Malaysia Case Law: Decisions & Judgments

Topic

Priority of debts in winding up

Legal area

Court

11 Mar 2024

MAN PLUG INDUSTRIES SDN BHD WONDERFUL COMPOUND SDN. BHD. PIHAK YANG DIGARNIS CIMB BANK BHD

Citation

JA-37G-50-11/2023 (Mahkamah Tinggi)
Court

High Court
Case number

JA-37G-50-11/2023 (Mahkamah Tinggi)

The application by the judgment debtor to set aside the garnishee order was allowed: failure to cite the specific legal provision was not fatal because the creditor was not misled; nondisclosure of the leave application was not materially fatal because the court would still have made the garnishee order if properly apprised; however the garnishee enforcement was improper in the liquidation context because the creditor must file proof of debt under the Companies Act 2016 and the statutory priority scheme does not grant the claimed costs the asserted priority absent an express allocation by the…
3 May 2021

PENDAKWARAYA Umi Khairunissa Mohd Soffian Lee and Siti Maisarah binti Ab Rahim, Federal Counsels for the Lembaga Hasil Dalam Negeri Malaysia Pamela Ephraim for the Liquidator Applicant [Messrs Ephraim & Associates]

Citation

POST WINDING UP APPLICATION NO. WA-28PW-455-12/2020 (Mahkamah Tinggi)
Court

High Court
Case number

POST WINDING UP APPLICATION NO. WA-28PW-455-12/2020 (Mahkamah Tinggi)

The Court held that where property of a company in liquidation is disposed of, proceeds retained under s21B RPGT vest in the liquidator and must be applied according to the priority scheme in Companies Act 2016 s527(1); accordingly the RPGT claim ranks sixth as a preferential debt and is payable only subject to availability of funds after higher ranked preferential claims; the DGIR is not entitled to the claimed increased sums for late payment and need not lodge a proof of debt for the RPGT assessed after the winding up order.

Malaysia Case Law

MAN PLUG INDUSTRIES SDN BHD WONDERFUL COMPOUND SDN. BHD. PIHAK YANG DIGARNIS CIMB BANK BHD

PENDAKWARAYA Umi Khairunissa Mohd Soffian Lee and Siti Maisarah binti Ab Rahim, Federal Counsels for the Lembaga Hasil Dalam Negeri Malaysia Pamela Ephraim for the Liquidator Applicant [Messrs Ephraim & Associates]