KUALA LUMPUR, Dec 18 — The High Court here today set five days from Jan 13 next year to hear the suit filed by the Malaysian government seeking RM253.6 million which was loaned to the National Feedlot Corporation (NFC) and managed by the husband and three children of former women, family and community development minister Tan Sri Shahrizat Abdul Jalil.

Judicial Commissioner Anand Ponnudurai fixed the dates in chambers today, in the presence of Senior Federal Counsel Mohd Radhi Abas and Federal Counsel Mohd Ashraf Abd Hamid, who represented the government, and lawyer Datuk Seri Rajan Navaratnam, who appeared on behalf of the NFC.

Rajan told reporters that the court fixed Jan 13, 14, 15, 17 and 20 next year for hearing, and Jan 8 for case management.

“So far, both the plaintiff and defendants had prepared seven witnesses to testify. Today, the court had also given directions for both parties to file common bundle of documents, witness statements and chronology of events by Jan 8,” he said.

Asked about the possibility for an out-of-court settlement, Rajan said as for now, there was no settlement yet but the defendants are exploring the possibility to do so.

In its claim, the government as the sole plaintiff, named the NFC as the first defendant, while Shahrizat’s husband Datuk Dr Mohamad Salleh Ismail and their three children, Wan Shahinur Izran, Wan Shahinur Izmir and Wan Izzana Fatimah Zabedah, are the second to fifth defendants respectively.

Other defendants are six companies controlled by Mohamad Salleh’s family, comprising National Meat & Livestock Corporation Sdn Bhd, Real Food Corporation Sdn Bhd, Meatworks Corporation Sdn  Bhd, Agroscience Industries Sdn Bhd, Asian Bioscience Corporation Sdn Bhd, and Techknowlogy Imageware (M) Sdn Bhd.

Among others, the government is seeking a declaration that Mohamad Salleh’s family is responsible for the repayment of the loan. Putrajaya is also making a claim for the undeclared profits accruing from the mismanagement of the funds loaned, as well as property purchased with the funds.

The government entered into an agreement with NFC on Dec 6, 2007 for a RM250 million loan, a portion of which was used to fund the establishment and operations of the National Feedlot Centre in Gemas, Negeri Sembilan, in line with the government’s policy to develop and advance beef production and beef products. 

The loan was disbursed by the government to NFC in three tranches.

Mohamad Salleh’s family made 10 withdrawals totalling RM180.51 million from Jan 24, 2008 to Jan 3, 2011. 

Of the RM180.51 million withdrawn, only RM8.32 million was paid directly to third parties to conduct the National Feedlot Centre project. The balance of the withdrawn funds was transferred to other NFC accounts and a total of RM118.04 million from this balance was allegedly misused.

Included in the alleged misuse of funds is a total of RM9.76 million which was allegedly used to purchase one of two units at One Menerung Residence. This was allegedly conducted by the sixth defendant, the National Meat & Livestock Corp. 

At the same time, it is alleged that a total of RM300,000 was used to make payment to an individual named Shamsubarin Ismail for undisclosed purposes and an additional RM1.8 million was paid to the same individual.

 Mohamad Salleh’s family also allegedly used the funds loaned from the government to settle monthly rental amounting to RM28,000 for an office lot at Solaris Mont Kiara.

Other alleged expenditure made with the loaned money included the purchase of two plots of land in Putrajaya, payment to two legal firms and the purchase of a four-storey shop house in Solaris Mont Kiara. — Bernama