Eusoffe Abdoolcader J:

This case posits and demonstrates yet once again the perils solicitors face in acting for more than one party in property transactions and in consequence constraining them not infrequently into adopting invidious and untenable partisan positions in the event of ensuing conflicts of interests.

We need only state the facts of this matter somewhat concisely in view of the grounds advanced in the presentation of this appeal. The respondent is a company providing finance for housing development in the country and was appointed by the Government of Malaysia in January 1977, to implement the Government's Low Cost Housing Finance Programme (`the programme') under which the respondent is to provide end-finance to developers of approved low cost housing projects and for that purpose to provide loans to the purchasers of such houses. For any housing project to qualify for financing under this programme, the selling price of each housing unit inclusive of the land cannot exceed RM20,000.

In June 1977 Arief Trading Sdn. Bhd. (`the developer'), applied to the respondent for end-finance for its housing project known as Tasek Jaya Baru, and in its application the de