Malaysia Case Law: Decisions & Judgments

Topic

Removal of liquidator

Legal area

Court

29 Apr 2025

1. ) MAJIDEE PARK AUTO SPARES & SERVICES SDN BHD 2. ) JAYAPALASINGAM A/L KANDIAH 1. ) N THANAVATHY A/P RAJAH 2. ) KETUA PENGARAH JABATAN INSOLVENSI MALAYSIA

Citation

J-01(A)-408-07/2023 (Mahkamah Rayuan)
Court

A
Case number

J-01(A)-408-07/2023 (Mahkamah Rayuan)

The Court of Appeal allowed the appeal, set aside the High Court order removing the 2nd appellant as liquidator because the licence renewal was subsequently judicially validated with retrospective effect and the High Court's findings of unreasonable delay were unsupported by contemporaneous documents; additionally the High Court had failed to show that the requisite notice to creditors had been given, a fatal procedural defect. Removal was therefore unjustified and the order was set aside.
17 Dec 2024

STONE MASTER CORPORATION BERHAD (IN LIQUIDATION) DATUK TEE GUAN PIAN, PELIKUIDASI S.P. GRANITE (DALAM PENGGULUNGAN)

Citation

NA-28PW-27-05/2024 (Mahkamah Tinggi)
Court

High Court
Case number

NA-28PW-27-05/2024 (Mahkamah Tinggi)

The application was dismissed because the applicant failed to establish prima facie cause to remove a court‑appointed liquidator or to obtain leave to commence proceedings against him; the setting aside of the Rainbow Marble default judgment did not undermine the court's appointment of Datuk Tee, and Datuk Tee acted within his statutory powers and as an officer of the court; the application was therefore mala fide/abusive and costs were awarded.
24 Jul 2024

WONG WENG FOO & CO LONDON BISCUITS BERHAD (IN LIQUIDATION) PENCELAH 1. ) ALLIANCE BANK MALAYSIA BERHAD 2. ) UNITED OVERSEAS BANK (MALAYSIA) BERHAD 3. ) HSBC BANK MALAYSIA BERHAD PIHAK TERKILAN 1. ) Lim San Peen 2. ) GABRIEL TEO CHUN 3. ) VI

Citation

W-02(A)-1992-10/2022 (Mahkamah Rayuan)
Court

A
Case number

W-02(A)-1992-10/2022 (Mahkamah Rayuan)

Enclosure 48 was incompetent and dismissed because Victor, as one of two court-appointed joint liquidators, lacked locus standi to act unilaterally; joint liquidators must act together; residuary powers post-winding up belong to the board and are not to be extended to enable a single co-liquidator to bypass the co-liquidator or proper procedural channels; consequently the stay prayed was refused.
20 Mar 2024

RICKY THONG YEW FOOK SHENCOURT PROPERTIES SDN BHD (DALAM LIKUIDASI)

Citation

WA-28PW-204-05/2023 (Mahkamah Tinggi)
Court

High Court
Case number

WA-28PW-204-05/2023 (Mahkamah Tinggi)

The Second Applicant failed to justify charging on a time-cost basis for the First Period; given proven tardiness and misconduct, absence of agreement to charge time-costs, lack of material justification for high hourly rate and excessive bills, the court fixed a fair and reasonable lump-sum remuneration of RM300,000.00 for the First Period using the combination method.
13 Mar 2024

KHOO CHOOI THUAN 1. ) Loh Kon Fah [Notis Pemberhentian Di Kandungan 14] 2. ) LOH SIEW CHOONG 3. ) Loh Ngee Pin 4. ) Loh Siew Ngoh 5. ) Loh Liong Fah 6. ) Law Kam Sau 7. ) Ngan Peing Kai 8. ) Gunasegaran A/l Suppiah 9. ) Viswanathan A/l M V

Citation

AA-24NCC-19-09/2023 (Mahkamah Tinggi)
Court

High Court
Case number

AA-24NCC-19-09/2023 (Mahkamah Tinggi)

The Court held that Respondents failed to show sufficient cause to remove the Applicant; allegations of conflict and unfitness were unproven, the Debt Settlement Agreement was valid and enforceable, Respondents' conduct constituted malicious obstruction, and therefore the Applicant must be permitted to continue as Liquidator until completion; costs RM8,000 awarded to Applicant.
12 Jan 2024

