Margaret Perry, 61, told the court on Friday she saw two men setting a van alight outside her home in Cheam, Surrey.

They were throwing something into the van. There were flames coming from it

Margaret Perry Witness

Mr van Hoogstraten, Mr Croke and Mr Knapp all deny murder.

Ms Perry said she heard the sound of an explosion from the road on 2 July 1999 and looked out of the window to see a white van parked in her driveway.

She said: "I saw two men setting fire to it. One of the men was by the driver's door and the other was at the rear where both doors were open.

"They were throwing something into the van. There were flames coming from it."

She told the court she could not see what they were using to light the fire and shouted at them to ask what was going on.

'Ran away'

"They turned and looked up at me and threw what they had in their hands into the van, ran away and disappeared," she said.

She then called the police, she said.

The prosecution claimed the two men Ms Perry saw were Mr Croke and Mr Knapp and claimed they had driven to her street to destroy any evidence by setting fire to their van.

On Thursday, the court heard the prosecution claim Mr van Hoogstraten wanted Mr Raja killed because the Sutton businessman had initiated court proceedings, alleging fraud.

Mr Raja, 62, had been borrowing money from Mr van Hoogstraten but was unhappy over the repayments, the court heard.

Mr van Hoogstraten, 57, of Framfield, Uckfield, East Sussex, also denies conspiring with Mr Croke, 59, of Bolney Road, East Moulsecoomb, Brighton, and Mr Knapp, 55, of Convent Street, Abbeyfeale, Co Limerick, and others to murder Mr Raja between 1 January and 3 July 1999.

The case continues.