KUALA LUMPUR, Dec 8 — National Feedlot Corporation Sdn Bhd (NFCorp) chairman Datuk Seri Dr Mohamad Salleh Ismail today told the High Court here that the Public Bank Berhad had just remained silent when he was defamed by PKR secretary-general Mohd Rafizi Ramli although it was aware the allegations were untrue.

He said no loan was ever taken from the Public Bank for the KL Eco City properties, contrary to claims by Rafizi that eight loans were taken to finance the purchase of eight office properties at KL Eco City leveraged on a government loan deposit placed at Public Bank.

He said Rafizi had also claimed that he (Mohamad Salleh) was not financially sound to have qualified for eight loans and therefore, suggested leveraging on the government loan deposit.

“Rafizi had claimed that I had great difficulty in servicing the loan for a year from March 2011, (that) I would likely default on the loans and put the government loan deposit in jeopardy. “I would like to state that there was never any loan taken from with the Public Bank for the KL Eco City properties. Rafizi had used the defendant’s (Public Bank’s) documents to ‘fitnah’ (defame) me, my family and my business.

“Public Bank did not come out with a statement to clarify that no loans had been taken from them for the eight KL Eco City properties. Nor did they clarify to say that no loans were in jeopardy. This has been their continued silence on this false fabrication by the opposition to this day,” he said during exammination-in-chief by lawyer Tan Sri Muhammad Shafee Abdullah.

Mohamad Salleh was testifying before Judge John Louis Ohara on his application and its related companies, against Public Bank. On May 22, 2012, Mohamad Salleh, NFCorp, National Meat & Livestock Corporation Sdn Bhd, Agroscience Industries Sdn Bhd and Real Food Company Sdn Bhd had filed a lawsuit against the bank stating that their business reputation and credibility had suffered irreparable loss and damage as a result of the bank’s security breach of the Banking and Financial Institutions Act 1989 (Bafia).

He is claiming RM60 million for general damages, RM250 million as examplary damages and RM250 million aggravated damages. In a witness statement tendered in court, Mohamad Salleh said that as a result of the leak, his beef production business was disrupted and the planned programme of business development had also been disrupted and collapsed.

“Our government loan facilities for business operations were seized by the authorities under the Anti-Money Laundering Act (AMLA) 2001. My investments and businesses in Singapore were also disrupted and collapsed when other banking facilities were withdrawn. Without banking facilities, our food and beverage operations, as well as our tenancies had to be ended.

“In respect to my family, public outrage from this exposure had also resulted in my wife, Datuk Seri Shahrizat Abdul Jalil being labeled as ‘Menteri Lembu’. My wife also subsequently lost her job as a minister on March 10, 2012,” he said. Mohamad Salleh added that all the plaintiffs had been injured, neglected and left to suffer through the defendant’s lack of security, protection, inaction, mitigation and resolve. In the proceeding, he also told the court that he was surprised that five of the commercial bank’s (Public Bank) staff had access to his confidential bank account, including Johari Mohamad, the clerk at Public Bank. Mohamad Salleh said he had made this discovery after investigations by the director of IT at Public Bank revealed that three officers from the Public Bank Card Services and Support Division (Labuan Branch) and Deposit and Channel Management at its headquarters, had pried into his accounts.

“Another one was from the headquarters that the bank’s mainframe system was unable to identify. These branches, departments and divisions had no connection to the plaintiffs who maintained their bank accounts at the Jalan Hang Lekiu branch. “The leak and publication had angered the general public and alarmed the authorities. Five days later, I was charged and a further two days later, the authorities under AMLA seized my companies’ assets that were placed with Public Bank. “The impact from the leak, news conference, news publication, charges and asset seizures, were also reported in more than 110 media publications,” he said.

The hearing continues on March 13 next year.