Cross-examination of Wahju Hanafi ended with clarification of Serina Wee's role in the Crossover budgets and projections.
This morning in court, counsel for Kong Hee, Edwin Tong, continued his cross-examination of Wahju Hanafi.
Through excel spreadsheets showing the cashflow of the Crossover Project, Tong showed that there were projected album sales of 1.5 million copies in 2008 based on contemporaneous documents. The projected proceeds were about USD$16.17m. This was consistent with Hanafi's earlier evidence that with the enhanced budget and more famous producers brought on board, multi-million dollar sales were expected. Based on the discussions between the producers and Kong Hee, it appeared realistic to sell 1.5 million copies of the album, and this was considered an ultra conservative projection.
Tong also established that while Kong was involved in the planning and projections of the Crossover project, he was not involved its financing. This was essentially the role of Xtron.
Tong continued his cross examination with a bundle of emails showing how active scrutiny was exercised over Justin Herz’s budget projection of the Crossover. Serina Wee had analyzed the budgets and pointed out some errors, all to make sure that profits returned would be maximized, and also to ensure the bonds redemption could be achieved and CHC paid back. Wee also endeavored to ensure that Xtron could recover its investments or at least break even before any consideration of profit sharing would take place. The Crossover Project was intended to and realistically projected to be successful, and the expenses would be substantially recouped, if not entirely.
Defense underscored the point that Tan Ye Peng and Wee, together with the Xtron directors worked on worst-case scenarios when it came to projections of the Crossover.
In 2008, when the Firna bonds were being considered, Kong had specifically requested for the auditors and lawyers of the church to go through and approve the processes to ensure they were achievable and legitimate.
Senior counsel for Wee, Andre Maniam established that Wee’s role in the Crossover Project was more that of budgeting than financing. Hanafi agreed that, like Sharon Tan, whom he gave evidence about yesterday, Wee was taking on an administrative role and not one of decision-making.
Deputy public prosecutor Tan Kiat Pheng resumed his re-examination in the afternoon.