Table of Content
1. defendant's appeal on damages and defamation. (Para 1 , 2)
2. discussion on public interest in defamation. (Para 3 , 4)
3. court's assessment of fair comment and privilege. (Para 5 , 6)
4. judgments on the applicability of defenses. (Para 7 , 8 , 9)
5. final judgment on appeal outcome and conclusions. (Para 10 , 11)

[1] The appellant/1st defendant in a defamation action appeals against the decision of the learned High Court Judge for awarding a sum of RM150,000.00 as damages plus costs, etc. The respondents/plaintiffs also have cross-appealed on the decision of the learned judge.

[2] In the instant case the 1st plaintiff had made an application for loan for the purchase of eight units of offices, with the strength of money deposited in the account of the 2nd plaintiff, which money has nexus to Government funding. When the 1st defendant made the statement, he was not aware that the application for the loan was cancelled by the bank and/or did not proceed. This fact was also not brought to the notice of the 1st defendant until the plaintiffs commenced the action.

[3] The brief facts and the grounds of decision of the learned judge have been placed in a rudimentary manner before us and to save the Court's time, we repeat them and they read as follows:

Brief Facts and Grounds

"Brief facts:

1. The 1st plaintiff was the chairman and director of the 2nd plaintiff while the 1st defendant was a politician.

2. In a press conference held by the 1st defendant, he alleged that a portion of the proceeds of Government loan given to the 2nd plaintiff for the purposes of the national feedlot centre had been deposited with a bank. The deposit was then used as leverage for personal loans for the purchase of eight units of offices ("the statements").

3. The basis of these contentions was the bank records which the 1st defendant received anonymously, revealing:

- customer profiles of the plaintiffs, companies related to the plaintiffs and the directors of such companies; and

- the details of the eight office units recorded as collateral in the bank's collateral system ("the documents").

4. The 2nd defendant published an art on the allegations made by the 1st defendant and uploaded a video clip of the press conference on its website.

5. The plaintiffs thus commenced an action for defamation against:

- the 1st defendant on the grounds that the statements were defamatory of the plaintiffs; and

- the 2nd defendant for the publication of the video clip recording of the press conference.

6. In claiming for damages, the plaintiffs contended that following the publication of the statements, the business of the 2nd plaintiff deteriorated significantly.

7. The 1st defendant raised the defences of fair comment and qualified privilege while the 2nd defendant raised the defence of reportage.

8. The High Court allowed the plaintiffs' claim against the 1st defendant; and dismissed the plaintiffs' claim against the 2nd defendant.

9. Thus, the plaintiffs vide Appeal 2248, appealed against the decision of learned High Court Judge in dismissing its claim against the 2nd defendant (However, this Appeal was withdrawn by the plaintiffs).

10. While Appeal 2249 is the Appeal by the 1st defendant against the decision of learned High Court Judge in dismissing the 1st defendant's defence on fair comment, in not allowing the 1st defendant to prove on the misappropriation of public funds by the plaintiffs, and in dismissing the 1st defendant's defence on qualified privileged.

11. FINDING OF LEARNED HIGH Court JUDGE

Issue (i) whether the statements made by the 1st defendant were defamatory of the Plaintiffs.

1. The statements were defamatory of the plaintiffs as they had the effect of lowering the estimation of the plaintiffs in the eyes of the public.

2. A reasonable reader reading the statements would conclude that public funds were put at risk by the conduct of the plaintiffs, used as a guarantee or leverage to obtain personal loans, and expanded to purchase real estate in the priv

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