Binastra Ablebuild Sdn. Bhd. v Kumkang Kind (M) Sdn. Bhd.

wa-24ncc-461-09-2024 High Court (Mahkamah Tinggi) 18 December 2024 • WA-24NCC-461-09/2024 • 28 min read

17 cases cited (0 SG, 17 foreign)

Catchwords

CONSTRUCTION LAW: Adjudication – Fortuna injunction – Winding-up proceedings – Enforcement of CIPAA adjudication decision – Whether deposit of adjudicated sum with solicitors creates bona fide dispute – Whether pending appeals constitute bona fide dispute of judgment debt – Whether foreign ownership of creditor company relevant to granting of injunction – Whether presentation of winding-up petition would cause irreparable damage to subsidiary of public listed company CONSTRUCTION INDUSTRY PAYMENT AND ADJUDICATION ACT 2012: Enforcement – Winding-up proceedings – Whether adjudication decision remains binding and enforceable during pendency of appeals – Whether statutory demand under Section 466(1)(a) of Companies Act 2016 based on adjudication decision valid – Whether proper recourse is to pay adjudicated sum and pursue appeals INSOLVENCY LAW: Statutory demand – Winding-up proceedings – Fortuna injunction – Section 466(1)(a) of Companies Act 2016 – Whether company solvent – Whether company's ability to pay relevant where continued refusal to honor judgment debt – Whether deposit with solicitors pending appeal sufficient to prevent winding-up petition REMEDIES: Injunctions – Fortuna injunction – Balance of convenience – Irreparable damage – Whether injunction should be granted to restrain presentation of winding-up petition – Whether company's status as subsidiary of public listed company constitutes special circumstance warranting protection

Judges (1)

Atan Mustaffa Yussof Ahmad Delivered

Counsel (7)

Ng, Zainirul, Seke & Khoo Firm TY Teh & Partners Firm Cindy Wong Counsel Plaintiff Danial Hazizan Counsel Plaintiff Jessie Teo Khor Ying Counsel Defendant Khoo Ai Teng Counsel Defendant S Raven Counsel Plaintiff

Parties (2)

BINASTRA ABLEBUILD Sdn Bhd Applicant KUMKANG KIND Sdn Bhd Respondent

Statutes Cited

Companies Act 2016 (Cap 777)

Road Transport Act 1987 (Cap 333)

Rules of Court 2012

Specific Relief Act 1950 (Cap 137)

Cases Cited (17)

UK (2)

[1968] 1 WLR 1091 [1986] 1 WLR 114

MY (15)

[1993] 2 MLJ 217 [2002] 2 CLJ 329 [2010] MLJU 2217 [2011] 1 AMR 685 [2011] 1 CLJ 947 [2012] 6 MLJ 817 [2015] 10 CLJ 801 [2019] 1 CLJ 122 [2019] 12 MLJ 667 [2019] 3 MLJ 244 [2019] 8 CLJ 433 [2021] MLJU 1399 [2021] MLJU 1494 [2021] MLJU 1825 [2024] MLJU 616

Judgment

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Source: eJudgment (wa-24ncc-461-09-2024)