KUALA LUMPUR: Credit Tip Off Sdn Bhd (CTOS) had broken the Companies Commission of Malaysia's (SSM) laws relating to naming of companies, the High Court was told.

Zarina Jaafar, former CEO of Associate & General (M) Sdn Bhd, which did a study on CTOS, said her study found that in the Memorandum of Association (MOA) of CTOS, there were words "to carry on the business of a credit rating agency or bureau" when in fact this could only be done by a statutory body or government-owned company.

She said the prohibition was learnt in 2007 through a counter officer at SSM's Registrar of Companies office and that this was clearly stated in the line (in the form) for naming of a company.

Zarina, the defence's fifth witness, said this during cross-examination by laywer Ashok Kandiah in the hearing of a defamation suit filed by CTOS against former Deputy Minister in the Prime Minister's Department Datuk Seri M. Kayveas.

In September 2007, CTOS together with CTOS Data Systems Sdn Bhd, CTOS-EMR Sdn Bhd and CTOS Business Systems Sdn Bhd had filed the suit against Kayveas for alleged defamatory statements made by him about the companies which were reported in local newspapers between June 25 2007 and July 15 2007.

CTOS is seeking general, aggravated and exemplary damages, costs and other relief deemed fit by the court.

The defendant, in his affidavit-in-reply filed by Senior Federal Counsel Datuk Kamaludin Md Said, had said the statements were fair comment done in his capacity as Deputy Minister in the Prime Minister's Department then and that he was doing it in the public interest.

Zarina, now the marketing communications manager of Hotel Seri Pacific Kuala Lumpur, also told the court that the study on CTOS was at the request of Kayveas who appointed and paid her for the job.

Asked by Ashok whether she agreed that there was no indepth study on the bureau issue asides the guidelines, Zarina said: "Yes, agree." Earlier, Zarina had also told the court that in conducting the study, she had visited CTOS' office several times and met officers of the company before filing her report to Kayveas.

The hearing before Judge Rosilah Yop Isnin continues on Feb 23. BERNAMA

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