CLJ Bulletin, Issue 2011, Vol 8

4 March 2011

CLJ Law Malaysia

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New This Week 1. Legislation Highlights
2. Articles
      a) Legal Network Series Articles
3. Latest Cases
    a) Legal Network Series
    b) CLJ Volume 1 (Part 8) 2011

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1. Legislation Highlights

Principal Acts

NUMBER

TITLE

DATE COMING INTO FORCE

REPEALING

ACT 718 Agensi Inovasi Malaysia Act 2010 Not Yet In Force - Nil -
ACT 721 International Islamic Liquidity Management Corporation Act 2011 25 October 2010 - Nil -
ACT 722 Fees (Malaysian Meteorological Department (Validation) Act 2011 Not Yet In Force - Nil -
ACT 723 Price Control And Anti-Profiteering Act 2011 Not Yet In Force - Nil -
ACT 724 National Visual Arts Development Board Act 2011 Not Yet In Force - Nil -

Amending Acts

NUMBER

TITLE

DATE COMING INTO FORCE

AMENDING

ACT A1374 Tourism Vehicles Licensing (Amendment) Act 2010 31 January 2011 [P.U. (B) 47/2011] ACT 594
ACT A1376 Commercial Vehicles Licensing Board (Amendment) Act 2010 31 January 2011 [P.U. (B) 44/2011] ACT 334
ACT A1381 Consumer Protection (Amendment) Act 2010 1 February 2011 [P.U. (B) 48/2011] ACT 599
ACT A1386 Children And Young Persons (Employment) (Amendment) Act 2010 1 March 2011 [P.U. (B) 87/2011] ACT 350
ACT A1387 Malaysian Timber Industry Board (Incorporation) (Amendment) Act 2010 Not Yet Inforce ACT 105
ACT A1388 Supply Act 2011 31 December 2010 - Nil -
ACT A1389 Bank Simpanan Nasional (Amendment) Act 2011 24 February 2011 [P.U. (B) 79/2011] ACT 146
ACT A1390 Moneylenders (Amendment) Act 2011 Not Yet Inforce ACT 400
ACT A1391 Road Transport (Amendment) Act 2011 31 January 2011 [P.U. (B) 37/2011] ACT 333

PU(A)

NUMBER TITLE DATE COMING INTO FORCE

PRINCIPAL ACT NO

PU(A) 041/2011 Registration Of Pharmacists (Amendment Of First Schedule) Order 2011 10 February 2011 ACT 371
PU(A) 042/2011 Customs (Values) (Crude Petroleum Oil) (No 3) Order 2011 10 February 2011 ACT 235
PU(A) 043/2011 Ministers Of The Federal Government (Amendment) Order 2011 14 February 2011 ACT 2
PU(A) 044/2011 Income Tax (Exemption) Order 2011 14 February 2011 ACT 53
PU(A) 045/2011 Customs (Values) (Palm Oil) (No 7) Order 2011 14 February 2011 ACT 235

PU(B)

NUMBER TITLE DATE COMING INTO FORCE

PRINCIPAL ACT NO

PU(B) 043/2011 Appointment Of Date Of Coming Into Operation 31 January 2011 ACT 715
PU(B) 044/2011 Appointment Of Date Of Coming Into Operation 31 January 2011 ACT A1376
PU(B) 045/2011 Determination Of Electoral Roll For The By-Election Of N. 27 Merlimau 31 January 2011 ACT 19
PU(B) 046/2011 Notice To Hold A By-Election Of A Member Of The Legislative Assembly Of The State Of Malacca For The Constituency Of N 27 Merlimau 31 January 2011 ACT 19
PU(B) 047/2011 Appointment Of Date Of Coming Into Operation 31 January 2011 ACT A1374

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2. Articles

a) Legal Network Series Articles

1. Reforming An Unwritten Constitution [Read excerpt]
By Justice Beatson FBA, A Justice Of The High Court, Queen's Bench Division*

2. Bankruptcy Law As Balancing The Interest Between Creditors And Debtors In Malaysia : A Need For Law Reform* [Read excerpt]
By Noorfajri Ismail

3. Latest Cases

a) Legal Network Series

CITATION TITLE SUBJECT
[2009] 1 LNS 181 [HC] Lactus Paper Industries Sdn Bhd v. Top Alloy Manufacturing Sdn Bhd

