GOPAL SRI RAM JCA (delivering the judgment of the court): This is an appeal against the judgment of the High Court at Ipoh, dismissing with costs the appellants claim against the respondent for several declarations, the cumulative effect of which would be to impugn the title of the respondent to the subject land. The facts of this case, made complex by the machinations of the first appellant, have been sufficiently analysed and admirably dealt with by the learned judge who tried the action. And we must say at once that he has been extremely kind in his review of the first appellants conduct. We entertain no difficulty in affirming his findings based on the veracity of the witnesses who testified before him and with his conclusion that the appellants ought to fail in the action.

But for the learned judges observations upon s 340(4)(b) of the National Land Code 1965 (the Code) which, we must say in all fairness to him, did not affect his decision, written reasons are not called for in this case. However, his judgment has since been reported in Krishnadas & Ors v Maniyam [1993] 3 MLJ 465 . And it has been referred to in at least one work upon the subject. See Teo Keang Sood and Khaw Lake Tee Land Law in Malaysia: Cases and Commentary (2nd Ed) at p 185. In these circumstances, and since our views do not coincide with those of the learned judge upon the meaning of the provision in question, a written judgment from this court has become necessary.

In the judgment appealed from, after setting out s 340 of the Code which reads as follows:

340(1) The title or interest of any person or body for the time being

registered as proprietor of any land, or in whose name any lease,

charge or easement is for the time being registered, shall,

subject to the following provisions of this section, be

indefeasible.

(2) The title or interest of any such person or body shall not be

indefeasible --

(a) in any case of fraud or misrepresentation to which the

person or body, or any agent of the person or body, was a

party or privy; or

(b) where registration was obtained by forgery, or by means of

an insufficient or void instrument; or

(c) where the title or interest was unlawfully acquired by the

person or body in the purported exercise of any power or

authority conferred by any written law.

(3) Where the title or interest of any person or body is defeasible

by reason of any of the circumstances specified in subsection (2)

--

(a) it shall be liable to be set aside in the hands of any

person or body to whom it may subsequently be transferred;

and

(b) any interest subsequently granted thereout shall be liable

to be set aside in the hands of any person or body in whom

it is for the time being vested:

Provided that nothing in this subsection shall affect any title

or interest acquired by any purchaser in good faith and for

valuable consideration, or by any person or body claiming through

or under such a purchaser.

(4) Nothing in this section shall prejudice or prevent --

(a) the exercise in respect of any land or interest of any

power of forfeiture or sale conferred by this Act or any

other written law for the time being in force, or any power

of avoidance conferred by any such law; or

(b) the determination of any title or interest by operation of

law.

the learned judge said (at p 473):

In my view, it is quite impossible to regard para (b) [the reference

here is to s 340(4)(b)] as another such exception to the

indefeasibil