GROUNDS OF JUDGMENT

1. The Second Defendant appealed to the Judge in Chambers against the decision to grant leave to enter Summary Judgment under Order 14 of the Rules of the High 1980 .

2. The Second Defendant, a former director of the First Defendant company, had executed a Guarantee And Indemnity By Individuals Or Company dated 16.12.1997 ("Guarantee Agreement") for a loan agreement dated 16.12.1997 ("Loan Agreement) granted by Bank Bumiputra-Commerce Berhad (hereinafter referred to as "BCB") to the First Defendant company. By virtue of the Guarantee and Indemnity dated 16.12.1997, the Second Defendant irrevocably and unconditionally, jointly and severally with the Third Defendant stood as surety towards the payment on demand all monies owed to the Plaintiff made under the credit facility and any additions and/or further facility given to the First Defendant.

3. The Second Defendant resigned from his directorship in 1998. No evidence was adduced in the affidavits that he had notified BCB of his resignation and that he was released of his obligations under the Guarantee Agreement (see EON Bank Bhd v. Kumpulan Sepang Utama Sdn Bhd & Ors , [2005] 3 MLJ 463).

4. The First Defendant co