COMPANIES AND CORPORATIONS: Winding up - Petition - Inability to pay debt - Debt claimed by the petitioner disputed - Amount in notice of demand differed from amount in the summary judgment - Calculation pertaining to the debt not consistent with the summary judgment - Consideration of most appropriate stage for petitioner to wind-up respondent - Whether a judgment would effectively eliminate any attempt to dispute quantum of debt at the hearing of petition

COMPANIES AND CORPORATIONS: Winding up - Solvency of company - Whether credit balance in two banks established respondent's solvency - Whether sufficient to rebut the presumption of insolvency under Companies Act 1965, s. 218(2) (a) - Whether moneys available to respondent to meet debt

[2009] 1 LNS 412 [HC] Law Kiat Min & Anor v. Minister For Human Resources Malaysia

ADMINISTRATIVE LAW: Judicial review - Application for - Whether Employment (Exemption) Order 2005 null and void - Whether applicants discharged onus of proving that the respondent had failed to properly exercise his discretion when making the Exemption Order - Whether applicants aggrieved persons

ADMINISTRATIVE LAW: Exercise of administrative powers - Decision - Whether any requirement in Sarawak Labour Ordinance 2005 for the respondent to disclose grounds when making an Order - Whether Order had breached Article 76(3) of the Federal Constitution as it was not adopted by the Sarawak State Legislature and/or adopted by any law passed by the Sarawak State Legislature

[2009] 1 LNS 1218 [HC] Sarbanum Mahdi & Anor v. Johnson Arul Arulsamy & Another Case

CIVIL PROCEDURE: Appeal - New point raised on appeal - Issue of contributory negligence - Issue never put to the Kancil driver and the Volvo driver expressly in cross-examination - Whether plaintiff barred from raising this issue

CIVIL PROCEDURE: Appeal - Findings of fact - Whether findings of Sessions Judge reasonable - Whether intervention by an Appellate Court warranted

TORT: Negligence - Collision - 1st plaintiff overtaking when it was unsafe to do so - No evidence to prove any negligence on the part of the Kancil and Volvo drivers - Whether plaintiffs satisfied burden of proving their case

[2009] 1 LNS 1220 [HC] Express Rail Link Sdn Bhd v. Metroplex Berhad & Anor

CONTRACT: Oral agreement - Existence of oral agreement - First defendant engaged by PUTRA to construct traction power sub-station (TPSS) - PUTRA not a party to action - Redesigning and relocation of TPSS would save the second defendant's land from being compulsorily acquired - Move would cause PUTRA to incur extra costs in constructing the TPSS and abortive costs - Question of which party to bear responsibility for costs - Whether there was an oral agreement between the plaintiff, the first defendant and the second defendant on which party (or parties) was to bear the extra and abortive costs - Whether the oral agreement was subsequently confirmed by a written agreement of the parties in the form of two letters from plaintiff to first defendant and letter from first defendant to plaintiff

[2009] 1 LNS 1229 [HC] EON Bank Bhd v. Natashah Md Noor & Anor

CONTRACT: Guarantee - Construction - Validity - Whether the guarantee was blank at the time of signing - Whether the guarantee executed by the second defendant guarantees the repayment of all the facilities or only limited to the overdraft facility - Whether there was consensus ad idem between the plaintiff and the second defendant on the extent of the guarantee - Relevant date when guarantee was signed - Whether guarantee was signed at the inducement and misrepresentation of the first defendant - Whether guarantee also a contract of indemnity

CONTRACT: Guarantee - Notice of demand - Interest - Whether notice of demand was served on the second defendant - Guarantee silent on interest rate agreed - Whether the interest rate claimed was lawful

^^

b. CLJ Volume 1 (Part 8) 2011

COURT

COURT OF APPEAL

Ismail Darmansyah v. PP
Suriyadi Halim Omar, Hasan Lah, Ahmad Maarop
(Criminal Law - Dangerous Drugs Act 1952 - Section 39B(1)(a) - Trafficking in cannabis) [2011] 1 CLJ 933 [CA]

