‘I did not know I was signing for a loan’

KUALA LUMPUR: The daughter of a retired air force chief signed a bundle of documents in 1997 without realising that these were for a RM100mil loan application, a High Court heard. 

Lynette Mohamed said she signed the documents under the impression that her father Lt Jen (R) Tan Sri Mohamed Ngah Said had wanted her to do so and after being pestered by a lawyer working for businessman Datuk Soh Chee Wen. 

Lynette: Testified that she was unaware that documents were for RM100mil loan application.

Lynette, a housewife, added that a despatch rider brought the documents to her. 

“Immediately after the despatch rider arrived, I received several phone calls from Jennifer Tay Siew Kiem informing me that I should sign the documents immediately,” she said, adding that she then tried contacting her father but failed. 

“I was annoyed but Tay gave me the distinct impression that my father wanted me to sign them.” 

She said she then signed the papers. 

Lynette, 39, was testifying in a suit launched by RHB Equities, RHB Securities Sdn Bhd and RHB Capital Bhd against prominent businessman and banker Tan Sri Rashid Hussain and five of his former bank associates for breach of duty and negligence when granting loans to five people in 1997. 

The plaintiffs are seeking to recover the RM500mil plus interest. 

The court was told that RM100mil loans had been granted to Tay, Bhadarul Baharain Sulaiman, Heng Fook Seng, Lynette and Kon Shyun for the purpose of financing the purchase of Omega Holdings Bhd shares. 

The court was also told that it was “common knowledge” that Tay – a solicitor for three companies of which Soh was managing director – had later fled the country. 

Yesterday, Lynette testified that her father was a director of Kelanamas Industries Bhd, one of the companies in which Soh was the managing director. 

She admitted that her signature appeared on an application form for the RM100mil margin financing facility, a letter to Rashid Hussain Securities authorising it to open a central depository system sub-account on her behalf, and a letter authorising Tay to make drawings of the margin financing facility when shown the documents by the plaintiffs’ counsel Datuk Loh Siew Cheang. 

She, however, said the handwriting on the documents was not hers. 

She said she received a letter on Jan 23, 1998, informing her that a RM2 company called Coronation Mark Industry Sdn Bhd was the beneficial owner of 13,162,000 Omega Holdings shares naming her as the nominee who acquired them. 

“I recall receiving a letter of demand dated March 17, 1999. I handed this letter to my father and I heard nothing about it after that,” she said. 

“I have not met any of the defendants. At all material times, none of the defendants or any other officers from RHB Equities or the RHB group had ever contacted me.”  

The hearing continues on June 23.