PEMIUTANG PENGHAKIMAN Credit Guarantee Corporation Malaysia Berhad PENGHUTANG PENGHAKIMAN Lee Hee Hong

PEMIUTANG PENGHAKIMAN Credit Guarantee Corporation Malaysia Berhad PENGHUTANG PENGHAKIMAN Lee Hee Hong

The appeal is dismissed: the 2015 judgment authorised interest at 12.05% per annum to be calculated on a 'monthly basis' (monthly rest), which is compound interest; the bankruptcy notice used the monthly-rest formula and therefore complied with the judgment; the RM1.98 understatement of penalty interest was a formal, non-prejudicial error curable under section 131; and the earlier set-aside did not estop filing a corrected fresh notice.

Citation
PA-29NCC-1091-09/2019 (Mahkamah Tinggi)
Parties
Judgment Creditor: Credit Guarantee Corporation Malaysia Berhad; Judgment Debtor: Lee Hee Hong
Court
High Court
Jurisdiction
Malaysia
Judgment Date
20 October 2021
Case Number
PA-29NCC-1091-09/2019 (Mahkamah Tinggi)
Procedural Posture
Bankruptcy / Appeal (rehearing)
Outcome
Appeal dismissed with costs
Legal Topics
Validity of Bankruptcy Notice, Interest Calculation (monthly Rest Vs Daily Rest), Compound Interest, Section 3(1)(i) Bankruptcy Act 1967, Section 131 Bankruptcy Act 1967, Estoppel
Source Language
Malay/English
Bankruptcy Civil Procedure Banking/interest Law Validity of Bankruptcy Notice Interest Calculation (monthly Rest Vs Daily Rest) Compound Interest Section 3(1)(i) Bankruptcy Act 1967 Section 131 Bankruptcy Act 1967 +1 more

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Parties

Credit Guarantee Corporation Malaysia Berhad

Judgment Creditor

Lee Hee Hong

Judgment Debtor

Procedural Posture

Bankruptcy / Appeal (rehearing)

Legal Issues

  1. 1 Whether the bankruptcy notice was invalid for claiming compound interest not provided in the 2015 judgment
  2. 2 Whether interest was calculated on a daily basis rather than the monthly basis required by the 2015 judgment
  3. 3 Whether the 1% penalty interest was miscalculated in the bankruptcy notice and whether that defect invalidates the notice

Ratio Decidendi

The appeal is dismissed: the 2015 judgment authorised interest at 12.05% per annum to be calculated on a 'monthly basis' (monthly rest), which is compound interest; the bankruptcy notice used the monthly-rest formula and therefore complied with the judgment; the RM1.98 understatement of penalty interest was a formal, non-prejudicial error curable under section 131; and the earlier set-aside did not estop filing a corrected fresh notice.

Court Disposition

Appeal dismissed with costs

Orders

  • Appeal dismissed with costs