Pacific & Orient Insurance Co Bhd v. Muniammah Muniandy
Ramly Ali, Kang Hwee Gee, Jeffrey Tan
(Civil Procedure; Company Law; Insurance - Motor insurance - Liability - Winding up - Insolvency - Whether judgment may be enforced against insurer by way of winding up) [2011] 1 CLJ 947 [CA]

PP lwn. Mazlan Mustaffa
Hasan Lah, Ahmad Maarop, Sulaiman Daud
(Undang-Undang Jenayah; Keterangan - Akta Dadah Berbahaya 1952 - Elemen milikan - Pengetahuan - Maklumat membawa kepada penemuan dadah - Kebolehterimaan) [2011] 1 CLJ 964 [CA]

Syed Adnan Syed Abdullah lwn. PP
Suriyadi Halim Omar, Hasan Lah, Ahmad Maarop
(Undang-Undang Jenayah - Kanun Keseksaan - Seksyen 302 - Niat membunuh - Sama ada dibuktikan) [2011] 1 CLJ 977 [CA]

HIGH COURT

Jimi Mantali & Ors v. Superintendent Of Lands & Surveys Samarahan Division & Anor
Rhodzariah Bujang
(Native Law And Custom - Land dispute - Customary rights over land - Whether rights defeated) [2011] 1 CLJ 1000 [HC]

Mahadeva Krisanon v. Teja Singh
Chew Soo Ho
(Evidence; Legal Profession; Tort - Solicitors - Duty of care - Professional negligence) [2011] 1 CLJ 1016 [HC]

Shahril Yahya v. PP
Chong Siew Khim
(Criminal Law; Criminal Procedure - Anti-Corruption Act 1997 - Section 19(2) - Making false statement) [2011] 1 CLJ 1034 [HC]

Sunny Khoo v. YB Menteri Sumber Manusia, Malaysia & Anor
Aziah Ali
(Administrative Law; Labour Law - Judicial review - Employment - Dismissal, representation on - Decision of Minister not to refer representation to Industrial Court) [2011] 1 CLJ 1047 [HC]

SUBJECT INDEX

ADMINISTRATIVE LAW

Judicial review - Statutory body - Decision of Minister not to refer representation on dismissal to Industrial Court for adjudication - Whether decision justified in view of reinstatement offer made - Industrial Relations Act 1967, s. 20 (3)
Sunny Khoo v. YB Menteri Sumber Manusia, Malaysia & Anor
(Aziah Ali J) [2011] 1 CLJ 1047 [HC]

CIVIL PROCEDURE

Judgments and orders - Enforcement of - Winding up petition - Whether Rules of the High Court 1980, O. 45 takes away right of judgment creditor to enforce judgment by way of a winding-up petition under Companies Act 1965
Pacific & Orient Insurance Co Bhd v. Muniammah Muniandy
(Ramly Ali, Kang Hwee Gee, Jeffrey Tan JJCA) [2011] 1 CLJ 947 [CA]

COMPANY LAW

Winding up - Application to injunct presentation of winding-up petition - Principles for granting of Fortuna Injunction - Whether winding-up application an abuse of process - Whether irreparable harm will be caused - Whether injunction to be granted - Companies Act 1965, s. 218
Pacific & Orient Insurance Co Bhd v. Muniammah Muniandy
(Ramly Ali, Kang Hwee Gee, Jeffrey Tan JJCA) [2011] 1 CLJ 947 [CA]

Winding up - Insolvency - Whether company commercially solvent - Failure by company to comply with notice under s. 218, Companies Act 1965 - Rebuttable presumption of insolvency - Onus on company to rebut presumption - Whether payment of debt claimed under s. 218 notice after expiry of stipulated three weeks period sufficient to rebut presumption
Pacific & Orient Insurance Co Bhd v. Muniammah Muniandy
(Ramly Ali, Kang Hwee Gee, Jeffrey Tan JJCA) [2011] 1 CLJ 947 [CA]

Winding up - Petition - Whether company unable to pay debts - Whether a judgment under s. 96(1) Road Transport Act 1987 constitutes a debt for winding up purposes - Whether filing of appeal against judgment renders it a disputed debt - Companies Act 1965, s. 218
Pacific & Orient Insurance Co Bhd v. Muniammah Muniandy
(Ramly Ali, Kang Hwee Gee, Jeffrey Tan JJCA) [2011] 1 CLJ 947 [CA]

