A lawyer representing a Sarawak government-owned helicopter services company which is faced with an unlawful dismissal suit by a former general manager has applied to the Industrial Court in Kuala Lumpur to bar reporters from covering the case.

Prakash Menon, who is representing Hornbill Skyways Sdn Bhd, made the oral application to court chairperson Ahmad Rosle Mohd Sham, citing fears that the media may “sensationalise” the case.

mohamed asharat 220910 Menon made the application today on the first day of hearing during which the first witness representing the company was to be cross-examined.

Former Hornbill Skyways general manager Mohamed Asharat Ramzan Ali ( left ) alleged in his statement of claim that possible elements of corruption, mismanagement, malpractise and abuse of power had been plaguing the state-owned firm.

The 48 year-old claimant claims to have been unlawfully dismissed after working for the company for just four months, purportedly for spreading rumours and false allegations which had tarnished the company's image.

Mohamed Asharat, who was hired on March 15, 2005 following three crashes of Hornbill Skyways aircrafts, has claimed there were no grounds given, however, for the termination of his services.

Prakash in his application said this was a tribunal hearing between an employer and employee, and as the claimant’s allegations are serious, the presence of reporters should not be entertained by the court.

“Clearly, they are here for a specific purpose, and are acting or called on behalf of the claimant, and are acting on his behest to sensationalise the proceeding. I am applying that they be excluded from sitting through the proceeding,” he said.

Asharat's lawyer, Atan Mustaffa Yussof Ahmad, on the other hand, submitted that it was mere speculation by the company's lawyer.

“This is an open inquiry and they are merely here to report on the proceeding today, nothing more, nothing less,” said Atan.

Industrial Court chairperson Ahmad Rosle, however, said he does not have the power to bar reporters from covering the proceeding.

Rosle said further that he will allow the reporters to cover the hearings until such reports are deemed improper.

Prakash is the same lawyer who represented American Express in its case against Matthias Chang.

The matter was highlighted extensively by the media, notably after Prakash informed reporters about the contempt proceedings lodged against Chang.

Company objects to admissability of documents 

Before the start of today's proceeding, Prakash had also objected to Asharat's application to admit a 300-plus-page bundle of document which he claimed were illegally obtained or obtained through improper means.

“These documents are confidential and were reported missing from the company's premises. The entire bundle should be disregarded and expunged,” he said.

“There are questions as to where and how he got the documents. All of it cannot be used. However, we do not object if they want to refer to a particular page.”

Atan submitted that Asharat received the documents when he was the former general manager.

“It was not illegally obtained. He did not go beyond his authority to make copies of the documents as he made them to review the documents.

“To claim that he took the documents or suggest the documents were missing as a result of such action would certainly be misleading,” he said.

Rosle noted Asharat's main contention in the claim over alleged corruption within the company and he would allow the claimant to discuss with his counsel over Hornbill Skyways’ lawyer challenging the admissibility of the documents.

He also noted that Asharat's role may have been that of a whistleblower.

'MACC closed case againsts firm '

Today, the former director and former chairperson of the establishment and disciplinary committee of Hornbill Skyways, Len Talif Salleh, testified that he was informed by one Aidan Wing that officers from the Malaysian Anti-Corruption Commission (MACC) had carried out investigations into the company's accounts and took documents following alleged discrepancies in the acquisition of the Bell Helicopter and Citation X aircraft.

“I was informed by YB (Aidan) that some officers from MACC carried out investigations into the company's accounts and took the company's documents sometime in April 2009.”

“In March 2010, a DPP verbally informed the management that there was no case and the case was closed. The documents were returned to the company sometime in April 2010,” he said.

Len's testimony however, seemed slightly in conflict with a report which appeared in The Sun today over a probe regarding the aircraft purchase, following new evidence received by MACC deputy commissioner Shukri Abdull yesterday.

The report quoted sources as saying that the company had ordered a Citation X jet worth over RM70 million in 2005. However, it alleged that the purchase did not follow set financial procedures.

The Sun also said the MACC is investigating claims that the agreement for a bank loan of RM45 million was signed by lower-ranking company personnel.

Witness: Board received many complaints

Len, in his testimony, said the board of directors received many complaints over Asharat's performance, and that he was spreading baseless allegations about the management of the company which were damaging and detrimental to the reputation and business of the 33-year-old firm.

“As such, the board felt he could not fit into the organisation and decided to terminate him,” he said, adding that he denied Asharat's statement of claim that the allegations of numerous allegations of fraud and irregularities in the company were incorrect.

“All major decisions are made unanimously by the board who are responsible to the shareholders of the company,” he said, adding that the company had no problems with other employees.

bn supreme council mt meeting sapp sabah issue 190608 taib mahmud Len, who was a director with Hornbill Skyways for seven years and is presently a director of the Sarawak Forestry Department, denied any role by Chief Minister Abdul Taib Mahmud ( right ) in the claimant's sacking when questioned by Asharat’s counsel.

“No, it is none of his (Taib's) business to do with the company,” the witness said.

He agreed that Asharat had suggested to the company chairperson to open investigations highlighting the irregularities including corruption and fraud in the company.

“So the chairman agreed to set up an internal investigation (to those allegations),” he said.

Len said assertions made by the company that Asharat was responsible for spreading baseless allegations about the company were not an afterthought, although the matter was not stated in the claimant's termination letter.

Asharat, in his claim, said following his appointment he had appointed an independent auditor to assess the state of the company following the three crashes and it was disclosed the company and several of its management team members lacked the necessary training and experience needed to effectively manage the company.

He had reported the matter to the company chairperson over possible fraud and malpractice. He also claimed that he had sent a letter to Taib on July 11, appealing against the Chief Minister's instruction to resign.

However, the next day the Hornbill Skyways chairperson informed him he no longer had a future with the company and that his career in Sarawak was over and he must leave the state immediately after four months working there.

Asharat claimed the company tried to prevent the exposure of corruption, mismanagement, malpractise and abuse of power and had attempted to intimidate him into executing a memorandum of understanding requiring him to effectively desist from seeking his reinstatement in return for the payment that he may have been entitled to.