RK Nathan J:

Facts

At all material times the plaintiff was a practising advocate and solicitor. Between 1981 to 1986 he was a legal assistant attached to the firm of L.S. Chua & Co, having its principal legal practice at Batu Pahat, Johore. The said legal firm had a fair share of conveyancing work within its portfolio. It acted for a number of housing developers, banks and financial institutions. It therefore handled matters relating to the sale and purchase of landed properties and the consequent financial work arising therefrom such as loan documentation and land charges. As a legal assistant the plaintiff handled the firm's conveyancing portfolio. One Kim Hiong Realty Sdn Bhd (the developer) was the registered proprietor of land on which was erected a unit of double storey semi-detached house, held under C.T. No. 1022 Lot 4396, Mukim Simpang Kanan, Batu Pahat, Johore (the said property). At that time the said property was charged to Public Bank Berhad (PBB). On 21 April 1983 the developer entered into a sale and purchase agreement in respect of the said property with Lim Liang Song and Tan Goi Kew (the purchasers). The purchasers obtained a loan of RM85,000 (the loan) f