The prosecution today applied to the Sessions Court here for former Batu Kawan UMNO division vice-chief Datuk Seri Khairuddin Abu Hassan and lawyer Matthias Chang Wen Chieh to be acquitted and discharged of allegedly attempting to sabotage the country''s banking and financial services.

Deputy public prosecutor Awang Armadajaya Awang Mahmud, who prosecuted , informed judge Mohd Norisham Wan Yaakob that the prosecution, after studying the charge made against them found that it was only fair and just to drop the case at this stage.

"The prosecution will not proceed with the hearing and has received instruction to discharge not amounting to an acquittal (Khairuddin and Chang), " he said.

Lawyers Mohamed Haniff Khatri Abdulla and Zainur Zakaria, representing Khairuddin and Chang, respectively, in their submission said an appropriate and just order for their clients was to free them.

Mohamed Haniff Khatri said by giving his client a discharge not amounting to an acquittal, it would enable the prosecution to reinstate the charge against Khairuddin and Chang at any time.

"In this case, if there is a hearing (the defence), will produce facts and evidence that the motive of the charge was deception by those higher up and this cannot be done with the retraction of the case," he said.

The case had been fixed for hearing today and tomorrow.

The court will decide tomorrow on the request by the prosecution.

Khairuddin and Chang were jointly charged with attempting to sabotage Malaysia's banking and financial services at five locations between June 28 and Aug 26, last year. Both face a jail term of up to 15 years, if convicted.

The locations are the office of the France Economic and Financial Crimes Division chief in Paris; Charing Cross police station, London, United Kingdom; office of the Switzerland Attorney-General in Bern; Wai Chan police station, Hongkong; and Cantonment police headquarters, Singapore.

The High Court had on Nov 18, last year, granted the two men bail after ruling that the charge they faced was not a security offence and it did not fall under the Security Offences (Special measures) Act (SOSMA) and thus ordered the case to be tried at the Sessions Court.

-- BERNAMA