Appeals court dismisses ex-KL Tower operator's leave for committal bid


PUTRAJAYA: The Court of Appeal on Thursday (Sept 4) dismissed a leave application by a former Kuala Lumpur Tower operator to commence committal proceedings against the government, several individuals and three companies.

The application by Menara Kuala Lumpur Sdn Bhd, and its parent company, Hydroshoppe Sdn Bhd, was dismissed by a three-man bench comprising Justices Che Mohd Ruzima Ghazali, Mohd Firuz Jaffril and Ong Chee Kwan.

In delivering the court's decision, Justice Ruzima said there was no merit in their application for leave to cite the respondents for contempt of court.

"It is settled law that the applicants must demonstrate prima facie of contempt. From the fact of the application, we find that the "Monatech" principle relied on by the applicants does not apply," he said.

Justice Ruzima also ordered Menara Kuala Lumpur and Hydroshoppe to pay RM20,000 in legal costs to the government, including Communications Minister Datuk Fahmi Fadzil, as well as RM20,000 costs to LSH Service Master Sdn Bhd, LSH Best Builders Sdn Bhd and Service Master (M) Sdn Bhd.

Menara Kuala Lumpur and Hydroshoppe filed the application in the Court of Appeal seeking leave to cite the government, Fahmi, seven other individuals, as well as LSH Service Master, LSH Best Builders and Service Master (who took over the operation of the tower), for contempt of court for allegedly interfering with the due administration of justice amid ongoing legal proceedings.

The applicants' similar application was earlier dismissed by the High Court on June 9 this year.

Hydroshoppe and Menara KL filed a breach of contract suit against the respondents, alleging that LSH Capital and its subsidiaries induced a breach of an agreement purportedly reached with the government during a meeting in August 2022.

They further claimed that the respondents engaged in dishonest assistance and are seeking a declaration that the award of the KL Tower concession to LSH Service Master is void and unlawful.

In addition, they are claiming an estimated RM1bil in damages and are seeking the concession of the iconic Kuala Lumpur landmark to be transferred back to them.

In Thursday's proceeding, lawyers Vinayak Sri Ram and David Wong represented Hydroshoppe and Menara KL, while Senior Federal Counsel Ahmad Hanir Hambaly @ Arwi appeared for the government and the Communications Minister, and lawyer Datuk Arthur Wang represented the three companies. - Bernama

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