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2024 MarsdenLR 2838

COURT OF APPEAL PUTRAJAYA
MOHD NAZLAN MOHD GHAZALI, JCA
IDEAL CITY DEVELOPMENT SDN BHD – Appellant
Versus
TRIBUNAL PENGURUSAN STRATA PUTRAJAYA WILAYAH PERSEKUTUAN & ANOR – Respondent
[Civil Appeal No: W-01(A)-2-01/2023]



Petitioner Advocates:Angie Tan Yi Chuyin,Izzati Yaacop ,Respondent Advocate: Chau Yen Shen

The Tribunal lacked jurisdiction to compel a developer to provide documents to an individual parcel owner, as such rights are vested in the Joint Management Body under the Strata Management Act 2013.

Headnote:(A) Strata Management Act 2013 - Sections 102, 105, 15, 31 - Appeal against High Court dismissal of judicial review application to quash Tribunal's award compelling developer to supply documents to parcel owner - Tribunal lacked jurisdiction to compel developer to furnish documents to individual owners post-Joint Management Body establishment - Court affirmed that rights to obtain documents rest with JMB, not individual owners. (Paras 18, 92, 101)

(B) Jurisdiction of Tribunal - Tribunal's jurisdiction defined by statute - Award must align with statutory provisions and promote community interests - Court emphasized the importance of statutory interpretation in maintaining coherence across provisions. (Paras 24, 26, 34)

Facts of the case:
The appellant, a developer, appealed against a Tribunal award compelling it to provide financial records and plans to the second respondent, a parcel owner. The Tribunal's award was challenged on grounds of procedural impropriety and lack of jurisdiction. (Paras 1-14)

Findings of Court:
The Tribunal acted beyond its jurisdiction by compelling the developer to supply documents to an individual parcel owner, which undermines the statutory framework of the Strata Management Act. (Paras 92-101)

Issues: Whether the Tribunal had jurisdiction to compel the developer to supply documents to an individual parcel owner post-JMB establishment, and whether the second respondent had the right to seek such documents. (Paras 18, 92)

Ratio Decidendi: The court held that the Tribunal's jurisdiction is limited by the Strata Management Act, and individual parcel owners do not have the right to compel document production from the developer; such rights reside with the JMB. (Paras 101)

Result: Appeal allowed, Tribunal's award quashed.

JUDGMENT

Mohd Nazlan Mohd Ghazali JCA:

Introduction

[1] This is an appeal against the decision of the High Court which dismissed a judicial review application to quash the award of the Strata Management Tribunal - which included compelling the appellant developer to supply certain documents and information to a parcel owner, the second respondent in this appeal.

[2] Having examined the appeal records and considered the submissions of parties, we unanimously decided to allow the appeal principally by reason of the lack of jurisdiction of the Tribunal to make such an award. This judgment contains the full grounds for our decision.

Key Background Facts

[3] The appellant is the developer of the development project known as Infinity Tower ("the Project"). The first respondent is the Strata Management Tribunal ("the Tribunal") established under s 102 of the Strata Management Act 2013 ("the SMA 2013"). The second respondent company is the purchaser of two parcel units in Infinity Tower.

[4] The second respondent had filed a complaint against the appellant at the Tribunal under reg 6 of the Strata Management (Strata Management Tribunal) Regulations 2015. This was initiated by the second respondent on the 18 June 2019, which was a date after the establishment of the Joint Management Board ("the JMB").

Award Of Tribunal & Judicial Review At The High Court

[5] The Tribunal delivered its award which allowed most of the claims made by the second respondent, which essentially ordered, inter alia, that first, the appellant developer to furnish financial records including a specified AmBank account bank statement from the date the account was opened until the account was closed in respect of the maintenance account and sinking funds account.

[6] Secondly, the award also allowed the second respondent access to the accounting software and electronic filing under CSS Decision Sdn Bhd which was used by the appellant since 8 October 2019 for forensic audit purposes. And thirdly, the appellant was also compelled to furnish all the plans approved by the local authorities for the lower ground related to ingress basement carpark in respect of the Project.

[7] This award was unsuccessfully challenged by the appellant by way of a judicial review. The award and the subsequent dismissal of the judicial review by the High Court on 6 December 2022 form the subject of this instant appeal.

Principal Grounds Of Appeal

[8] Before us, the appellant submitted the following two key grounds of appeal in its pursuit to quash the award of the Tribunal. The first concerned what the appellant described as procedural impropriety committed by the Tribunal which infringed the appellant's right to be heard.

[9] This, according to the appellant was because new issues, which were decisive to the outcome of the Tribunal proceeding were raised by the second respondent during the hearing proceedings at the Tribunal but that the appellant was not given the opportunity to properly respond to the said new issues.

[10] Secondly, the Tribunal was argued to have committed serious error of law and facts which rendered its award irrational or illegal. On this, the appellant repeated the alleged breach of natural justice which ought to render the award illegal.

[11] But relevant to this, in addition to the argument that the ownership, custody, care and control of the documents sought by the second respondent had in fact claimed by the appellant to have already been passed to the JMB, the appellant also advanced the argument - especially important in this appeal - that whilst the T ribunal has the power to grant an order to compel the appellant to supply documents, it has no jurisdiction to make such order in favour of any individual parcel owner, and in any event more so after the JMB has already been incorporated.

[12] It was argued by the appellant that the Fourth Schedule to the SMA 2013 must be read together with other provisions in the Act to determine the scope of the Tribunal's jurisd

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