Head of cycling body ordered to pay Sime Darby Foundation

Head of cycling body ordered to pay Sime Darby Foundation

Foundation succeeds in reclaiming RM288,275.56 in sponsorship money that Malaysian National Cycling Federation could not justify spending.

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KUALA LUMPUR:
The Sessions Court here today ordered Malaysian National Cycling Federation (MNCF) President Abu Samah Abd Wahab and his former deputy, Naim Mohamad, to pay RM288,275.56 to Sime Darby Foundation for breach of a sponsorship agreement for a cycling team.

Judge Siti Noraida Sulaiman made the order after allowing the lawsuit by the foundation.

Sime Darby Foundation was represented by lawyers Alvin Muhamed, assisted by lawyer Sofia Qaisara Chan Abdullah, while Abu Samah and Naim were represented by lawyer Sugandra Rao.

The foundation filed the suit last Jan 21 claiming that the two defendants had breached the sponsorship agreement.

In the statement of claim, the foundation stated that in a sponsorship agreement, dated April 19, 2010, it had agreed to provide financial allocation to Abu Samah and Naim to sponsor a seven-member cycling team.

It claimed that among the terms and conditions of the agreement were that the defendants should provide the cyclists with suitable support staff, sports equipment and services needed for them to participate in cycling races within the stipulated period and to preserve the foundation’s reputation, image and good name.

The foundation claimed that it agreed to pay sponsorship of RM2 million, of which RM1,961,571.07 had been paid to Abu Samah and Naim.

It claimed that the agreement expired on March 2012 and during the process to close the account, the defendants could only justify proper spending of RM1,673,295.51 out of the RM1,961,571.07 paid in sponsorship.

As such, the foundation filed the lawsuit to reclaim RM288,275.56, interests, cost and other relief deemed fit by the court.

 

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