PEMIUTANG PENGHAKIMAN 1. ) Saling Bin Lau Bee Chiang 2. ) KAMIL BIN JANTAN 3. ) NORLIAH BINTI SALLEH 4. ) ANTOI BIN MABOT 5. ) MOHD NOR KAMISAN BIN WAHAB 6. ) TAN BIN JANTAN 7. ) SOOI TEE TOOTOI 8. ) SABTU BIN BATIN SALLEH 9. ) ISMAIL BIN J

PEMIUTANG PENGHAKIMAN 1. ) Saling Bin Lau Bee Chiang 2. ) KAMIL BIN JANTAN 3. ) NORLIAH BINTI SALLEH 4. ) ANTOI BIN MABOT 5. ) MOHD NOR KAMISAN BIN WAHAB 6. ) TAN BIN JANTAN 7. ) SOOI TEE TOOTOI 8. ) SABTU BIN BATIN SALLEH 9. ) ISMAIL BIN J

The deletion of three named petitioning creditors from a creditor's petition that was originally grounded on a collective act of bankruptcy by 26 creditors materially changed the character of the petition; following the Federal Court in Ambank v Lim Sue Beng this recharacterisation is fatal and invalidates the creditor's petition and any Bankruptcy Order made pursuant to it. Accordingly the appeal to set aside the petition succeeds and the consequent appeals setting aside the Bankruptcy Order are allowed.

Citation
WA-29NCC-306-03/2022 (Mahkamah Tinggi)
Parties
Judgment Debtor: Dinesh Kanavaji a/l Kanawagi; Judgment Creditors: Saling bin Lau Bee Chiang & 25 ORS; Judgment Creditor: Rabia bt Abdul Halim (JC18)
Court
High Court
Jurisdiction
Malaysia
Judgment Date
5 March 2026
Case Number
WA-29NCC-306-03/2022 (Mahkamah Tinggi)
Procedural Posture
Bankruptcy / Judge in Chambers Appeal Against Registrar's Refusal to Set Aside Creditor's Petition; Notices of Appeal to Court of Appeal Recorded
Outcome
Appeal in Encl 176 allowed; Creditor's Petition invalidated; Bankruptcy Order invalidated; Appeals in Encl 216 and Encl 241 allowed; costs awarded.
Legal Topics
Creditor's Petition, Bankruptcy Notice, Act of Bankruptcy, Amendment of Petition, Costs
Source Language
Malay/English
Bankruptcy Insolvency Civil Procedure Creditor's Petition Bankruptcy Notice Act of Bankruptcy Amendment of Petition Costs

Case Brief

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Parties

Dinesh Kanavaji a/l Kanawagi

Judgment Debtor

Saling bin Lau Bee Chiang & 25 ORS

Judgment Creditors

Rabia bt Abdul Halim (JC18)

Judgment Creditor

Procedural Posture

Bankruptcy / Judge in Chambers Appeal Against Registrar's Refusal to Set Aside Creditor's Petition; Notices of Appeal to Court of Appeal Recorded

Legal Issues

  1. 1 Whether deletion of named petitioning creditors from a multi-creditor creditor's petition without court order changes the character of the petition and invalidates it
  2. 2 Whether a Bankruptcy Order founded on an invalid creditor's petition is void
  3. 3 Whether a co-petitioner can be withdrawn or deleted without following statutory procedure or court order

Ratio Decidendi

The deletion of three named petitioning creditors from a creditor's petition that was originally grounded on a collective act of bankruptcy by 26 creditors materially changed the character of the petition; following the Federal Court in Ambank v Lim Sue Beng this recharacterisation is fatal and invalidates the creditor's petition and any Bankruptcy Order made pursuant to it. Accordingly the appeal to set aside the petition succeeds and the consequent appeals setting aside the Bankruptcy Order are allowed.

Court Disposition

Appeal in Encl 176 allowed; Creditor's Petition invalidated; Bankruptcy Order invalidated; Appeals in Encl 216 and Encl 241 allowed; costs awarded.

Orders

  • Allow Encl 176 (appeal against Registrar's refusal to set aside Creditor's Petition)
  • Creditor's Petition (Encl 151) declared invalid