2011 MarsdenLR 5104

MOHD ZAWAWI SALLEH
MOHD ALIAS IBRAHIM – Appellant
Versus
RHB BANK BHD & ANOR – Respondent

Legislative provisions mandating Shariah Advisory Council decisions are valid; their binding nature does not infringe on judicial power or parties' right to be heard.

Headnote:(A) Central Bank of Malaysia Act 2009 - Sections 56 and 57 - Constitutional validity of provisions concerning binding rulings of Shariah Advisory Council - Questions posed regarding delegation of judicial power, right to be heard, and retrospective effect of the law. (Paras 1-3, 20, 39)

(B) Judicial Power - The court emphasized the need to protect the Federal Constitution, asserting that any encroachment must not be tolerated and legislative judgment should not affect judicial independence. (Paras 51-58)

(C) Right to be Heard - The plaintiff contended that the ruling's binding nature denied parties a chance to be heard, raising concerns about natural justice and procedural fairness. (Paras 32-34)

(D) Retrospective Effect - The court found that the Impugned Provisions did not have retrospective effect, thereby ensuring parties who entered contracts before the law was enacted were not bound by its provisions. (Paras 39-41)

Findings of Court:
The court ruled that the Impugned Provisions do not violate the Federal Constitution, validating the binding nature of the SAC’s rulings while emphasizing judicial power independence.

Result: Application dismissed.