Case Update: Mandatory for Bursa Malaysia to De-List a Wound Up Company

The Court of Appeal in Bursa Malaysia Securities Berhad v Mohd Afrizan bin Husain (grounds of judgment dated 2 July 2021) ruled that once a winding up order was made against a public listed company, Bursa Malaysia must de-list that company from the stock exchange.

The case dealt with interesting issues between the interplay of a liquidator’s role under the Companies Act and where the liquidated company is also subject to Bursa Malaysia’s Listing Requirement.

The Federal Court has granted leave to appeal against this Court of Appeal decision.

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Barrister Chambers Takes Out Persons Unknown Injunction against Hackers

The barrister chambers of 4 New Square have obtained a persons unknown injunction against the unknown hackers who engaged in a cyber-attack on them on 12 June 2021. See this article from the UK Law Society Gazette.

It seems that these unknown hackers managed to hack into the computer system. It may be a case where data was stolen and the hackers are threatening to release the stolen data. Continue reading

Case Update: Company Cannot Suspend Its Directors

The High Court in Dato’ Shun Leong Kwong & Anor v Menang Corporation (M) Bhd & Ors [2021] MLJU 870 (grounds of judgment dated 21 May 2021) dealt with, among others, the issue of whether the company could suspend its directors.  The Court also addressed issues relating to Board meetings and the requisition of the members’ meeting.

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Malaysia’s Covid-19 Act: Contractual Reliefs Extended to 31 December 2021

The COVID-19 Act’s contractual relief provisions have been further extended from 30 June 2021 to 31 December 2021 (see PU(A) 287/2021). The COVID-19 Act’s full name is the Temporary Measures for Reducing the Impact of Coronavirus Disease 2019 (COVID-19) Act 2020. As explained below, we may see very little practical application of the contractual relief provisions. Continue reading

Malaysia Chapter: INSOL-World Bank Group Global Guide Covid-19

The INSOL-World Bank Group has updated its Global Guide on measures adopted to support distressed businesses through the Covid-19 crisis. The publication is now updated to the changes as at April 2021. I had earlier posted up the earlier edition of the guide as at April 2020.

The Global Guide covers 80 countries, and how each country had tackled the Covid-19 crisis through governmental, regulatory and legal relief measures.

Nathalie Ker and I contributed the Malaysia chapter for the INSOL-World Bank Global Guide.

In comparison with global trends, Malaysia has not been quick enough to update laws to provide the full range of reliefs for distressed businesses.