KUALA LUMPUR (Feb 19): FZ Sdn Bhd and its managing editor Terence Fernandez have been ordered to pay a total of RM320,000 in damages and costs to Penang Chief Minister Lim Guan Eng and business magnate Tan Sri Tan Kok Ping for defamation.
The High Court found an article entitled “MACC begins probe on Merc purchase” written by Fernandez, published on Jan 3, 2014 by the now-defunct fz.com, to be defamatory.
Judicial Commissioner Abdul Wahab Mohamed ordered FZ and Fernandez to pay RM150,000 to Lim and RM100,000 to Tan in general damages, and RM35,000 each for legal costs, Malaysiakini reported.
The article had stated that MACC was allegedly trying to establish a link between the Penang government’s purchase of a silver Mercedes-Benz S300L from Lowe Motors Sdn Bhd, and Tan, who was then believed to have a stake in the company.
However, on the same day, the MACC had denied issuing a statement that it had started probing the purchase of the vehicle for Lim.
It was previously reported that the government bought the Mercedes-Benz, to be turned into Lim’s official car towards the end of 2013, at a discounted rate of RM298,263.75 when the original price was RM657,218.
Alleged connections were also drawn between Tan’s relationship with Lim in the illegal hilltop clearing of Bukit Relau by Tan’s company, General Accomplishment Sdn Bhd, that was later fined by the local government.
The judge said Fernandez had failed to show that he made effort to verify information he had received and contact the plaintiffs for comments, Free Malaysia Today reported.
During the trial, Lim denied being probed by the MACC, and said that the article painted him as "corrupt, dishonest, untrustworthy and not fit to be a leader".
The chief minister also refuted the alleged "privileged relationship" with Tan, then the head of the Penang Chinese Chamber of Commerce.
Lim was represented by counsel Datuk N Mureli while lawyer Christina Siew and CK Goh appeared for Tan.
Fernandez and FZ were represented by counsel Raja Eileen Soraya Rajan Aman and Amanda Loh.
Fernandez said he would consult his lawyers regarding an appeal against the court’s decision.