The charge of alleged sabotage of financial services does not fall under the Security Offences (Special Measures) Act or Sosma, the High Court in Kuala Lumpur ruled today.

With this decision, judge Mohd Azman Husin ordered the case against Khairuddin Abu Hassan and Matthias Chang to be tried in the Sessions Court.

Justice Azman also allowed each of them bail at RM10,000 with one surety.

He ruled that financial services do not come within the ambit of Article 149 (1) of the federal constitution where the Sosma law was enacted by Parliament.

Khairuddin and Chang, a former political secretary to former prime minister Dr Mahathir Mohamad, are charged with sabotaging the financial and banking institutions of Malaysia by lodging police reports in Singapore, Hong Kong and United Kingdom.

The prosecution, led by DPP Masri Mohd Daud, did not indicate to the court that it would be appealing the case. Normally the prosecution would seek further instructions from the attorney-general Mohamad Apandi Ali.

Justice Azman also fixed Jan 12 for the case to be mentioned before his court.

Khairuddin and Chang had been detained under Sosma for about two months. The case had been transferred to the Federal Court for a ruling on a constitutional question.

However, the bench led by Chief Justice Arifin Zakaria had on Nov 3, remitted the case back to Justice Azman for determination and ordered that should there be an appeal, it should be expedited.

Before the start of the proceedings, as Khairuddin and Chang were brought to the dock, the former Umno Batu Kawan division vice-chief shouted “Tun” upon seeing Mahathir and his wife Dr Siti Hasmah Mohd Ali in court.

Mahathir and Siti Hasmah, who were seated on the front row of the public gallery, went to the dock and shook hands with Khairuddin and Chang.

The duo were seen kissing Mahathir and Siti Hasmah's hands. Also present were former Kedah menteri besar Sanusi Junid, Khairuddin's wife-actress Umie Aida and their family members, and Langkawi Umno Wanita member Anina Saaduddin.

Anina had filed a suit against Prime Minister Najib Abdul Razak over the RM2.6 billion donation in 2013.

Khairuddin and Chang were released at about 12.30pm after signing the documents for them to post bail.

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