Material Litigation

We refer to our announcements on 18 October 2018, 19 October 2018 and 17 July 2020 in relation to the litigation involving Boustead Holdings Berhad (“BHB”) and its subsidiary Bakti Wira Development Sdn Bhd (“Bakti Wira”).

BHB and its wholly-owned subsidiary Bakti Wira were on 16.10.2018 and 18.10.2018 respectively served with a Writ of Summons and Statement of Claim by one Deepak Jaikishan A/L Jaikishan Rewachand (“Plaintiff”). BHB was named the Third Defendant and Bakti Wira the Fourth Defendant in the Writ of Summons and Statement of Claim.

In the Statement of Claim, the Plaintiff raised causes of action in the tort of conspiracy, the tort of conspiracy to defraud, tort of conversion and undue influence by the Defendants in respect of shares in a company called Astacanggih Sdn Bhd and certain lands that the Plaintiff alleged Astacanggih had a right to purchase.   The Plaintiff claims the following relief against the Defendants jointly and/or severally in the Statement of Claim:-

1. General damages of RM600 million;
2. Exemplary damages of RM50 million;
3. Aggravated damages of RM26 million;
4. Interest at 5% per annum on the each of the damages above to be calculated from the date of filing of the Writ of Summons until full settlement;
5. Special damages equivalent to 80% of the current market value of certain lands;
6. Return of the shares in a company Astacanggih Sdn Bhd that were acquired by BHB and Bakti Wira;
7. Declaration that certain past transactions are null and void; and
8. Declaration that the Plaintiff’s rights over certain lands be returned to him.

BHB and Bakti Wira jointly filed an application on 17.12.2018 to strike out the Plaintiff’s Writ of Summons and Statement of Claim. The High Court at Kuala Lumpur allowed BHB and Bakti Wira’s striking out application on 17.7.2020.

The Plaintiff filed an appeal to the Court of Appeal against the High Court’s decision on 17.7.2020. The hearing of the said appeal has been fixed on 8.10.2021. On 25.3.2021, the Plaintiff filed a Notice of Motion dated 25.3.2021 (the sealed copy of which was received by BHB’s and Bakti Wira’s solicitors on 27.3.2021)  for an Interim Injunction against BHB and Bakti Wira to:

1. restrain BHB and Bakti Wira from dealing with the lands which are part of the subject matter in this litigation; and
2. to restrain Bakti Wira from dealing with its shares held in Astacanggih Sdn Bhd.

The hearing of this Notice of Motion at the Court of Appeal is fixed on 21.5.2021. Based on the opinion of the solicitors for BHB and Bakti Wira, the Directors of both BHB and Bakti Wira believe that there is a good chance that both the Plaintiff’s appeal and Notice of Motion will not succeed.

Further announcements will be made as the appeal progresses.

This announcement is dated 29 March 2021.