Bank Islam vs Khalid: Court to decide May 27

(The Star) – The High Court has fixed May 27 to decide on whether it will judge summarily Bank Islam Malaysia Bhd’s (BIMB) claim of USD18.521mil (RM67.4mil) against Tan Sri Khalid Ibrahim.

Lawyer Malik Imtiaz Sarwar, who represented Khalid for the hearing in chambers, said they had opposed the bank’s application for a summary judgement.

“BIMB, in essence, contends that there are no triable issues as Tan Sri Khalid had breached the Al-Bai Bithaman Ajil Facility, and as such is liable to pay the amount of default claimed.

“However, Tan Sri Khalid opposes the summary judgement application and denies to any default… and takes the position that this matter should not be disposed of summarily but should be investigated properly at trial as it involves complex issues of law and fact,” he said here Wednesday.

Khalid, who is the former chief executive officer of Guthrie Bhd had filed a suit against the bank on May 18, 2007, claiming a declaration that there existed a collateral contract between him and BIMB side-by-side with the Al-Bai Bithaman Ajil Agreement dated April 30, 2001.

He also alleged that BIMB had wrongfully sold his Guthrie shares charged under the agreement, and is claiming general damages from BIMB.

On May 24, 2007, the bank had filed a counter-suit against Khalid and sought a judgement in the said sum, alleging there was a breach in the Al-Bai Bithaman Ajil Agreement.

Representing BIMB was lawyer Tommy Thomas.