KUALA LUMPUR, Jan 7 — Opposition Leader Datuk Seri Anwar Ibrahim today settled his slander lawsuit against Dr Chandra Muzaffar after the academician agreed to retract his words alleging the former of inciting racial unrest in Penang from six years ago.

The head of Yayasan 1 Malaysia agreed to recant his remark that suggested Anwar incited racial enmity, which was reported by English language daily The Star in an article titled “Disaster if Anwar is PM” published on March 8, 2008.

N. Surendran, who represented Anwar in the matter, said the case was now considered closed with Chandra’s retraction.

“This means officially, the mischievous, long-standing false statements have been withdrawn,” he was quoted as saying by news portal FZ today.

Chandra later insisted, however, that he was only retracting the remark and had not apologised.

The offending remark had stemmed from a forum at Menara Star in Petaling Jaya in 2008, during which Chandra spoke of Anwar’s reported role in the racial clashes in Kampung Jawa, Penang.

He had then reportedly said Anwar vowed “he would make sure the temple bells would not ring in the country anymore”. 

Anwar subsequently sued the former Aliran president for RM10 million in damages, alleging that the latter disparaged him in both his private and official capacities, including as former deputy prime minister and former finance minister and alleged that the defamatory comments, among other things, meant that he promoted and incited racial hatred among the races in Malaysia.

The case was heard before High Court judge Datuk Nik Hasmat Nik Mohamad, who issued the “consent judgement” today and did not make an order as to costs or damages.