The High Court case of ReLeadmont Development Sdn Bhd  MLJU 1320;  1 LNS 1420 is the first decision on judicial management in Malaysia.
Judicial management orders were granted ex parte for two related companies, Leadmont Development Sdn Bhd (“Leadmont”) and its subsidiary Sierra Delima Sdn Bhd (“Sierra Delima”). The judicial management orders were to facilitate the rehabilitation of these two companies. The companies wanted to successfully complete their project, the Selayang StarCity Project. A secured creditor of the companies, Infra Segi Sdn Bhd (“Infra Segi”), intervened after the grant of the judicial management orders to set aside the orders.
The decision is important for setting out the background and statutory framework of the judicial management provisions in Malaysia. It spells out the test for the grant of a judicial management order. The Court ultimately exercised its inherent jurisdiction to set aside the earlier judicial management orders. Continue reading →
My co-speaker, Kenneth Foo, and I designed the course contents and the programme should be very enriching for the audience. We will using practical examples and real-life case studies to flesh out the issues we have come across. You can access the registration form here and with an early bird rate of RM800 if you sign up by 13 April 2018.
The long-awaited Companies Bill 2015 has received Royal Assent and has been gazetted as the Companies Act 2016.
Based on a prescription order under the National Language Act, the authoritative text of the Companies Act 2016 (and any subsidiary legislation made under the Act) is the English language text. The new Act has not been brought into force yet.[update: The gazette notice has been issued. Almost all the provisions of the new Act will be brought into force on 31 January 2017. I have now written about this and the 10 things to immediately prepare for.]
It has also been announced that the Companies Commission of Malaysia intends to bring the Companies Act 2016 into force in stages. This will start from next year onwards. I would imagine that the sections dealing with insolvency and the new corporate rescue mechanisms could be brought into force at the last stage. The priority may be to implement the new provisions on the incorporation of companies.
To read more about my thoughts on the Companies Bill 2015 and now, the new Companies Act 2016, see below: