JUDGMENT

Leong Wai Hong JC:

Jurisprudence On Moneylending As An Offence

[1] The issue before me is about the illegality of a moneylending agreement under the Moneylenders Act 1951 (Act 400) [" MA 1951"] that has been the subject of many decisions from the courts of late in the search for a consistent approach that would balance the competing rights of a lender and a borrower in the wider context of what the public interest is that is intended to be protected by the 1951.

[2] What is the public interest that is protected by the MA 1951? In the recent decision of the Federal Court in Triple Zest Trading & Suppliers & Ors v. Applied Business Technologies Sdn Bhd; 2023 MarsdenLR 1313 ; ["Triple Zest"] Abdul Rahman Sebli CJ (Sabah and Sarawak) when declaring a loan agreement to lend RM800,000.00 to be repaid within one month together with a further RM800,000.00 as 'agreed profit' an illegal agreement in breach of the 1951 stated that the 1951 is to protect the public from the menace of illegal moneylenders aka 'Ah Long'. [See Held (1) and [23]].

[3] Salleh Abas FJ in Yeep Mooi v. Chu Chin Chua & Ors; [1981] 1 MLJ 14 FC also observed:

"We have on another occasion observed that the M