ONG KWEE LEE v ABLE PERFECT SDN BHD

b-02ncvcw-2083-11-2022 Court of Appeal (Mahkamah Rayuan) 13 January 2025 • B-02(NCvC)(W)-2083-11/2022 • 24 min read

1 cases cited (0 SG, 1 foreign)

Catchwords

Appeal – Issues of whether the appellant was a beneficiary of shares of a company and whether the appellant was in breach of a Trust Deed in regard to the mode of payment towards the acquisition of the said shares which were registered in the name of the respondent - whether the appellant was entitled to enjoy the benefit of the dividends to the said shares immediately despite not having paid the full amount of his portion of the shared acquisition costs to the respondent.

Practice Areas

Appeal

Judges (3)

Choo Kah Sing Delivered Mohd Nazlan bin Mohd Ghazali Coram S. Nantha Balan a/l E.s. Moorthy Coram

Counsel (8)

Kee Sern, Siu & Huey Firm Leong Yeng Kit & Co. Firm Chia Zong You Counsel Respondent Dato' Cyrus Das Counsel Appellant Harjinder Singh a/l Saudagar Singh Counsel Respondent Lau Kee Sern Counsel Appellant Leong Xin Wen Counsel Appellant Leong Yeng Kong Counsel Respondent

Parties (2)

ABLE PERFECT Sdn Bhd Respondent Ong Kwee Lee Appellant

Case Significance

ONG KWEE LEE v ABLE PERFECT SDN BHD is a Court of Appeal (Mahkamah Rayuan) decision dated January 13, 2025 (citation: b-02ncvcw-2083-11-2022). <p>The appellant claimed beneficial ownership of 250,000 shares in Sekoplas Industries held on trust by the respondent company, arguing that his portion of the acquisition costs could be offset against dividends from the shares. The Court of Appeal reversed the High Court, finding that the Trust Deed clearly established a trust and the dividends should offset the appellant's outstanding costs. The appellant was ordered to pay the remaining balance of RM3,563,521.68 and the RM12.48 million held b The panel comprised Choo Kah Sing, Mohd Nazlan bin Mohd Ghazali and S. Nantha Balan a/l E.s. Moorthy, with Choo Kah Sing delivering the judgment. Counsel appearing: Chia Zong You (counsel for respondent), Dato' Cyrus Das (counsel for appellant), Harjinder Singh a/l Saudagar Singh (counsel for respondent), Lau Kee Sern (counsel for appellant), Leong Xin Wen (counsel for appellant), Leong Yeng Kong (counsel for respondent).

Summary

The appellant claimed beneficial ownership of 250,000 shares in Sekoplas Industries held on trust by the respondent company, arguing that his portion of the acquisition costs could be offset against dividends from the shares. The Court of Appeal reversed the High Court, finding that the Trust Deed clearly established a trust and the dividends should offset the appellant's outstanding costs. The appellant was ordered to pay the remaining balance of RM3,563,521.68 and the RM12.48 million held by stakeholder solicitors was ordered released to him after deduction.

What was the outcome of ONG KWEE LEE v ABLE PERFECT SDN BHD?

<p>The appellant claimed beneficial ownership of 250,000 shares in Sekoplas Industries held on trust by the respondent company, arguing that his porti...

Cases Cited (1)

MY (1)

[2016] 3 CLJ 193