Islamic Banking
7 cases · August 2024 to February 2026
Case Volume by Year
2 24
3 25
2 26
2024–2026
Key Issues & Sub-Topics
Financing facilities — Murabahah — Tawarruq — Ijarah — Compensation fees (ta’widh) — Whether ta’widh constitutes prohibited interest (riba) — Shariah compliance — Permissibility of compensation for actual loss 1 Qardhul Hasan — Benevolent loan — Enforcement after default — Interaction between Shariah-based facility and civil procedural requirements 1 Whether Al-Mudharabah Investment Certificates prima facie evidence of sums held by the bank — Burden of proof — Presumption of payment after considerable lapse of time — 22-year delay — Certificate possession not conclusive — Direct witness testimony — Banking records and system migration — Automatic renewal limited to 5 years — Unclaimed Monies Act 1965 — Bankruptcy proceedings non-declaration of investment/Certificates — High net-worth client privileges — Telephone withdrawals — Limitation Act 1950 Section 6(1)(a) — Doctrine of laches — Cause of action accrues on maturity — Credible direct evidence preferred 1 Bank & banking business — Summary judgment — Default in repayment of banking facility based on Bai’ Bithaman Ajil (BBA) concept — Whether plaintiff was entitled to terminate and recall facility — Joint and several guarantee — Whether the banking facility and guarantee bind the defendants — Whether the Plaintiff is entitled to initiate concurrent action — Certificate of Indebtedness — Conclusive Evidence Clause — Whether defendants have shown evidence of manifest error — Plaintiff failed to prove posting of letters of demand and termination — Whether the claim is premature — Whether defendants successfully raised triable issues — Doubt as to bona fides of defence — Conditional leave to defend — Whether defendant ought to be given conditional leave to defend — Whether the condition imposed is reasonable — Rules of Court 2012, Order 14 rr 1, 3, & 4 1 Bank & banking business — Summary judgment — Default in repayment of banking facility — Whether agreement complies with the Shariah concept of Al-Bai Bithaman Ajil, Al-Ijarah, and Commodity Murabahah — Whether the facilities agreement in breach of Shariah principles and Shariah Advisory Council’s rulings — Whether facilities agreement deemed void ab initio — Whether the banking facilities and guarantees bind the defendants — Whether the claim is premature — Certificate of Indebtedness — Conclusive Evidence Clause — Whether defendants have shown evidence of manifest error — Whether certificate of indebtedness tained by ta’addi (misconduct), taqsir (negligence) or mukhalafah as-shurul (breach of specified terms) — Whether defendants successfully raised triable issues — Joint and several guarantee — Rules of Court 2012, Order 14 rr 1, 3 — Islamic Financial Services Act 2013, s.28 & s.281 — Federal Constitution, Item 7(j) of the Federal List (List I of the 9th Schedule). 1 Bank & banking business — Summary judgment — Default in repayment of Commodity Murabahah banking facility — Borrower’s duty to settle outstanding loan post-maturity — Whether agreement complies with the Shariah concept of Commodity Murabahah — whether failure to produce e-certificate issued by Commodity Murabahah House of Bursa Malaysia amounts to triable issue — Whether facility agreement deemed void ab initio — Whether plaintiff has to prove that defendant’s application to be admitted into restructuring arrangement via Corporate Debt Restructuring Committee (CDRC) — Whether plaintiff is required to obtain Shariah Advisory Council’s sanction before signing any CDRC restructuring deal with the defendant borrower — Whether compensation charges or ta’widh excessive — Whether the Plaintiff has the duty to inform the post-maturity ta’width in a form of an exact IIMM-rate to the first defendant — Certificate of Indebtedness — Whether Certificate of Indebtedness has to be served onto the defendants — Meaning of manifest error — Whether defendants have proven manifest error — Rules of Court 2012, Order 14 rr 1, & 3 — Islamic Financial Services Act 2013, s.28 & s.281 — Federal Constitution, Item 7(j) of the Federal List (List I of the 9th Schedule) — Contracts Act 1950, s.24, & s.30. 