1. ) Ter Thian Tin 2. ) Chong Fong Har 3. ) Chang Ngi Mooi 4. ) THC Rice Sdn Bhd 1. ) Chiptar Holdings Sdn Bhd (In Liquidation) 2. ) Ralph ravin Ratnaswamy

Citation

WA-28PW-358-08/2023 (Mahkamah Tinggi)
Court

High Court
Case number

WA-28PW-358-08/2023 (Mahkamah Tinggi)

Leave to commence proceedings in Prayers 3, 4 and 5 was refused: (1) removal application failed for lack of evidence of misconduct or cause and relied on misconceived statutory provision (s450(4) inapplicable); (2) set-off application was contrary to the pari passu principle and s527(10) CA 2016 and Applicants did not show pecuniary loss to justify departure; (3) contempt application lacked a prima facie case of breach of the Oppression Order. Applications dismissed with costs RM15,000.00.
26 Jun 2023

N THANAVATHY A/P RAJAH 1. ) MAJIDEE PARK AUTO SPARES & SERVICES SDN BHD 2. ) JAYAPALASINGAM A/L KANDIAH 3. ) KETUA PENGARAH JABATAN INSOLVENSI MALAYSIA

Citation

JA-28PW-217-12/2022 (Mahkamah Tinggi)
Court

High Court
Case number

JA-28PW-217-12/2022 (Mahkamah Tinggi)

Application allowed: the liquidator was disqualified by non‑renewal of his licence under s433(1)(a) and, independently, had unreasonably delayed and failed to perform statutory duties with promptitude (failure to convene meetings, excessive repeated document requests, failure to progress liquidation), so removal was warranted and replacement by the Director General of Insolvency ordered under s477(1)(e).
28 Apr 2023

ARKITEK ZAINUDDIN HARUN SRI ALAM SDN BHD (IN CREDITORS VOLUNTRAY LIQUIDATION)

Citation

WA-28PW-342-07/2022 (Mahkamah Tinggi)
Court

High Court
Case number

WA-28PW-342-07/2022 (Mahkamah Tinggi)

On the balance of probabilities the Court found cause shown to remove the joint liquidators: they proceeded with a COI meeting on 19.11.2020 in the absence of creditor representatives (demonstrating lack of independence/unbias), failed to comply with parts of the Consent Orders (notably inadequate steps to recover substantial overseas funds and failure to deposit land compensation with designated solicitors), and thus were removed; the Court appointed Ralph Ravin Ratnaswamy as liquidator as he was suitably qualified and supported by majority creditors.
28 Apr 2023

ARKITEK ZAINUDDIN HARUN SRI ALAM SDN BHD (IN CREDITORS VOLUNTRAY LIQUIDATION)

Citation

WA-28PW-342-07/2022 (Mahkamah Tinggi)
Court

High Court
Case number

WA-28PW-342-07/2022 (Mahkamah Tinggi)

Cause shown to remove the joint liquidators: on the balance of probabilities the joint liquidators demonstrated lack of independence and impartiality (proceeding with COI meeting of 19.11.2020 without creditor representation), failed to comply with material terms of consent orders (failure to deposit land compensation as ordered; failure to take adequate steps to pursue recovery of substantial Singapore funds within a reasonable time), thereby undermining creditor confidence and justifying removal under s453(2); replacement by an impartial, qualified liquidator (Ralph Ravin Ratnaswamy) was ap…
28 Apr 2023

Abdul Rahman Bin Zainal Baltasar Bin Maskor PIHAK TERKILAN SRI ALAM SDN BHD (In Creditors' Voluntary Liquidation)

Citation

WA-28PW-94-02/2022 (Mahkamah Tinggi)
Court

High Court
Case number

WA-28PW-94-02/2022 (Mahkamah Tinggi)

On a balance of probabilities the Court found cause shown to remove the Joint Liquidators: they proceeded with the COI meeting of 19.11.2020 in the absence of creditor representatives thereby evidencing lack of independence and apparent bias; they failed or unduly delayed compliance with Consent Orders (notably failure to pursue recovery of monies in Singapore and failure to deposit land compensation with Messrs Cheah Teh & Su as ordered); those material breaches and conflict justified removal and replacement; accordingly the Court removed the Joint Liquidators and appointed Mr Ralph Ravin Ra…