JUDGMENT

Wan Suleiman FJ (reading the judgment of the Court):

Introduction

The first appellant was Menteri Besar of the State of Selangor, President of UMNO Youth, a Vice-President of UMNO, the leading political party in this country, Chairman of the Selangor Alliance during 1964-1967 and thereafter Chairman of the Selangor National Front. On 31 March 1975, he chaired a meeting of the Executive Council of UMNO Youth which was also attended by Mike Ong and Bosco, show business people, who tried to sell them the idea of staging the Muhammad Ali-Joe Bugner fight in Kuala Lumpur. Projection papers were produced showing that while the fight might cost $10-12m to promote, it might bring in a profit of $4-5m; The idea looked good - at least on paper - and all members of the Executive Committee were attracted by the idea, as they had plans to build a sports complex for UMNO Youth costing about $1/2m, So it was decided in principle to promote the fight.

Ali wanted over US$2m tax free, and Joe Bugner US$1/2m also tax free - both amounts to be paid in advance to a stakeholder. In additional there were preliminary fees to be paid.

UMNO Youth did not have any money.

How were they to raise t