1 Bank & banking business — Default in repayment of Murabahah banking facility — Judgment in default entered against borrower — Summary judgment application against guarantors — Whether plaintiff was entitled to terminate and recall facility — Whether performance under facility agreement frustrated — Whether cancellation of license amounts to act of default — Whether parties contemplated frustrating events — Whether frustration was self-induced — Whether letter of demand and termination was issued and received — Lack of Certification of posting in the demand for arrears — Certificate of Indebtedness — Conclusive Evidence Clause — Whether judgment against borrower is conclusive proof of liability and quantum against guarantors — Whether Guarantors successfully raised triable issues — Joint and several guarantee — Rules of Court 2012, Order 14 rr 1, 3, 4 — Civil Law Act 1956, s.15 & 16 — Lembaga Tabung Haji Act 1995, s.27(1) & s.27(2) — Tourism Industry Act 1992, s.8(1)(b) and s.8(1)(d). 1
Financing facilities — Murabahah — Tawarruq — Ijarah — Compensation fees (ta’widh) — Whether ta’widh constitutes prohibited interest (riba) — Shariah compliance — Permissibility of compensation for actual loss 1 case
Qardhul Hasan — Benevolent loan — Enforcement after default — Interaction between Shariah-based facility and civil procedural requirements 1 case
Whether Al-Mudharabah Investment Certificates prima facie evidence of sums held by the bank — Burden of proof — Presumption of payment after considerable lapse of time — 22-year delay — Certificate possession not conclusive — Direct witness testimony — Banking records and system migration — Automatic renewal limited to 5 years — Unclaimed Monies Act 1965 — Bankruptcy proceedings non-declaration of investment/Certificates — High net-worth client privileges — Telephone withdrawals — Limitation Act 1950 Section 6(1)(a) — Doctrine of laches — Cause of action accrues on maturity — Credible direct evidence preferred 1 case
Bank & banking business — Summary judgment — Default in repayment of banking facility based on Bai’ Bithaman Ajil (BBA) concept — Whether plaintiff was entitled to terminate and recall facility — Joint and several guarantee — Whether the banking facility and guarantee bind the defendants — Whether the Plaintiff is entitled to initiate concurrent action — Certificate of Indebtedness — Conclusive Evidence Clause — Whether defendants have shown evidence of manifest error — Plaintiff failed to prove posting of letters of demand and termination — Whether the claim is premature — Whether defendants successfully raised triable issues — Doubt as to bona fides of defence — Conditional leave to defend — Whether defendant ought to be given conditional leave to defend — Whether the condition imposed is reasonable — Rules of Court 2012, Order 14 rr 1, 3, & 4 1 case
Bank & banking business — Summary judgment — Default in repayment of banking facility — Whether agreement complies with the Shariah concept of Al-Bai Bithaman Ajil, Al-Ijarah, and Commodity Murabahah — Whether the facilities agreement in breach of Shariah principles and Shariah Advisory Council’s rulings — Whether facilities agreement deemed void ab initio — Whether the banking facilities and guarantees bind the defendants — Whether the claim is premature — Certificate of Indebtedness — Conclusive Evidence Clause — Whether defendants have shown evidence of manifest error — Whether certificate of indebtedness tained by ta’addi (misconduct), taqsir (negligence) or mukhalafah as-shurul (breach of specified terms) — Whether defendants successfully raised triable issues — Joint and several guarantee — Rules of Court 2012, Order 14 rr 1, 3 — Islamic Financial Services Act 2013, s.28 & s.281 — Federal Constitution, Item 7(j) of the Federal List (List I of the 9th Schedule). 1 case
