The Court of Appeal today dismissed ex-Perwaja Steel managing director Eric Chia bid to exclude evidence gathered by the prosecution in Hong Kong from being admitted at his on-going criminal breach of trust (CBT) trial.

The ruling which favours the prosecution was, however, not unanimous. The majority decision came from Justices Abdul Aziz Mohamad and Azmel Maamor while the dissenting decision to allow the appeal was from Justice Denis Ong.

"Justices Abdul Aziz and Azmel are of the opinion that this appeal is to be dismissed. I, however, am of the opinion that the appeal should be allowed," said Justice Ong, who headed the three-man bench which heard the appeal last week.

"There is a division of opinion in the quorum. The majority decision of Justices Abdul Aziz and and Azmel prevails. Consequently the appeal is dismissed."

The court did not give its grounds stating that a detailed written judgment would be available at a later date.

Following the ruling, Chia's lawyer Jeffrey John informed the court that he had been instructed to appeal against today's ruling to the Federal Court and requested the court to expedite the preparations of the appeal's records

Chia's lead counsel Muhammad Shafee Abdullah is currently in Japan where the prosecution team is gathering evidence from several Japanese witnesses related to the CBT case.

Another appeal

Today's ruling will mean that all evidence gathered by the prosecution overseas including Hong Kong, Switzerland and Japan - pursuant to the Mutual Assistance in Criminal Matters Act (Macma) - can be tendered in court as evidence.

Chia, was exempted from attending the appeal as he is wheel-chair bound. He is currently on a RM2 million bail. His lawyers will now have to decide whether to proceed with his other pending appeal involving prosecution evidence gathered in Switzerland.

The appeal was against a ruling by Kuala Lumpur High Court judge Abdull Hamid Embong who overturned the Sessions Court rejection of the prosecution's application to produce their evidence at Chia's trial.

The judge dismissed Chia's complaint that the Hong Kong evidence failed to fulfill the requirements of the Evidence Act, adding that it would be "sheer injustice" to subject the Macma to the former.

"Macma is a special and specific law. In my view it overrides the Evidence Act," said Abdull Hamid in his landmark judgment.

Technical assistance

Chia, 73, is accused of committing criminal breach of trust at his office at Menara UBN, Jalan P.Ramlee, Kuala Lumpur, between Nov 4, 1993 and Feb 22, 1994.

He is alleged to have dishonestly authorised the payment of RM76.4 million into the account of Frilsham Enterprise Incorporated at American Express Bank Limited in Hong Kong for technical assistance rendered by NKK Corporation of Japan for 'beam and section mill plant' project in Guru, Kedah when no payment should have been made.

Alternatively, Chia is charged with disposing of the money by signing an agreement with NKK Corporation and approving the payment without the approval of the board of directors or the tender committee of Perwaja Rolling Mill Development Sdn Bhd.