The late Canto-pop diva Anita Mui drew up a will to pass her wealth to her beneficiaries through a trust, the High Court heard yesterday.

The legal battle that Mui's mother Tam Mei-kam (84) instigated against the Karen Trust in a bid to take possession of her daughter's fortune continued on Friday, with Doris Lau, a former private trustee director from HKBC International Trustee Ltd testifying for the first time.

Lau said the company helped Mui prepare the trust in December 2003.

Given that Mui's wealth was controlled through her private companies, a trust was the simplest way to group all her wealth under one roof and to abstain from estate duty in Hong Kong.

Lau said she met Mui at her home on October 31, 2003 to discuss the matter.

Through the meeting, Lau came to know that Mui wanted to give two properties (one in Hong Kong and one in the UK) to good friend Eddie Lau.

Mui also wanted to give something to a Buddhist nun, a respectable person who dragged her out of spiritual desperation. It was decided the nun/New Horizon Buddhist Association would receive the residuary assets after Mui's wealth was apportioned to the other beneficiaries.

Mui hoped her nephews and nieces would have the chance to receive tertiary education and therefore proposed to provide an education expense of up to HK$100,000 per person per year for them to complete university education.

According to Lau, Mui disclosed that she and her mother did not have a good relation. But Mui felt it was her duty to support her living. A monthly amount of HK$70,000 was set for Tam.

"She is not good at keeping money. My wish is not to pass anything to the Mui's family (except my mother and nephews/nieces)," Lau quoted Mui as saying on that day.

After discussion, the will was signed on December 3, 2003.

Lau also told the court that Mui suggested to have her doctor present at the signing of the will to prove she had a clear mind and knew what she was going to sign.

The hearing will continue.

(HK Edition 04/19/2008 page1)