Bank & banking business — Summary judgment — Default in repayment of Commodity Murabahah banking facility — Borrower’s duty to settle outstanding loan post-maturity — Whether agreement complies with the Shariah concept of Commodity Murabahah — whether failure to produce e-certificate issued by Commodity Murabahah House of Bursa Malaysia amounts to triable issue — Whether facility agreement deemed void ab initio — Whether plaintiff has to prove that defendant’s application to be admitted into restructuring arrangement via Corporate Debt Restructuring Committee (CDRC) — Whether plaintiff is required to obtain Shariah Advisory Council’s sanction before signing any CDRC restructuring deal with the defendant borrower — Whether compensation charges or ta’widh excessive — Whether the Plaintiff has the duty to inform the post-maturity ta’width in a form of an exact IIMM-rate to the first defendant — Certificate of Indebtedness — Whether Certificate of Indebtedness has to be served onto the defendants — Meaning of manifest error — Whether defendants have proven manifest error — Rules of Court 2012, Order 14 rr 1, & 3 — Islamic Financial Services Act 2013, s.28 & s.281 — Federal Constitution, Item 7(j) of the Federal List (List I of the 9th Schedule) — Contracts Act 1950, s.24, & s.30. 1 case
Bank & banking business — Default in repayment of Murabahah banking facility — Judgment in default entered against borrower — Summary judgment application against guarantors — Whether plaintiff was entitled to terminate and recall facility — Whether performance under facility agreement frustrated — Whether cancellation of license amounts to act of default — Whether parties contemplated frustrating events — Whether frustration was self-induced — Whether letter of demand and termination was issued and received — Lack of Certification of posting in the demand for arrears — Certificate of Indebtedness — Conclusive Evidence Clause — Whether judgment against borrower is conclusive proof of liability and quantum against guarantors — Whether Guarantors successfully raised triable issues — Joint and several guarantee — Rules of Court 2012, Order 14 rr 1, 3, 4 — Civil Law Act 1956, s.15 & 16 — Lembaga Tabung Haji Act 1995, s.27(1) & s.27(2) — Tourism Industry Act 1992, s.8(1)(b) and s.8(1)(d). 1 case
Key Statutes
Evidence Act 1950 (Cap 56)
cited in 3 cases Rules of Court 2012
cited in 3 cases Federal Constitution
cited in 2 cases Contracts Act 1950 (Cap 136)
cited in 2 cases Evidence Act
cited in 1 case Companies Act 2016 (Cap 777)
cited in 1 case Limitation Act 1953 (Cap 254)
cited in 1 case Income Tax Act 1967 (Cap 53)
cited in 1 case Court Distribution
Key People & Firms
Top Firms
Top Lawyers
Mohd Munzeer Biin Zainul Abidin 1 Nabilah Binti Din 1 Amrah Binti Mohd Khairul Anuar 1 Huzir Bin Shamsul Bahrin 1 Nur Neena Chirani Binti Aqmar Hisham 1 Rajashree Suppiah 1 Amira Nur Nadia binti Azhar 1 Rex Kuan Kai Tat 1 Mohd Syafiq bin Mohd Safien 1 Mohd Munzeer Bin Zainul Abidin 1 Muhammad Ali Redha bin Ahmad Rashidi 1 Aliza Hilyati binti Wan Haron 1 Husnatul Naznin binti Mohamad 1 Mohammad Zaid bin Daud @ Daud Yatimee 1 Tan Gian Chung 1
Cases
wa-22m-233-04-2019
KUWAIT FINANCE HOUSE (MALAYSIA) BERHAD v 1. ) WSJ INTERNATIONAL SDN. BHD. 2. ) NOR RAIHAN BINTI AHMAD KAMARUDIN 3. ) IQBAL BIN MOHD AYUB 4. ) MOHAMED BASIR BIN MAIDIN 5. ) RASHID BIN MAIDIN 6. ) MOHAMED IDRIS BIN MOHAMED 7. ) MOHAMED IZHAR BIN KHURSHED AHMAD 8. ) SELVARAJAN A/L MARUTHAMUTHU
25 February 2026
MYHC
wa-22m-131-02-2024
Majlis Amanah Rakyat (MARA) v SHABRI BIN SULONG
13 January 2026
MYHC
wa-22m-72-04-2021
NIK ANIRA BINTI NIK MOHD ZAIN (sebagai pentadbir kepada pusaka NIK MOHD ZAIN BIN HAJI OMAR) v BANK KERJASAMA RAKYAT MALAYSIA BERHAD
16 April 2025
MYHC
wa-22m-2068-12-2023
CIMB ISLAMIC BANK BERHAD v 1. ) SURIA WHOLESALER SDN BHD 2. ) AHMAD AL YATEM 3. ) BILAL AL MAHMOUD TALEB 4. ) TALEB MOHAMAD AL MAHMOUD 5. ) ROHANI BINTI CHE ISA
5 March 2025
MYHC
wa-22m-823-07-2024
SMALL MEDIUM ENTERPRISE DEVELOPMENT BANK MALAYSIA BERHAD v 1. ) PRM FOODS & MARKETING SDN BHD 2. ) RAMLE BIN MUDA 3. ) CHE MINAH BINTI MOHD ALI 4. ) MOHD FIRDAUS BIN RAMLE
3 March 2025
MYHC
wa-22m-1792-12-2023
RHB ISLAMIC BANK BERHAD v ALAM MARITIM (L) INC
8 September 2024
MYHC
wa-22m-9-01-2024
AMBANK ISLAMIC BERHAD v 1. ) EMRAZ TRAVEL & TOURS SDN BHD 2. ) MAZUIN BINTI MUSTAFA 3. ) ZULKARNAIN BIN ENDUT
5 August 2024
MYHC