Tan Leng Keat [Membawa Guaman Sebagai Wasi Dan Penakat Tunggal Kepada Harta Pusaka Wong Kuan Hoh @ Wong Kuan Lan (No. K/p: 37112707-5118)("si Mati")] 1. ) Tan Yung Quan 2. ) See Hong Ngo @ Chee Kwan Fong 3. ) TAN JOO LENG 4. ) OOI YOONG YOO

Tan Leng Keat [Membawa Guaman Sebagai Wasi Dan Penakat Tunggal Kepada Harta Pusaka Wong Kuan Hoh @ Wong Kuan Lan (No. K/p: 37112707-5118)("si Mati")] 1. ) Tan Yung Quan 2. ) See Hong Ngo @ Chee Kwan Fong 3. ) TAN JOO LENG 4. ) OOI YOONG YOO

On the balance of probabilities the deceased was mentally incompetent on 12.09.2014 and D1 and D2 exercised undue influence in procuring the transfer of 335,000 shares; therefore the transfer is ineffective, null and void in law. Fraud was not proved because the Plaintiff failed to call a material eyewitness (Cheah Ah Kim) and an adverse inference was drawn. D3 and D4 did not play a substantial role and are not liable.

Citation
PA-22NCvC-136-08/2018 (Mahkamah Tinggi)
Parties
Plaintiff Executor: Tan Leng Keat (executor of estate of Wong Kuan Hoh @ Wong Kuan Lan); Defendant 1: Tan Yung Quan; Defendant 2: See Hong Ngo @ Chee Kwan Fong; Defendant 3: Tan Joo Leng; Defendant 4: Ooi Yoong Yoong
Court
High Court
Jurisdiction
Malaysia
Judgment Date
18 November 2024
Case Number
PA-22NCvC-136-08/2018 (Mahkamah Tinggi)
Procedural Posture
Civil Suit for Declaratory Relief and Recovery Relating to Transfer of Company Shares / Judgement Delivered
Outcome
Plaintiff's claim allowed in part against D1 and D2; transfer declared void; claims against D3 and D4 dismissed
Legal Topics
Mental Capacity to Transact, Undue Influence, Fraud, Transfer of Shares, Declaratory Relief, Res Judicata, Costs and Interest
Source Language
Malay/English
Company Law Contract Law Equity (undue Influence) Evidence Civil Procedure Succession Law Mental Capacity to Transact Undue Influence +5 more

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Parties

Tan Leng Keat (executor of estate of Wong Kuan Hoh @ Wong Kuan Lan)

Plaintiff Executor

Tan Yung Quan

Defendant 1

See Hong Ngo @ Chee Kwan Fong

Defendant 2

Tan Joo Leng

Defendant 3

Ooi Yoong Yoong

Defendant 4

Procedural Posture

Civil Suit for Declaratory Relief and Recovery Relating to Transfer of Company Shares / Judgement Delivered

Legal Issues

  1. 1 Whether the suits are barred by res judicata/abuse of process
  2. 2 Whether the 12.09.2014 transfer of 335,000 shares was valid
  3. 3 Whether the deceased had mental capacity at the time of transfer

Ratio Decidendi

On the balance of probabilities the deceased was mentally incompetent on 12.09.2014 and D1 and D2 exercised undue influence in procuring the transfer of 335,000 shares; therefore the transfer is ineffective, null and void in law. Fraud was not proved because the Plaintiff failed to call a material eyewitness (Cheah Ah Kim) and an adverse inference was drawn. D3 and D4 did not play a substantial role and are not liable.

Court Disposition

Plaintiff's claim allowed in part against D1 and D2; transfer declared void; claims against D3 and D4 dismissed

Orders

  • Declaration that the transfer/sale of shares, resignation and relinquishment of rights signed on 12.09.2014 is void and of no effect
  • Declaration that the deceased's position as director of Kayangan Mutiara Sdn Bhd [285606-M] is preserved and D1 and D2 jointly and severally shall cause Kayangan Mutiara Sdn Bhd to pay all director benefits owed to the deceased including salary, fees and allowances to the Plaintiff from 2014 until the deceased's death