Malaysia Case Law: Decisions & Judgments | LexChat

Malaysia Case Law

Insolvency test
  • 18 Dec 2025

    MAJU-TH SDN BHD PENCELAH LEMBAGA TABUNG HAJI

    Citation
    WA-28JM-8-03/2024 (Mahkamah Tinggi)
    Court
    High Court
    Case number
    WA-28JM-8-03/2024 (Mahkamah Tinggi)

    Although Maju-TH is insolvent (s.405(1)(a) satisfied), the applicant failed to discharge the strict evidential burden under s.405(1)(b) to show a JMO would be likely to achieve survival as a going concern or a better realisation of assets — the Revised Proposal relied on a non‑binding NDA, lacked proof of ERBE's commitment and financial capacity, and provided no evidence of interim funding — therefore the JMO (Encl 1) was dismissed.