By Karen Wong

IT was, as he recalled, the second or third day of the Chinese New Year two years ago.

Former 'remisier king' turned private investor Peter Lim was at home when a woman came knocking.

She served him a writ from the lawyers of Raffles Town Club, signalling the start of a lawsuit to claim back millions of dollars allegedly belonging to the club.

She may not have been a welcomed visitor, but the multi-millionaire paid heed to Chinese tradition.

'I gave the girl a hongbao,' Mr Lim said to the chuckles of spectators in the full gallery.

It was this writ that sparked his present defamation suit against the two present owners of Raffles Town Club, Mr Lin Jian Wei and Ms Margaret Tung, the High Court heard yesterday from Mr Lim, who was on the stand.

He and the club's former directors, Mr Lawrence Ang, Mr William Tan and Mr Dennis Foo, were served writs by the club around February 2006.

The club is seeking to claim a total of more than $130 million from them.

Raffles Town Club is alleging that they had breached their duty, misapplied its property and conspired in relation to the launch of the club when they were still shareholders and directors of it.

And as such, it said, they should bear some responsibility for the class-action suit brought by its founder members.

The lawsuit will be heard by the High Court next month.

It brings the club's saga, which began in 2001, full circle. (See timeline below.)

As a result of being served the writ by the club, Mr Lim said he went looking for the documents relating to the members' class-action lawsuit.

'DEFAMATORY' STATEMENT

And that was when, he said, he came across an 'explanatory statement' by club owners, Mr Lin and Ms Tung, to the club's members, which he is now alleging is defamatory of him.

It is the heart of this present suit before Justice Chan Seng Onn, which started on Monday.

Senior Counsel Alvin Yeo, representing Mr Lim, had said in his opening statement to the court: '(Mr Lin and Ms Tung) chose to present the information in the explanatory statement in a certain manner and sequence so as to give the overall impression and portray the image that they were not to be blamed for RTC's financial difficulties in2005.'

The club's inability to settle the members' claims (following their victory in the class-action suit) were 'shifted to and pinned on the former directors/shareholders of RTC, of which Mr Lim is alleged to be one'.

As such, Senior Counsel Yeo said, it was defamatory.

Mr Lim's case is that the club's finances were very healthy, with about $200 million in its coffers, as at April 2001, around the time that Mr Lim exited the club.

Mr Lin and Ms Tung's defence is that the words in the statement were not defamatory and that Mr Lim's allegations were 'baseless'.

It is their case that even if the words in the statement were found to be defamatory, they had the defences of absolute privilege, qualified privilege and justification.

PETER LIM 'AGGRIEVED'

Yesterday, during cross-examination, lawyer Ang Cheng Hock asked Mr Lim: 'So (when you went through the explanatory statement) were you outraged?

Mr Lim: 'Outrage is a strong word.

Justice Chan: 'So what were you feeling?'

Mr Lim: 'Not fair. In layman's terms, I thought, 'How can like that'?' Aggrieved.

Justice Chan: 'So not hopping mad, like a road rage bully, like that?'

Mr Lim: 'No.'

Justice Chan: 'So just that it's not fair?'

Mr Lim: 'In a way, a bit sad. I thought already settled out-of-court, so then how come it's written this way to put the blame on me? I felt that I was always the target.'

Justice Chan to Mr Ang: 'That's his feelings. He described it pretty well.'

What else was going through Mr Lim's mind?

That the club was trying to 'fix him', he said.

He said of the club owners' words: 'How can you fix me. I have nothing to do with this company ending up this way. Not fair lah. Don't try and write this and fix me.'

The story so far

Chapter 1

SEP 2000

Mr Peter Lim sues then-shareholders, Mr Lawrence Ang, Mr William Tan and Mr Dennis Foo, for not keeping to an agreement to give him 40 per cent of the shares in Raffles Town Club, in return for his help to build it.

APR 2001

Lawsuit settled out of court. Mr Lin Jian Wei and Ms Margaret Tung - the club's current owners - buy out Mr Ang and Mr Tan's shares.

Chapter 2

Nov 2001

4,895 club members launch a class-action suit against the club for misrepresentation and breach of contract. High Court later throws out case.

AUG 2003

Court of Appeal partly reverses decision, rules that club had breached contract to provide a premier club. Members try to seek about $16,000 for drop in value of the club's membership.

FEB 2005

High Court awards them $1,000 each for loss of use and enjoyment of the facilities. Court of Appeal later raises sum to $3,000.

NOV 2005

Club has problems paying. Owners publish 'explanatory statement' to members which, Mr Lim alleges, defames him.

DEC 2005

Members vote for half of amount to be paid in food and beverage vouchers, other half in cash.

Chapter 3

FEB 2006

Club sues original shareholders and directors, as well as Mr Peter Lim, for some $130 million it alleges was 'misapplied'.

AUG 2007

Mr Lim sues club present owners for defamation.

This article was first published in The New Paper on Aug 14, 2008.