‘I took loan because Anwar was involved’
(NST) – A BUSINESSMAN testified in the High Court that he became involved in a RM445 million syndicated loan deal when two individuals told him that they were principals acting on behalf of Datuk Seri Anwar Ibrahim and Hong Leong executive chairman Tan Sri Quek Leng Chan.
Low Thiam Hoe, 55, is being sued by Hong Leong Finance Bhd in a breach of repayment suit involving the RM445 million.
Low said the two individuals were Mohd Faiz Abdullah, a speech writer for Anwar, and Hamzah Harun, the former managing director of Arus Murni Corporation Bhd (AMCB).
He added that other individuals and companies involved in the deal were Arus Murni Sdn Bhd, Hood Osman, Nik Hussain Nik Mohamed and Mekuritek Sdn Bhd.
When asked by his lawyer, D. Paramalingam, how the companies and individuals were related, Low said: “From what I know, they are all cronies of Datuk Seri Anwar Ibrahim.”
The suit, by Hong Leong against Low, was filed in 1998 for RM28.6 million. Hong Leong Finance, in a second suit, named Mekuritek Sdn Bhd and three others as defendants for another RM28.6 million. The two loans, along with three others, totalled RM445 million.
(At an earlier hearing, judicial commissioner Hadhariah Syed Ismail rejected a bid by Low to amend his statement of defence to include the involvement of Anwar as the person behind the RM445 million deal to acquire AMCB, which in turn owned Kewangan Bersatu Bhd (KBB), a financial institution at that time.)
Low had also filed a counter-claim in 1999 for wrongful advice and is claiming general damages.
Yesterday, Low said Hamzah and Faiz had told him that they were working together and that they represented Anwar.
“That is why I allowed them to use my name. The plan was to use my name for a short-term loan to take over of KBB,” he said.
Cross-examined by the plaintiff’s counsel, Andrew Chiew, Low denied that he had cooked up the story on Anwar and Quek’s involvement in the deal.
When asked if he spoke to Anwar and Quek on the matter, Low said he did not and he believed whatever Hamzah told him.
Chiew then suggested that when Low entered into the deal, he was aware that he was taking a loan to buy shares.
“Yes, but it was a bigger picture linked to Anwar and Quek,” Low replied.
Hamzah, who also testified yesterday, said after Anwar was sacked (as deputy prime minister and finance minister), Hong Leong initiated proceedings to remove all directors of AMCB. Hearing continues on April 12.
Just before court adjourned, Paramalingam informed the court that his process server met Anwar in Parliament on Wednesday to serve a subpoena on him to testify in the trial but he refused to accept it.
Paramalingam said he would try to serve the subpoena again, failing, which he would take the necessary steps.
The court will hear on April 6 the plaintiff’s application to set aside the subpoena on Anwar and Quek.