CRIMINAL LAW

Anti-Corruption Act 1997 - Section 19(2) - Making of statement which is false or intended to mislead - Accused making statement inconsistent with previous three statements made by him to ACA officers - Earlier statement stating that gratification sought was a ‘commission’ - Later statement stating that gratification sought was a ‘loan’ - Whether inconsistency proven - Whether prosecution case proven beyond reasonable doubt
Shahril Yahya v. PP
(Chong Siew Khim JC) [2011] 1 CLJ 1034 [HC]

Dangerous Drugs Act 1952 - Section 39B(1)(a) - Trafficking in cannabis - Appellant convicted and sentenced to death - Appeal against - Whether judge should have invoked s. 37(da)(vi) of the Dangerous Drugs Act 1952 to establish ingredient of trafficking - Ingredient of possession - Whether established - Miscarriage of justice - Whether occasioned - Whether decision of High Court to convict and sentence unimpeachable - Whether prosecution established case beyond reasonable doubt
Ismail Darmansyah v. PP
(Suriyadi Halim Omar, Hasan Lah, Ahmad Maarop JJCA) [2011] 1 CLJ 933 [CA]

CRIMINAL PROCEDURE

Charge - Defective charge - Whether duplicity and ambiguity in charge - Charge of making statement inconsistent with previous three statements made to ACA officers - Whether three distinct offences arose from three statements resulting in duplicity and ambiguity in charge - Whether all three statements were correlative and corresponded with same matter
Shahril Yahya v. PP
(Chong Siew Khim JC) [2011] 1 CLJ 1034 [HC]

Defence - Establishment of - Whether a mere afterthought - Charge of making statement inconsistent with previous three statements made to ACA officers - Accused imputing inducement or coercion by ACA officers only at defence stage - Line of defence not put to prosecution witnesses in cross-examination for them to agree or refute - Whether defence established
Shahril Yahya v. PP
(Chong Siew Khim JC) [2011] 1 CLJ 1034 [HC]

Sentencing - False statement - Allegation of - Making of statement which is false or intended to mislead an ACA officer under Anti-Corruption Act 1997, s. 19(2) - Accused sentenced to six months’ imprisonment and fine RM20,000 in default six months’ imprisonment - Whether sentence manifestly excessive - Deterrent effect to discourage witnesses from reneging on earlier statements made during course of investigations
Shahril Yahya v. PP
(Chong Siew Khim JC) [2011] 1 CLJ 1034 [HC]

EVIDENCE

Adverse inference - Evidence Act 1950, s. 114(g) - Failure to call witness - Whether witness was a necessary witness - Adverse inference only to be invoked for wrongful withholding or suppression of material witness
Mahadeva Krisanon v. Teja Singh
(Chew Soo Ho JC) [2011] 1 CLJ 1016 [HC]

Similar fact evidence - Admission of - Whether relevant and admissible under s. 15 Evidence Act 1950 - Solicitor discharging himself due to client’s failure to provide proper documents and instruction - Whether evidence of client’s previous solicitor discharging himself under similar circumstances was relevant and admissible
Mahadeva Krisanon v. Teja Singh
(Chew Soo Ho JC) [2011] 1 CLJ 1016 [HC]

Witness - Credibility - Assessment of credibility based on demeanour - Multiple material inconsistencies and contradictions - Demeanour of evasiveness in answering questions - Doubt as to plaintiff’s credibility as a truthful witness
Mahadeva Krisanon v. Teja Singh
(Chew Soo Ho JC) [2011] 1 CLJ 1016 [HC]

INSURANCE

Motor insurance - Liability - Insurer’s statutory liability to satisfy judgment obtained by third party against insured - Enforcement of judgment against insurer - Whether third party must first file recovery proceedings against insurer before enforcing judgment against insurer - Whether judgment may be enforced against insurer by way of winding up proceedings under Companies Act 1965 - Road Transport Act 1987, s. 96
Pacific & Orient Insurance Co Bhd v. Muniammah Muniandy
(Ramly Ali, Kang Hwee Gee, Jeffrey Tan JJCA) [2011] 1 CLJ 947 [CA]

