather than putting all the blame on the treasurer.
During the trial, Han said only the treasurer rose to defend himself, while the other 10 defendants did not produce a defence.
Surely, as Han said, the management committee know they should present their defence in court, rather than declaring their innocence after the court’s judgment.
He pointed out that the president and vice president have been holding their posts for more than 20 years, and among the committee is a Justice of Peace (JP) and former government auditor, hence they should know how legal proceedings work.
“They were just sitting on the public gallery during the trial, and proclaimed their innocence after the judgment was delivered.”
This act should not be accepted or sympathized, Han said.
“The management committee should have settled the club’s fund immediately, apologize and step down from their posts when the High Court dismissed their stay of execution application for the repayment of RM1.76 million to RSTC on May 13, 2011.”
The senior members further warned the current management committee that they could face legal punishment for the contempt of court if they do not respect the court’s ruling.
The second agenda is for club members to accept, consider and pass the following resolution – that the club will not enforce the High Court decision on March 25, 2011, in relation to the repayment of RM1.76 million until a decision is obtained on the appeal of the club management committee members from the Appeals Court.
Han and the senior members pointed out that the move was clearly misleading the members and the committee’s supporters, an act to cover up the truth and to keep their current posts in RSTC.
Han urged the members to be clear about the management committee’s intention and reject the latter’s move to disobey the court’s decision.
He further said he had received reliable information recently that the club should have not less than RM7 million in the bank account.
The amount includes RM3.3 million as of August 3, 2009, RM8 million from the government for land compensation and deduction of RM3.5 million as redemption to AmBank.
However, the amount in the bank account was down to RM3.7 million in two short years, causing RSTC to be on the verge of financial crisis.
He said the court was fair in ordering the 11 management committee members and general manager to pay RM1.76 million and legal fee of RM388,000, in addition to eight per cent interest to RSTC.
He also commended life member Peter Chin Tet Fong for bringing the management committee to court and disclosing their act.
Han reminded the members that the RM8 million compensation obtained for the 4.2 acres of land owned by RSTC was the hard work of two senior former management committee members, who appointed Henry Butcher to undertake land valuation and spent a year negotiating with the Land and Survey Department.
RSTC subsequently paid Henry Butcher three per cent of the RM8 million as professional fee, as stated in the agreement.
“These two management committee members have been sidelined and are no longer in the current management committee. I believe this scandal would not have happened if they are still in the current management committee.”
Han pointed out that the function of the management committee is to protect the club’s assets, manage and increase the income of the club for the benefit of members.
He continued to say that the club’s top leaders, namely the president, vice president, secretary and treasurer should take the lead in adhering to the constitution, and give equal treatment to all members.
They should, as Han said, tender their resignations after the court delivered its judgment.
He also expressed his gratitude towards the members, especially those who rear the race horses, for their cooperation and contribution.
“We will request that around RM2.5 million obtained from the repayment, legal fee and interest from the 11 committee members, to be divided among the members. Each member will receive not less than RM5,000 to RM10,000 hardship allowance!” he announced.
Han reminded the current management committee to adhere to Section 21 of the Constitution, which stated that any member who is in arrears of subscription or other payments due to the club or such sums owing have been written off as bad debts shall not be eligible to propose or second an application for membership, nominate or second a candidate for election, stand for election nor vote at any general meeting of the club.
He further said the management committee have lost their credibility and hence should select three to five senior members to conduct the EGM to prevent a conflict of interest.
He also agreed that the voting in the EGM should be carried out in written form instead of the show of hands.