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Wednesday, April 8, 2020

MCA sues Keranji state rep over allegation of misappropriating RM150m public funds

Malaysiakini

MCA has filed a defamation suit against Keranji assemblyperson Chong Zhemin over an allegation of the misappropriation of RM150 million in public funds intended for the construction of the Kampar Hospital.
The BN component party is filing the suit through party secretary-general Chong Sin Woon, against the defendant, who is a DAP Perak state lawmaker.
On behalf of the plaintiff, legal firm Messrs Ang & Co filed the writ of summons at the Kuala Lumpur High Court Registry on Feb 12.
Previously on Jan 10, it was reported that MCA has issued a legal letter demanding that Zhemin (photo, aboveapologise and retract his statements which alleged the party had misappropriated RM150 million in public funds.
According to the statement of claim sighted by Malaysiakini today, MCA is suing over the article “MCA hijacks RM150 million allocation by cancelling Kampar government Hospital to build Utar private hospital” which was published on the defendant’s blog on Jan 3.
The party alleged that the article was also published on Zhemin’s Facebook that was circulated widely and commented on by other Facebook users.
Rubbishing the allegation as untrue, the party said that the defamatory words in the article painted it as an untrustworthy political body and corrupt, among others.
“In consequence, the plaintiff’s reputation has been seriously injured.
“The words complained of in paragraph 4 above (in the statement of claim which laid out the specific defamatory words in the article) are calculated to disparage the plaintiff, particularly after the publication of the article, the 'Bahagian Pembangunan' of the Health Ministry in reply to the question, has on Jan 7 2020, clarified that the allocation sum of RM150 million was never disbursed or paid out,” the statement of claim said.
The plaintiff alleged that the allegation is untrue as the original site for the construction of the Kampar Hospital was unsuitable, hence the plan for the hospital’s construction was discontinued, and that the allocation for RM150 million was never disbursed or paid out.
The plaintiff claimed that despite its lawyers having issued a letter of demand to Zhemin on Jan 8 for the latter to publish an apology and retract the statements, the former alleged that the defendant, through his lawyers, issued a reply letter on Feb 10 refusing to retract the statements nor apologize for making them.
MCA seeks general damages for defamation, including aggravated and exemplary damages, as well as an injunction to restrain the defendant from further publishing or broadcasting the defamatory words.
The political party is also seeking interest on damages as may be awarded, costs and any further relief as the court deems fit.
'A matter of public interest'
Meanwhile, through a statement of defence filed by legal firm Nga Hock Cheh & Co on March 9, Zhemin said while he admitted to having published the impugned article on his blog, he denied that said article bore a defamatory meaning against the plaintiff.
According to the court papers sighted by Malaysiakini, the defendant said that his statements in the article constitute reasonable comments regarding matters of public interest, among others.
“The defendant is the state assemblyperson for Keranji, Kampar, and the RM150 million allocation is of public interest especially as it concerns his constituency.
“The defendant, as a state assemblyperson, has a public duty to raise this issue to set the record straight and to inform his voters who have a corresponding interest to receive this information as it affected them directly.
“Given that it is a comment on a matter of public interest based on publicly available information, the statement also constitutes a fair comment and enjoys qualified privilege,” Zhemin's statement of defence said, citing two forms of defence against MCA’s defamation suit.
In seeking for the defamation suit to be dismissed with costs, Zhemin contended that the plaintiff has no locus standi (right to file the defamation suit) and that in the alternative, the plaintiff has no cause of action against him.
According to the online cause list at ecourtservices.kehakiman.gov.my, the matter is set for e-review (a form of online teleconference where parties need not come physically to court) case management with the Kuala Lumpur High Court Registry tomorrow.
On Jan 7 through a statement, the Health Ministry dismissed the allegation that MCA misappropriated the RM150 million, with the ministry saying that the funds announced by then Health Minister Liow Tiong Lai in 2012 was never disbursed after the Kampar government hospital project was cancelled.
For the record, as of Jan 8, Zhemin stood by his claim and said the ministry’s statement does not contradict his allegation. - Mkini

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