1. ) 1. CHONG SING LENG [NRIC NO: 580305-08-5345] 2. ) 2. MUN CHOOI PENG (P) [NRIC NO: 621118-10-7578] 1. ) 1. LIQUIDATOR ON BEHALF OF JUTA VILA (M) SDN BHD [Company No. 229400-W (under winding up)] 2. ) 2. LEE WAN LUNG [NRIC NO: 730920-07-

1. ) 1. CHONG SING LENG [NRIC NO: 580305-08-5345] 2. ) 2. MUN CHOOI PENG (P) [NRIC NO: 621118-10-7578] 1. ) 1. LIQUIDATOR ON BEHALF OF JUTA VILA (M) SDN BHD [Company No. 229400-W (under winding up)] 2. ) 2. LEE WAN LUNG [NRIC NO: 730920-07-

Even if Public Bank held an equitable interest by assignment, that interest was in substance a security/mortgage which Public Bank failed to enforce within the statutory and equitable period; repeated notices of the plaintiffs' claim from 2003 and long failure to act (including failure to disclose or value security in insolvency proceedings and inaction for some 17 years) meant Public Bank's claim was barred by limitation, laches and acquiescence; the DGI's conduct waived any service irregularity and retrospective sanction was appropriate, so the application to set aside the 2016 Order was dismissed.

Citation
AA-24NCVC-131-03/2016 (Mahkamah Tinggi)
Parties
Plaintiff: Chong Sing Leng; Plaintiff: Mun Chooi Peng; First Defendant (liquidator): Liquidator on behalf of Juta Vila (M) Sdn Bhd; Second Defendant (bankrupt): Lee Wan Lung; Third Defendant (applicant): Public Bank Berhad
Court
High Court
Jurisdiction
Malaysia
Judgment Date
26 July 2021
Case Number
AA-24NCVC-131-03/2016 (Mahkamah Tinggi)
Procedural Posture
Originating Summons / Judgment (high Court)
Outcome
Public Bank's application to set aside the Order dated 8.8.2016 (prayer iii) and its related directions (prayer iv) dismissed; Public Bank's earlier application to intervene had been allowed and it was added as Third Defendant.
Legal Topics
Assignment, Equitable Mortgage, Caveat, Laches, Acquiescence, Res Judicata, Functus Officio, Service of Process, Winding Up, Bankruptcy
Source Language
Malay/English
Insolvency Banking and Finance Property Law Civil Procedure Limitation Assignment Equitable Mortgage Caveat +7 more

Case Brief

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Parties

Chong Sing Leng

Plaintiff

Mun Chooi Peng

Plaintiff

Liquidator on behalf of Juta Vila (M) Sdn Bhd

First Defendant (liquidator)

Lee Wan Lung

Second Defendant (bankrupt)

Public Bank Berhad

Third Defendant (applicant)

Procedural Posture

Originating Summons / Judgment (high Court)

Legal Issues

  1. 1 Whether the Court was functus officio and lacked jurisdiction to hear the application to set aside the Order of 8.8.2016
  2. 2 Whether the Order of 8.8.2016 was irregular and should be set aside ex debito justitiae for lack of service on the DGI
  3. 3 Whether Unit No.19-4 Parkview Apartment and 4S Parkview Apartment are the same property and whether Public Bank's claim (via assignment) is defeated by limitation, laches and acquiescence

Ratio Decidendi

Even if Public Bank held an equitable interest by assignment, that interest was in substance a security/mortgage which Public Bank failed to enforce within the statutory and equitable period; repeated notices of the plaintiffs' claim from 2003 and long failure to act (including failure to disclose or value security in insolvency proceedings and inaction for some 17 years) meant Public Bank's claim was barred by limitation, laches and acquiescence; the DGI's conduct waived any service irregularity and retrospective sanction was appropriate, so the application to set aside the 2016 Order was dismissed.

Court Disposition

Public Bank's application to set aside the Order dated 8.8.2016 (prayer iii) and its related directions (prayer iv) dismissed; Public Bank's earlier application to intervene had been allowed and it was added as Third Defendant.

Orders

  • Prayer (iii) and prayer (iv) of Enclosure 10 dismissed with costs
  • Costs of RM10,000.00 awarded to the Plaintiffs (subject to allocatur) to be paid by the Third Defendant (Public Bank Berhad)