CHC trial: Ex-Xtron chief gave up to S$1.5m a year to support Sun Ho (Today, 31 August 2013)

SINGAPORE — He had caught a concert by Ms Ho Yeow Sun here in 2001 or 2002, and was touched by its power to evangelise.

Indonesian businessman Wahju Hanafi then told City Harvest Church co-founder and Ms Ho’s husband Kong Hee that he wanted to sponsor the “singing mission”, also known as the Crossover Project. The company Xtron Productions was set up “for Sun Ho” in 2003, said Mr Wahju, 53, who testified in court yesterday as the prosecution’s seventh witness.

There was palpable excitement in the courtroom as Papua New Guinea-based Mr Wahju — a former Xtron Director and major supporter of the church’s Crossover Project — took the stand just after 3pm.

When the trial continues next week, the prosecution is expected to examine his role and knowledge of Xtron’s alleged sham bond transactions orchestrated by five church leaders and a former leader.
The six in the dock — Kong, Tan Ye Peng, Chew Eng Han (who has left the church), Serina Wee Gek Yin, John Lam Leng Hung and Sharon Tan Shao Yuen — are accused of misappropriating S$24 million of church funds into sham bonds issued by Xtron and Mr Wahju’s Indonesian company, PT The First National Glassware (Firna). They are also accused of misappropriating another S$26.6 million to cover up the first amount.

Mr Wahju began attending City Harvest Church in 1990 when he moved his family to Singapore. It was in 1998 that he became closer to Kong. He also began applying “simple principles” of hard work and integrity to work and paid up US$1.5 million (S$1.9 million) in taxes he had evaded in Papua New Guinea. That same year, his business reaped US$10 million in profits, and he made his first S$1 million donation to the church. Kong invited him for dinner to thank him.

When Xtron was set up in 2003 by Chew, Lam and Chew’s wife, Mr Wahju was invited to “come in” as a sponsor.

Mr Wahju gave S$1 million to S$1.5 million yearly to the Crossover but, in 2007, the funds needed for Ms Ho’s career started to go “beyond (his) limit”. That year, he had taken on a US$50 million debt and taken over Firna from his father-in-law. He asked to step down as Xtron Director; the company had to seek other sources of funding and issued S$13 million of bonds to the church.
Mr Wahju said that, among the six accused, he was closest to Kong, followed by Tan Ye Peng, Chew and Lam. He co-owns a Sentosa penthouse with Kong, each making about S$17,000 in monthly payments for it.

He told the court that he worked with Lam mainly when Firna issued bonds to the church — under the subscription agreement, the church trustees could convert the bonds into 40 per cent of Firna’s issued shares and sell the shares back to Firna for US$1.

A letter dated Oct 7, 2008, stating these details to Mr Wahju and his father-in-law, was signed by Lam. The church transferred S$11 million to Firna under the agreement in 2008 and 2009.