[2] This Court heard the appeal on 4 October 11 and reserved its decision. We now give our judgment.

[3] The statements of agreed facts and the evidence given in the trial reveal the following brief facts. The defendant was a director of a company known as Technoeletrik Industries Sdn Bhd of 24, 1st Floor, Jalan 71C, Taman Tun Dr Ismail, 60000 Kuala Lumpur ["the borrower"]. At the request and on the application of the borrower, the plaintiff, vide the offer letter dated 5 March 1997 (referred to in the Statement of Claim as the first letter of offer), offered to the borrower the following banking facilities:

(a) Letter of Credit;

(b) Trust Receipt;

(c) Bank Guarantee;

(d) Shopping Guarantee; and

(e) Foreign Exchange Contract.

[4] Pursuant to the letter of offer dated 5 March 1997, on 19 March 1997 the borrower executed a "General Agreement by customers" ["the customer's agreement"].

[5] In consideration of the plaintiff granting or continuing to grant the banking facilities to the borrower, the defendant and three other persons execu