LABOUR LAW

Employment - Dismissal, representation on - Decision of Minister not to refer representation to Industrial Court - Whether decision justified in view of reinstatement offer made - Industrial Relations Act 1967, s. 20 (3)
Sunny Khoo v. YB Menteri Sumber Manusia, Malaysia & Anor
(Aziah Ali J) [2011] 1 CLJ 1047 [HC]

LEGAL PROFESSION

Duty of care - Solicitors - Failure to file claim in court before expiry of limitation period - Whether solicitor had properly discharged himself before expiry of limitation - Whether breach of duty of care proved on balance of probabilities - Whether damages proved
Mahadeva Krisanon v. Teja Singh
(Chew Soo Ho JC) [2011] 1 CLJ 1016 [HC]

Retainer - Discharge as solicitors - Whether solicitors for accident claimant had properly discharged himself - Whether failure by claimant to provide proper documents and instruction to solicitor - Whether solicitor entitled to discharge himself - Whether notice of discharge properly given
Mahadeva Krisanon v. Teja Singh
(Chew Soo Ho JC) [2011] 1 CLJ 1016 [HC]

NATIVE LAW AND CUSTOM

Land dispute - Customary rights over land - Whether rights acquired by plaintiffs’ occupation of land - Whether mixed zone land - Whether state owned land - Whether rights defeated
Jimi Mantali & Ors v. Superintendent Of Lands & Surveys Samarahan Division & Anor
(Rhodzariah Bujang JC) [2011] 1 CLJ 1000 [HC]

TORT

Negligence - Professional negligence - Solicitors - Failure to file claim in court before expiry of limitation period - Whether solicitor had properly discharged himself before expiry of limitation - Whether negligence proved on balance of probabilities - Whether damages proved
Mahadeva Krisanon v. Teja Singh
(Chew Soo Ho JC) [2011] 1 CLJ 1016 [HC]

INDEKS PERKARA

KETERANGAN

Maklumat membawa kepada penemuan dadah - Kebolehterimaan - Hakim bicara menolak pengemukaan maklumat sebagai keterangan - Sama ada maklumat diperolehi secara ‘menindas dan melalui pujukan’ - Sama ada pernyataan dibuat oleh tertuduh sendiri - Akta Keterangan 1950, s. 27 - Hakim perbicaraan mempunyai budibicara untuk menolak keterangan jika diperolehi melalui kelakuan bertentangan dengan taraf-taraf kewajaran
PP lwn. Mazlan Mustaffa
(Hasan Lah, Ahmad Maarop, Sulaiman Daud HHMR) [2011] 1 CLJ 964 [CA]

UNDANG-UNDANG JENAYAH

Akta Dadah Berbahaya 1952 - Seksyen 39B(1)(a) - Elemen milikan - Pengetahuan - Dadah tidak ditemui dalam milikan atau kawalan fizikal responden - Rumah di mana dadah ditemui bukan di bawah milikan eksklusif responden - Sama ada responden harus dilepaskan dan dibebaskan
PP lwn. Mazlan Mustaffa
(Hasan Lah, Ahmad Maarop, Sulaiman Daud HHMR) [2011] 1 CLJ 964 [CA]

Kanun Keseksaan - Section 302 - Niat membunuh - Sama ada dibuktikan - Sama ada tindakan membunuh disebabkan bangkitan marah besar dan mengejut - Sama ada rayuan terhadap sabitan dan hukuman mati dibenarkan
Syed Adnan Syed Abdullah lwn. PP
(Suriyadi Halim Omar, Hasan Lah, Ahmad Maarop HHMR) [2011] 1 CLJ 977 [CA]

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CASE OF THE WEEK

ABDUL SALAM HUSIN v. MAJLIS ANGKATAN TENTERA & ANOR

ARMED FORCES: Appeal - Cancellation of commission as lieutenant - Right to be heard - Whether right available before Armed Forces Council makes recommendation to Yang di-Pertuan Agong - Armed Forces Act 1972, s. 9 - Federal Constitution, 135(1), (2)

CONSTITUTIONAL LAW: Fundamental liberties - Right to be heard before dismissal - Whether no such right accorded before dismissal for member of armed forces - Armed Forces Act 1972, s. 9 - Federal Constitution, 135(1), (2)


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