Malaysia Case Law: Decisions & Judgments

Topic

Sham agreements

Legal area

Court

21 Apr 2025

1. ) TADMANSORI HOLDINGS SDN. BHD. 2. ) DATUK SERI UTAMA TENGKU ADNAN BIN TENGKU MANSOR 3. ) DATO' DR. TENGKU RETHWAN BIN TENGKU MANSOR 1. ) DANCOM TELECOMMUNICATIONS (M) SDN. BHD. 2. ) THREE WELLS HOLDINGS SDN. BHD. 3. ) DATUK LIU THIM SOO

Citation

WA-22NCC-332-05/2024 (Mahkamah Tinggi)
Court

High Court
Case number

WA-22NCC-332-05/2024 (Mahkamah Tinggi)

On the affidavit and contemporaneous documentary evidence the share sale was genuine: plaintiffs admitted role in agreements yet produced no internal documents proving a sham; instalment payments and supplemental agreements evidencing genuine variation and payment defeated the sham allegation; plaintiffs failed to discharge burden to invoke trio of considerations to displace in pari delicto; claims were frivolous or vexatious and disclosed no reasonable cause of action — therefore writ and Amended Statement of Claim struck out and ad‑interim injunction set aside with costs.
21 Apr 2025

1. ) TADMANSORI HOLDINGS SDN. BHD. 2. ) DATUK SERI UTAMA TENGKU ADNAN BIN TENGKU MANSOR 3. ) DATO' DR. TENGKU RETHWAN BIN TENGKU MANSOR 1. ) DANCOM TELECOMMUNICATIONS (M) SDN. BHD. 2. ) THREE WELLS HOLDINGS SDN. BHD. 3. ) DATUK LIU THIM SOO

Citation

WA-22NCC-332-05/2024 (Mahkamah Tinggi)
Court

High Court
Case number

WA-22NCC-332-05/2024 (Mahkamah Tinggi)

The writ and Amended Statement of Claim were struck out because the plaintiffs’ own pleaded admissions and contemporaneous documents demonstrated the share sale and subsequent agreements were genuine, the claim was thereby ex facie tainted by illegality/sham allegations unsupported by evidence, the plaintiffs failed to discharge the burden to displace the pari delicto bar, and the claims were frivolous or vexatious such that summary dismissal under Order 18 r 19 was justified.
30 Aug 2024

Lakhbeer Singh A/L Ajaib Singh Thamil Chelvam A/L Subramaniam

Citation

WA-B52NCvC-239-07/2020 (Mahkamah Sesyen)
Court

Sessions Court
Case number

WA-B52NCvC-239-07/2020 (Mahkamah Sesyen)

On the balance of probabilities the SPA was a sham and served as collateral for an illegal moneylending arrangement: the plaintiff (a licensed moneylender) charged and received interest inconsistent with statutory form/limits, failed to stamp the SPA, failed to take steps to obtain required consent and did not follow prescribed moneylending formalities; accordingly the SPA was void for illegality under Contracts Act s24 and unenforceable, and specific performance was denied.
22 Nov 2023

KENANGA INVESTORS BERHAD 1. ) ZULRAFQ CAPITAL SDN BHD 2. ) TAN SRI ZULHASNAN BIN RAFIQUE PIHAK TERKILAN 1. ) DATUK WIRA ISMITZ MATTHEW 2. ) MUHAMMAD TAQIUDDIN HALIM

Citation

WA-22NCC-141-03/2023 (Mahkamah Tinggi)
Court

High Court
Case number

WA-22NCC-141-03/2023 (Mahkamah Tinggi)

Plaintiff satisfied Order 14 prerequisites and established a prima facie case; Defendants failed to demonstrate any bona fide triable issue supported by clear, precise affidavit evidence. Alleged oral third‑party arrangements, third‑party payments, conspiracy and sham assertions were unsupported, inconsistent with contemporaneous documents, and insufficient to defeat summary judgment. Therefore summary judgment is appropriate for the contractual sums, interest and costs awarded.
12 Aug 2022

Tan Sook Fuen Lim Tiew Sin

Citation

WA-22NCvC-310-06/2020 (Mahkamah Tinggi)
Court

High Court
Case number

WA-22NCvC-310-06/2020 (Mahkamah Tinggi)

On the balance of probabilities the totality of pre-contractual and post-contractual conduct (payment of full purchase price before execution, absence of searches, no possession, delayed enforcement and caveat, earlier funding arrangements and repayment evidence RM638,000) established a common intention that the Sale and Purchase Agreement was a sham securing a loan; the transaction therefore contravened the Moneylenders Act and Contracts Act and is unenforceable; plaintiff had no caveatable interest and caveat must be removed.

Malaysia Case Law

1. ) TADMANSORI HOLDINGS SDN. BHD. 2. ) DATUK SERI UTAMA TENGKU ADNAN BIN TENGKU MANSOR 3. ) DATO' DR. TENGKU RETHWAN BIN TENGKU MANSOR 1. ) DANCOM TELECOMMUNICATIONS (M) SDN. BHD. 2. ) THREE WELLS HOLDINGS SDN. BHD. 3. ) DATUK LIU THIM SOO

1. ) TADMANSORI HOLDINGS SDN. BHD. 2. ) DATUK SERI UTAMA TENGKU ADNAN BIN TENGKU MANSOR 3. ) DATO' DR. TENGKU RETHWAN BIN TENGKU MANSOR 1. ) DANCOM TELECOMMUNICATIONS (M) SDN. BHD. 2. ) THREE WELLS HOLDINGS SDN. BHD. 3. ) DATUK LIU THIM SOO

Lakhbeer Singh A/L Ajaib Singh Thamil Chelvam A/L Subramaniam

KENANGA INVESTORS BERHAD 1. ) ZULRAFQ CAPITAL SDN BHD 2. ) TAN SRI ZULHASNAN BIN RAFIQUE PIHAK TERKILAN 1. ) DATUK WIRA ISMITZ MATTHEW 2. ) MUHAMMAD TAQIUDDIN HALIM

Tan Sook Fuen Lim Tiew Sin