PUTRAJAYA (March 11): Businessman Tan Sri Tajudin Ramli and his brother, failed in their appeals at the Court of Appeal here today, to strike out two civil suits which were filed against them, by Celcom (Malaysia) Berhad.

The court also dismissed appeals brought by five former directors of Celcom — Joerg Andreas Boy, Dieter Sieber, Oliver Tim Axmann, Dr Frank-Reinhard and Axel Hass — to set aside the statement of claim and the service of the notice of writ, served on them by Celcom.

A three-member panel, chaired by Federal Court judge, Datuk Seri Abu Samah Nordin, held that the civil suits should go back to the High Court for full trial, as there were triable issues to be determined by the court.

However, the panel, which also comprises Court of Appeal judges, Datuk Azahar Mohamed and Datuk Aziah Ali, granted them an order to stay the Court of Appeal's decision, pending disposal of their application for leave to appeal to the Federal Court.

Abu Samah also directed the appellants to file their application for leave to appeal, to the Federal Court, within 30 days from today.

Celcom and its wholly-owned subsidiary, Technology Resources Industries (TRI) Berhad, had filed two civil suits at the High Court against Tajudin and his brother, Bistamam, and five former directors of Celcom — Joerg Andreas Boy, Dieter Sieber, Oliver Tim Axmann, Dr Frank-Reinhard and Axel Hass.

The court today, also ordered the brothers to pay RM20,000 in legal costs to Celcom and (TRI), and the five former Celcom directors to pay RM50,000 in legal costs to Celcom and TRI.

Celcom sued them to recover US$177,243,609, which it (Celcom) had to pay DeteAsia Holdings GmbH — a unit of Deutsche Telekom, following an arbitration award that DeTeAsia obtained against Celcom, in the International Court of Arbitration of the International Chamber of Commerce, on Aug 2, 2005, in a breach of contract case.

Celcom sought the appellants to indemnify the company (Celcom) all the sums that it had paid to DeTeAsia, following the arbitration award.

In 2003, Telekom Malaysia Bhd offered RM2.75 per Celcom share, when it offered to buy the rest of the mobile operator. Deutsche Telekom then sold its shares at that price, but it had filed for arbitration, claiming another RM4.25 a share in damages.

The German firm claimed that it was promised RM7 a share, under an agreement with the previous Celcom board led by Tajudin.

Tajudin and Bistamam appealed against the High Court's decision, which had dismissed their applications to strike out the civil suits.

Meanwhile, the five directors who are German nationals, were also unsuccessful in their bid at the High Court, to set aside the service of the notice of writ.

The five former Celcom directors had sought to set aside the statement of claim and the service of the notice of writ, as they claimed that the High Court had no jurisdiction to entertain the claim, because the matter had been tried in an arbitration.

Lawyers Lim Kian Leong and Low Chi Cheng, represented Tajudin and Bistamam, while lawyers Lim Tuck Sun and Tan Hui Xian represented the five former Celcom directors.

Meanwhile, lawyers Nad Segaram and Tay Por Hai, represented Celcom and TRI.