CHC Trial

Jean-Jacque Lavigne testified that the church members were supportive of the Crossover Project and the bond transactions.

It would have been a privilege for her to complete the Crossover Project by launching the US album, Sun Ho told the court today.

On her final day on the stand, the accountant maintained that the bonds, advance rental license agreement and Special Opportunity Fund were not sham.

Serina Wee refuted the prosecution’s stand that the ARLA was sham because it was “never intended” to be advance rental but a way to provide funds for the redemption of Xtron bonds. She explained that the redemption of the bonds was an interim use of ARLA.

Impairment of the Xtron bonds was already in the previous year’s audit report, Serina Wee points out to the court today, refuting the prosecution’s suggestion that the accused were trying to avoid scrutiny from the auditors.

The lawyers involved in the bond subscription agreement knew that the Firna bond proceeds would go to repaying Wahju Hanafi for his shareholder’s loan. This was not “fictitious” as accused by the prosecution, said Serina Wee in court today.

When the prosecution put to Serina Wee a “hypothetical” question that if the bonds were sham, the accused would have to meet its obligation under that sham disguise, she replied that it was precisely because there were real obligations to be met that the bonds were not sham.

08 May 2015 – Summary of CHC hearing.

Serina Wee told the court that cashflow projections from the US music producer had showed that album profits would allow Xtron to repay the bonds bought by CHC.