Mohamad Salleh, NFCorp win suit against bank for breach of confidentiality


PUTRAJAYA: National Feedlot Corporation Sdn Bhd (NFCorp), its executive chairman Datuk Mohamad Salleh Ismail and its two subsidiaries won their appeal in a civil suit they had filed against Public Bank Berhad for breach of contract to protect their bank account confidentiality.

Justice S. Nantha Balan, who delivered the unanimous decision of the Court of Appeal three- member panel yesterday, said there was a serious misappreciation of evidence which warranted appellate intervention on the judges’ part.

The panel, which also included Justices Azizah Nawawi and P. Ravinthran Balan, ordered Public Bank to pay RM500,000 in costs.

Justice Nantha Balan said in the case before the Appellate court, the trial judge had ignored a vital evidence.

“That evidence in particular is the testimony of the bank’s head of investigation audit Veronica Foo before the bank’s domestic inquiry panel and indeed the bank’s stance vis-à-vis the charge of serious misconduct against a clerical staff of the bank, Johari Mohamed, which is a breach of Section 97(1) of the Banking and Financial institutions Act 1989.

“We therefore allow the appeal on liability in respect of all the appellants,” he said.

However, the bench said since the appellants have succeeded on liability but have failed to prove damages, the court awarded a sum of RM10,000 in nominal damages.

During yesterday’s proceeding, NFCorp, Mohamad Salleh and the two companies were represented by Tan Sri Muhamad Shafee Abdullah while lawyer Poh Choo Hoe appeared for Public Bank.

In the court’s ruling, Justice Nantha Balan said the trial judge took a wrong turn in treating the domestic inquiry notes of proceeding (NOP) as being irrelevant to the issues at the trial.

“The judge misdirected herself because the domestic inquiry NOP were obtained by the appellants after a heavily contested application for discovery.

“The issue of relevancy of domestic inquiry notes of proceedings was res judicata and it was erroneous for the bank to object to appellants’ counsel making reference to the NOP and for the judge to have rejected it as being irrelevant,” he said.

Justice Nantha Balan further said the thrust of the appellants’ case at the High Court is that the person who leaked the confidential information was Johari, who was at all material times, a clerk at Public Bank Jinjang branch.

On May 22, 2012, NFCorp, Mohamad Salleh and the two subsidiary companies filed the suit against Public Bank over breach of contract to protect their bank account confidentiality. — Bernama

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