Mohd Zawawi Salleh JC:

[1] This application under O. 59 r. 36 of the Rules of High Court 1980 (the RHC) was brought before me by the proposed intervener to review the learned deputy registrar's decision under r. 7(a) of the Johor Auction Sales Enactment 1932 ('the Enactment').

[2] The learned deputy registrar had taxed the Auctioneer's Bill of Cost on 4 January 2008 and had allowed a sum of RM118,007.50 as his remuneration for an auction scheduled on 12 July 2007 that was aborted by an order of the High Court.

[3] After hearing the parties, I allowed the application.

[4] By way of background, it is material to state the facts which gave rise to the present application. The undisputed facts are as follows:

4.1 Chang Keok Hai ('the auctioneer') was appointed for the auction of properties ordered to be sold by the High Court of Johor Bahru under the following foreclosure proceedings:

(a) Johor Bahru High Court Originating Summons No. 24-254-2007: Southern Bank Berhad v. World Nova Sdn Bhd ('Suit 254'); and

(b) Johor Bahru High Court Originating Summons No: 24-2202-2002: Southern Bank Berhad v. World Nova Sdn. Bhd ('Suit 2202').

4.2 The auction was scheduled on 12 July 2007;

4.3 Prior to 12 July 2007, there were several postponements of the auctions scheduled. These auctions were not postponed due to any order of the High Court. The auctioneer claimed and was paid his commission as determined according to r. 7(b) of the Enactment;

4.4 The last auction was scheduled on 12 July 2007. However, the said auction was aborted on the order of Jeffrey Tan J on 11 July 2007 for the following reasons:

(a) Pang Ming Wa, the proposed intervener, has filed the following application:

For Suit 254:

(i) Application to intervene (encl. 43);

(ii) Application to set aside order for sale dated 6 August 2003 (encl. 44); and

(iii) Application to stay order dated 6 August 2003.

For Suit 2552:

(i) Application to intervene (encl. 20);

(ii) Application to set aside order dated 18 March 2004 (encl. 21); and

(iii) Application to stay order dated 18 March 2004.

(b) The application was scheduled for hearing before Jeffrey Tan J on 11 July 2007. As the applications were not served on the chargor (World Nova Sdn Bhd), as it was already wound up, the learned judge directed that the cause papers be served on the official receiver instead.

(c) The learned judge was prepared to postpone the auction on 12 July 2007 provided the issue of costs can be resolved;

(d) It was agreed by the parties on 11 July 2007 that:

(i) The proposed intervener will deposit RM121,497.50 with the chargor's solicitors by 10 am of 12 July 2007 to secure the auctioneer's fees and expenses thrown away for the aborted auction; and

(ii) The proposed intervener will pay RM7,000 as cost of the day by the next hearing date.

4.5 The learned judge ordered the auction 12 July 2007 to be aborted on the terms agreed. The agreed sums were deposited and paid and the auction on 12 July 2007 was aborted;

4.6 The chargor and chargee eventually reached a settlement over the subject matter of the claims;

4.7 The auctioneer had done all things necessary for the said auction including to the following:

(i) Preparing the proclamation in four languages;

(ii) Distribution of the proclamation of sale to residents, bankers, solicitors and to public at large;

(iii) Posting the proclamation of sale at the places where the properties are located;

(iv) Posting the proclamation of sale at the Johor Bahru High Court notice board; and

(v) Advertising the proclamation of sale in 'The Star' and 'Sin Chew Jit Poh' newspapers on 14 June 2007.

4.8 The said auction involved seven pieces of properties at a total reserve price of RM46,980,000;

4.9 The auctioneer submitted a Bill of Cost dated 16 July 2007. 3 (three) main items were claimed:

(a) RM117,507,500 - fee claimed pursuant to r. 5 of the Enactment;

(b) RM851 - out of pocket expenses; and

(c) RM804 - for disbursements.

4.10 The auctioneer enclosed the bill of costs