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2017 MarsdenLR 1627

FEDERAL COURT PUTRAJAYA
KERUNTUM SDN BHD – Appellant
Versus
THE DIRECTOR OF FORESTS & ORS – Respondent
[Civil Appeal No: 01(f)-22-10-2014(Q)]



The evidential burden of proof resides solely with the party making allegations; failure to prove foundational elements of a case results in dismissal.

Headnote:In examining the application of s 2(2) of the Sarawak Forests Ordinance and the tort of misfeasance in public office, the Federal Court addressed the evidential burden of proof in relation to the revocation of a timber licence. The court found no evidence of political motivation behind the licence's revocation nor misfeasance by the defendants as the plaintiff failed to provide sufficient circumstantial evidence to prove malice. The appeal was ultimately deemed unmeritorious and dismissed.

Table of Content
1. establishment of relevant factual background. (Para 5 , 6)
Now, what the trial judge did in the present case is precisely what he ought not to have done. He expressed dissatisfaction with the appellant's evidence without asking himself that most vital question: does the first defendant/ respondent have a case to answer? This failure on the part of the trial judge is a serious non-direction amounting to a misdirection which occasioned a miscarriage of justice. The trial judge was at that stage not concerned with his belief of the appellant's evidence. She had given her explanation as to the discrepancies in the figures. And her evidence does not appear to be either inherently incredible or inherently improbable. In these circumstances it was the duty of the judge to have accepted her evidence as true in the absence of any evidence from the first respondent going the other way. He however failed to direct himself in this fashion thereby occasioning a serious miscarriage of justice.

[5] The second consequence is that the Court ought to have drawn an adverse inference against the first respondent on the amount of the appellant's contribution to the purchase price as well as the existence and the terms of the mutual understanding or agreement that she had with the first respondent. Where, as here, the first respondent being a party to the action provides no reasons as to why she did not care to give evidence the Court will normally draw an adverse inference. See Guthrie Sdn Bhd v. Trans-Malaysian Leasing Corp Bhd, [1991] 1 MLJ 33. See also Jaafar Shaari & Siti Jama Hashim v. Tan Lip Eng & Anor; [1997] 3 MLJ 693; [1997] 4 CLJ 509 where Peh Swee Chin FCJ said: 'The respondents had chosen to close the case at the end of the appellant's case. Although they were entitled to do so, they would be in peril of not having the evidence of their most important witness and of having an adverse inference drawn against them for failing to call such evidence should the circumstances demand it'. There are two other authorities that are of assistance on the point. In Wisniewski v. Central Manchester Health Authority [1998] PIQR 324, Brooke LJ when delivering the judgment of the Court of Appeal quoted from a number of authorities including the following passage from the speech of Lord Diplock in Herrington v. British Railways Board [1972] AC 877:

The appellants, who are a public corporation, elected to call no witnesses, thus depriving the Court of any positive evidence as to whether the condition of the fence and the adjacent terrain had been noticed by any particular servant of theirs or as to what he or any other of their servants either thought or did about it. This is a legitimate tactical move under our adversarial system of litigation. But a defendant who adopts it cannot complain if the Court draws from the facts which have been disclosed all reasonable inferences as to what are the facts which the defendant has chosen to withhold.

Brooke LJ then went on to say this:

From this line of authority I derive the following principles in the context of the present case:

(1) In certain circumstances a Court may be entitled to draw adverse inferences from the absence or silence of a witness who might be expected to have material evidence to give on an issue in an action.

(2) If a Court is willing to draw such inferences, they may go to strengthen the evidence adduced on that issue by the other party or to weaken the evidence, if any, adduced by the party who might reasonably have been expected to call the witness.

(3) There must, however, have been some evidence, however weak, adduced by the former on the matter in question before the Court is entitled to draw the desired inference: in other words, there must be a case to answer on that issue.

(4) If the reason for the witness's absence or silence satisfies the Court, then no such adverse inference may be drawn. If, on the other hand, there is some credible explanation given, even if it is

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