The Royal Commission of Inquiry (RCI) on Bank Negara’s forex losses will begin its hearing on Aug 21 after former premier Dr Mahathir Mohamad's stay application was dismissed by the Court of Appeal today.  

Mahathir's legal team had hoped to obtain a stay pending the appeal of his application to remove two RCI panel members, Mohd Sidek Hassan and Saw Choo Boon.

His lawyer Mohd Haniff Khatri Abdulla had told the appellate court that they did not intend to challenge the Yang di-Pertuan Agong, but merely wanted the cabinet to advise the Agong to replace the two members.

However, Justice Mohd Zawawi Mohd Salleh, who led the three-member bench, said they are dismissing the motion.

”It is in the public interest for the RCI to be continued," he said.

The panel made no order as to costs.

The other judges were Justice Abdul Rahman Sebli and Justice Kamardin Hashim.

Haniff submitted that a stay should be allowed as Mahathir (photo) was questioning the presence of Sidek and Saw, who were previously with the task force which recommended the formation of the RCI.

“This is in the interest of natural justice as no two members who were in the task force should be allowed to be in the RCI for fear of them being prejudice on the matter. The composition of the RCI is vital for the commission to be held in high regard and it is better for the stay to be allowed for the appeal to be heard,” he argued.

The lawyer said since a notice of appeal has been filed yesterday, he would apply for the appeal to be heard next week.

Senior federal counsel Amarjeet Singh, who appeared for the government and RCI, objected to the stay application on the grounds that there are no special circumstances for it to be granted.

He argued that the Agong had appointed the commission to investigate, a decree of which one cannot stay the proceeding.

Amarjeet added that if the appellant wants to challenge, he should name the cabinet not the government.

Haniff explained that they are not challenging the Agong's power, but merely the cabinet's advice to the Agong.

The panel immediately made the decision after hearing the submissions from both parties.

No witness list and documents

Outside the court, Haniff told reporters that they would not file an appeal to the Federal Court and will let the RCI continue on Monday.

However, he pointed out that till today, they have yet to be given the list of witnesses or documents to be used in the RCI.

“We wrote to them on Aug 9 requiring them to give the witness list. They have not replied. Till today we do not know if Mahathir would be called to testify. They have not given us the documents."

Commenting on the impact of today's decision, Haniff who appeared with lawyer Rafique Rashid Ali, said Mahathir and Anwar Ibrahim's lawyers will be there.

Yesterday, Justice Azizah Nawawi dismissed Mahathir's application for judicial review on the grounds that Sections 2 and 4 of the Commission of Enquiry Act 1950 states the power to appoint commissioners rests with the Agong, who may appoint new members to replace any person who resigns, dies or desires to be discharged.

"As such, the RCI has no jurisdiction or power on the appointment and removal of its members. Therefore, the RCI has correctly refused to accede to Mahathir's application to disqualify Sidek and Saw."