KUCHING: The Court of Appeal has upheld the High Court’s ruling in the long-running defamation suit brought by the Sarawak Government, while increasing the total damages awarded against Democratic Action Party (DAP) Sarawak’s Chairman, Chong Chieng Jen, to RM500,000.
The three-member panel of judges, comprising Datuk Mohamed Zaini Mazlan, Datuk Ismail Ibrahim and Muniandy Kannyappan, also enhanced the damages to RM300,000 and ordered Chong to pay RM150,000 in appeal costs for the Court of Appeal proceedings, in addition to RM50,000 in costs awarded at the High Court level.
In total, the court ordered Chong to pay RM500,000 to the state government in relation to the case commonly referred to as the ‘Black Hole’ defamation suit.
The case arose from statements made by Chong in 2013, in which he alleged that RM11 billion from the state treasury had “disappeared” into a “black hole”, implying alleged lack of transparency in the financial management of the Sarawak Government and the Sarawak Financial Authority.
Following the statement, the Sarawak Government and the Sarawak Financial Authority filed a defamation suit against Chong.
The trial began on January 7, 2021, and concluded on July 5, 2021.
On August 30, 2022, Judicial Commissioner Alexander Siew How Wai, now a High Court Judge, ruled in favour of the Sarawak Government and the Sarawak Financial Authority, awarding RM150,000 in damages and RM50,000 in legal costs.
The court also granted an injunction restraining Chong, whether personally or through his employees, agents or any other party, from publishing or causing the publication of similar or identical statements in the future.
Malaysian courts have previously held that government bodies have the standing to initiate defamation proceedings, and the Court of Appeal’s decision is seen as reinforcing that legal position.
Despite the ruling, Chong said he is considering a further appeal to the Federal Court, subject to advice from his legal counsel.
He also expressed appreciation to his legal team for their efforts throughout the proceedings.
The state government and the Sarawak Financial Authority were represented by State Attorney Mohammaf Adzrul Adzlan and Felicity Thomas.
Chong was represented by counsels, Michael Kong, Chong Siew Chiang, Chong Hong Hien, Sharon Lo and Brenda Chong.
