Recently, the High Court dismissed an interim injunction application by a pharmaceutical company (Borrower) to restrain its receivers and managers (R&Ms) from exercising their powers over the Borrower. The R&Ms were appointed by a bank (Bank) pursuant to debentures. The Bank was successfully represented by our Firm’s Disputes Resolution Partner, Syafinaz Vani together with associates, Elani Mazlan and Rakkshanaa Samasundaram. This alert will discuss the key aspects of the cas

‘ In the discharge and performance of their statutory duties, the liquidators are required to exercise a high standard of care, skill, diligence and competence commensurate with their professional standing. ’ Yeo Ann Kiat & 238 Ors v Hong Leong Bank Bhd & Anor [2016] 6 MLJ 499 (Court of Appeal) Liquidation is defined as a process where the assets of a company that has been wound up are seized and realised by the liquidator in order to pay off the debts of the company. Any sur

‘… there is logic and fairness in the legal position, which must weigh the interests of the bankrupt against those of his creditors.’ Stephen Jones [2017] UKFTT 567 Individuals who have been declared bankrupt may be able to breathe a sigh of relief with the legislation of the Insolvency (Amendment) Act 2023 (Amending Act), which came into force on 06.10.2023. The Amending Act broadens the categories of bankrupts who are insulated from objections by creditors where a certifica

Given the onerous and significant role played by a liquidator, it is rather common for a liquidator to be dragged to court answer various legal claims. Against this backdrop, the Federal Court in   N. Chanthiran A/L Nagappan v Kao Che Jen (Civil Appeal No. 02(i)-54-09/2021(Q)) recently clarified whether the leave of court is required before an action can be commenced against a liquidator. Facts STM Transformers Sdn Bhd (Company) was wound up by an order of the Kuching High Co