PETALING JAYA: Star Media Group Bhd has scored another victory in its legal battle against property development firm JAKS Island Circle Sdn Bhd (JIC).
This time, the High Court has allowed an application by Star Media Group (SMG) to enforce the undertaking issued by JIC filed early last year to stop the media group and the banks from accepting and releasing bank guarantees of RM50mil.
High Court judge Justice Lee Swee Seng on Wednesday ordered JIC to pay interest totalling RM1,515,068.49 to SMG plus RM10,000 in costs.
SMG was represented by counsel Wong Guo Bin while Datuk Wong Rhen Yen represented JIC.
On Jan 7, the Federal Court had in a unanimous decision shut down the developer’s final avenue of appeal when it dismissed its application for leave to appeal against previous court orders which were in favour of the media group.
For almost a year until then, JIC had prevented the release of the RM50mil bank guarantees to SMG following its failure to complete and deliver ownership of a building in Section 13, Petaling Jaya.
The Federal Court panel then was a strong one presided by Chief Judge of Malaya Justice Zaharah Ibrahim, with the other two other judges being Chief Judge of Sabah and Sarawak Justice David Wong and Federal Court judge Justice Alizatul Khair Osman Khairuddin.
The court ordered JIC to pay RM30,000 in costs to SMG and to pay RM10,000 each in costs to AmBank (M) Bhd and United Overseas Bank (Malaysia) Bhd.
On Feb 20 last year, SMG informed Bursa Malaysia that the deadline for delivery of ownership of Tower A in Section 13 in line with a sale and purchase agreement dated Aug 19, 2011, made with JIC had expired on Feb 15, 2018.
This followed the fourth extension granted by SMG to JIC.
However, JIC launched a series of appeals and applications for an injunction to stop the release of the money.
The High Court, in its decision on July 12, 2018, dismissed the two originating summonses filed by JIC against SMG to restrain the two banks from releasing the bank guarantees to the group.
The decision was later affirmed by a three-man panel at the Court of Appeal, which also refused an interim injunction to JIC pending further proceedings in the Federal Court.
But the apex court later granted an interim injunction to JIC pending the hearing of its application for leave to appeal, which took place on Jan 7.
We're sorry, this article is unavailable at the moment. If you wish to read this article, kindly contact our Customer Service team at 1-300-88-7827. Thank you for your patience - we're bringing you a new and improved experience soon!