Ramly Ali J:

[1] By his statement of claim, the plaintiff is claiming for damages for defamation arising from a libellous statement which has been published against him by the defendant. In particular, the plaintiff states that by a report dated 29 April 1997 the defendant published statements to Audio One Entertainment Sdn Bhd which by its natural and ordinary meaning and/or innuendo are false and libellous in nature thereby causing injury to the plaintiff's reputation.

[2] The defendant's defence is premised on the grounds that the words are not defamatory and the words are true in substance and in fact.

Facts Of The Case

[3] The plaintiff is, at all material times, a businessman and director of several companies known as the Audio One Groups of Companies. The plaintiff alleged that by a credit check report dated 29 April 1997 undertaken by the defendant at the request of a customer of the defendant, the defendant had reported, printed and published or caused to be reported, printed and published defamatory words of and concerning the plaintiff. The report states, inter alia, as follows:

Credit Search Report Dated 29 April 1997 Done by: Sabila

IMPORTANT: This report is confidential. Reproduction is prohibited. The report only indicates the information was published in the relevant source. It is NOT intended as confirmation of the "current status" of the case. For the case's current status, your further probe with the relevant parties is required...

Information As Per CTOS Database Are As Follows:

Bankruptcy-Creditor's Petition Issued Special Remark:

Name: Soh Chun Seng

I/C No: 4695233/541023106353

Remark:

Exparte: American Express - Jln Sultan Ismail, KL

Bankruptcy No D5-29-5830-92

Notice Date:

High Court Kuala Lumpur

Petition Date: 301092 Star 010493

Hearing Date: 040593

Order Date:

Annualmnt/Disc:

Amount:

Solctr: Isharidah Ho Chong & Menon

Lot 903, 9th Floor

Wisma HLA

Jalan Raja Chulan

50200 Kuala Lumpur

Ref: IHCM/A3/92/NA/NA

TEL: 03-2420022/2447975

[4] The plaintiff contends that the report published by the defendant has caused injury to the plaintiff's reputation as it infers to anyone who has read the report that:

(a) The plaintiff is an undischarged bankrupt;

(b) The plaintiff has been adjudicated a bankrupt;

(c) The plaintiff is an insincere person and is untrustworthy;

(d) The plaintiff is not fit to be a businessman and/or is not an honest and financially sound director; and

(e) By reason of the matters state in (a) (b) (c) and (d) above, the companies under the management of the plaintiff qua director are neither stable nor sound.

[5] The plaintiff pleads that the said credit check report does not reflect the true situation in which the Kuala Lumpur High Court had, on 23 September 1992, in the Bankruptcy Case No: D5-29-5830-92 ordered that the creditor's petition dated 30 October 1992 presented against the plaintiff (which was the subject matter of the contents of the said report) be struck off.

[6] By way of support for his claim to be entitled to exemplary or aggravated damages, the plaintiff complained that his application to Citibank for a Credit Card in or about December 1993 was rejected on account of the publication by the defendant of the credit check report. Further, the plaintiff also complains that an application by Audio One Entertainment Sdn Bhd for an industrial line-purchase facility of RM3 million to Hong Leong Finance Bhd on or before December 1996, was not considered an account of the same publication by the defendant. The plaintiff further pleads that by a letter dated 14 May 1997 the solicitors for the plaintiff had written to the defendant requesting that the information relating to the plaintiff in the credit check report be deleted, the defendant apologise and pay damages; but the defendant failed, neglected and refused to do so.

[7] The defendant, on the other hand, was incorporated on 13 October 1994 as Crisis Management Sdn Bhd and commenced its operation on 1 April 1995. The defendant then changed its name to CTOS-e