Muhammad Kamil Awang J:

The plaintiff obtained a judgment against the defendant in Singapore High Court for a sum of USD5 million dated 28 July 1998. This judgment was registered at the High Court Sabah & Sarawak, Kuching, and a notice thereof was served on the defendant on 9 June 1999.

This is the defendant's application to set aside the registration of the foreign judgment on the following grounds:

(a) that the enforcement of judgment is contrary to public policy in Malaysia insofar as the defendant had not obtained prior written permission of the Controller of Foreign Exchange who is the Governor of Bank Negara, contrary to the provision of the Exchange Control Act 1953 , for the opening of account with the plaintiffs and neither the plaintiff nor the defendant obtained prior written permission of the said controller of Foreign Exchange for the credit facilities granted by the plaintiffs to the defendant; and (b) that the opening of the account and the granting of banking facilities were illegal being contrary to the provisions of the Exchange Control Act 1953 and the respective notices issued thereunder and contrary to public policy of Malaysia.

In the instant c