1. ) KCSB Konsortium Sdn. Bhd. 2. ) Tekad Urus Sdn. Bhd. The Store (M) Sdn. Bhd. PIHAK YANG DIGARNIS 1. ) Malayan Banking Berhad 2. ) Maybank Islamic Berhad

1. ) KCSB Konsortium Sdn. Bhd. 2. ) Tekad Urus Sdn. Bhd. The Store (M) Sdn. Bhd. PIHAK YANG DIGARNIS 1. ) Malayan Banking Berhad 2. ) Maybank Islamic Berhad

The court held that service of the notice of application and supporting affidavit is required for garnishees but not necessarily required for the judgment debtor; the non-disclosure of the debtor's pending application to set aside a writ of possession was not material to the garnishee application because the monetary judgment was final and independent; therefore the debtor's application to set aside the garnishee order nisi was dismissed and costs awarded to the judgment creditors.

Citation
JA-37G-58-12/2023 (Mahkamah Tinggi)
Parties
Judgment Creditor: KCSB Konsortium Sdn Bhd; Judgment Creditor: Tekad Urus Sdn Bhd; Judgment Debtor: The Store (M) Sdn Bhd; Garnishee: Malayan Banking Berhad; Garnishee: Maybank Islamic Berhad
Court
High Court
Jurisdiction
Malaysia
Judgment Date
17 July 2024
Case Number
JA-37G-58-12/2023 (Mahkamah Tinggi)
Procedural Posture
Garnishee Proceedings / Enforcement of Final Judgment / Interlocutory Application to Set Aside Garnishee Order Nisi (application Dated 4.1.2024)
Outcome
Judgment debtor's application to set aside the garnishee order nisi dated 4.1.2024 dismissed
Legal Topics
Service of Cause Papers, Ex Parte Disclosure Duty, Setting Aside Garnishee Order, Suspension of Garnishee Proceedings
Source Language
Malay/English
Civil Procedure Enforcement of Judgment Garnishment Interim Relief Service of Cause Papers Ex Parte Disclosure Duty Setting Aside Garnishee Order Suspension of Garnishee Proceedings

Case Brief

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Parties

KCSB Konsortium Sdn Bhd

Judgment Creditor

Tekad Urus Sdn Bhd

Judgment Creditor

The Store (M) Sdn Bhd

Judgment Debtor

Malayan Banking Berhad

Garnishee

Maybank Islamic Berhad

Garnishee

Procedural Posture

Garnishee Proceedings / Enforcement of Final Judgment / Interlocutory Application to Set Aside Garnishee Order Nisi (application Dated 4.1.2024)

Legal Issues

  1. 1 Whether failure to serve the notice of application and supporting affidavit on the judgment debtor (and on garnishees) violated the Rules and is fatal to the garnishee application
  2. 2 Whether the judgment creditor's alleged failure to make full and frank disclosure in the ex parte garnishee application (specifically non-disclosure of the debtor's application to set aside writ of possession) requires setting aside the garnishee order nisi
  3. 3 Whether garnishee proceedings should be stayed pending the debtor's application for a stay of execution

Ratio Decidendi

The court held that service of the notice of application and supporting affidavit is required for garnishees but not necessarily required for the judgment debtor; the non-disclosure of the debtor's pending application to set aside a writ of possession was not material to the garnishee application because the monetary judgment was final and independent; therefore the debtor's application to set aside the garnishee order nisi was dismissed and costs awarded to the judgment creditors.

Court Disposition

Judgment debtor's application to set aside the garnishee order nisi dated 4.1.2024 dismissed

Orders

  • Application by The Store (M) Sdn Bhd to set aside the garnishee order nisi (dated 4.1.2024, Enclosure 10) is dismissed
  • The Store (M) Sdn Bhd to pay costs of RM5,000.00 to KCSB Konsortium Sdn Bhd and Tekad Urus Sdn Bhd subject to taxation