'Appeals over Khairuddin's 1MDB-linked detention of public interest’

Two appeals related to Khairuddin Abu Hassan’s 62-day detention in 2015 linked to the 1MDB affair are of public interest, the Court of Appeal noted.

As a result, the three-person appellate bench chaired by M Nantha Balan vacated the initially set online hearing today for the appeals by the government as well as Khairuddin (above), a stalwart of former prime minister Dr Mahathir Mohamad.

The appeals will be heard in open court accessible to the public on March 6 next year instead.

The government’s appeal is against a Kuala Lumpur High Court decision last year that ruled it and the authorities were liable for Khairuddin’s detention after he lodged multiple reports in several foreign countries over the 1MDB matter.

Khairuddin’s appeal is to seek a higher compensation than the RM300,000 awarded by the High Court over the detention that took place during the administration of then prime minister Najib Abdul Razak.

Najib is serving a 12-year jail sentence over a RM42 million graft case linked to SRC International, a former subsidiary of 1MDB.

At the onset of the hearing via Zoom this morning, Nantha remarked that the issues involved in the appeals are of public interest and better to be heard via a physical open court hearing.

Nantha noted this is especially since among the issues involved was whether there had been malicious prosecution of Khairuddin.

"The issues raised are of public importance and I do not think justice would be done to parties if this is done via Zoom.

"This (matter) is of public interest and we think these appeals should be heard in open court rather than via Zoom," Nantha said, adding that this is particularly important since it involved the deprivation of Khairuddin's liberty.

While addressing the appellate panel which also comprised judges Mohd Nazlan Mohd Ghazali and Choo Kah Sing, Khairuddin's lawyer Mohamed Haniff Khatri Abdulla agreed with the bench's suggestion.

"We agree on the importance of this matter as it has been in the public limelight since 2015, thus an open court hearing would be beneficial," Haniff said.

The lawyer added that such a hearing would be more suitable when parties orally submit on the issue of who gave the order for the authorities to arrest Khairuddin.

The government's legal representative, senior federal counsel Andi Razalijaya A Dadi, also agreed with the bench's suggestion.

Nantha then vacated today's online hearing, and set case management this afternoon for a new hearing date.

On Aug 24 last year, the High Court allowed the civil action by Khairuddin, who in 2015 lodged multiple police reports in Malaysia and foreign jurisdictions over the losses suffered by 1MDB.

Judicial commissioner Quay Chew Soon ordered the government to pay not only RM300,000 in compensation but also RM50,000 in costs to Khairuddin.

Wrongful Sosma detention suit

Earlier on May 4, 2018, Khairuddin filed an RM8.83 million suit for wrongful detention under the Security Offences (Special Measures) Act 2012.

The defendants targeted were investigating officers Wan Aeidil Wan Abdullah, M Chelliah and Habibi Majinji; former inspector-general of police Khalid Abu Bakar; deputy public prosecutors Masri Mohd Daud and Awang Armadajaya Awang Mahmud; former attorney-general Mohamed Apandi Ali; and the government.

Khairuddin was detained under Section 124C of the Penal Code on Sept 18, 2015, and upon his release on Sept 23, was rearrested under Sosma and charged under Section 124L of the Act on Oct 12, for alleged sabotage of financial institutions.

However, on May 12, 2017, the Kuala Lumpur Sessions Court acquitted the former Batu Kawan Umno division leader of the criminal charge.

In allowing Khairuddin’s civil suit, Quay ruled that the various police reports lodged by Khairuddin do not warrant his arrest for investigation under Section 124C, which deals with the offence of involvement in activity that is detrimental to parliamentary democracy.

Quay ruled that Khairuddin’s later detention under Sosma for 56 days was also unlawful because an offence under Section 124L is not one that warrants detention under Sosma.

The judicial commissioner however did not allow the malicious prosecution portion of Khairuddin’s civil action, ruling that the plaintiff failed to prove the defendants had malice in the matter.

Then premier Najib also used to be finance minister, chairperson of 1MDB’s board of advisers and adviser emeritus of SRC.

SRC later became fully owned by the Minister of Finance Incorporated (MOF Inc). MOF Inc also fully owned 1MDB.

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