This is my oral judgement:(ex-tempore)

This is an appeal by the plaintiff against the decision of the Deputy Registrar in dismissing the plaintiff's application for summary judgment.

The plaintiff's claim in so far as his statement of claim shows, arose from an oral agreement for him to participate in the defendant's company which was at the material time involved in property development. The plaintiff had paid the defendant company the sum of RM1.6 million in furtherance of his intention to participate in that company. The participation did not materialize. The plaintiff now wants to recover back what he has paid in the defendant company.

The grounds for the appeal are as follows:

1. The defendant had expressly admitted receiving a sum of RM1.6 million from the plaintiff. See Exhibit "P-1" in Enclosure 6 plaintiff's supporting affidavit.

2. The defendant had agreed to return the sum of RM1.6 million by a contra of a bungalow lot owned by the defendant valued at RM1.773 million the balance of which had to be paid by the plaintiff. This is clear from the letter written by the plaintiff's solicitors dated 24 August 2005 and the reply received from the defendant dated 26.8.2005 Exhibit "P-1" Enclosure 6.

The letter from the plaintiff's solicitors read as follows:-

"OUR REF: OHL.GEN.LWL.2005

24 August 2005

MESSRS ANUAR HONG & ONG

Advocates & Solicitors

Entrances 5, C111, 1stFloor

Block C, Damansara Intan

No. 1 Jalan SS20/27

47400 Petaling Jaya

Selangor Darul Ehsan By Fax (03-77263735)/Post

Attn: Ms ALICIA

SALE AND PURCHASE AGREEMENT BETWEEN JANAVISTA SDN BHD ("VENDOR") AND LUM WENG LOY ("PURCHASER")

PROPERTY: LOT NO. 5, TYPE A, POLO VISTA HELD UNDER PT 8652 AND

HAVING BEARING POSTAL ADDRESS OF NO. 9 JALAN

KENYALANG 11/18, SECTION 10, KOTA DAMANSARA, PEKAN

BARU SG. BULOH, SELANGOR DARUL EHSAN

1. We refer to the above wherein we act for Lum Weng Loy. We refer further to the telephone conversation between your Ms Alicia and the undersigned on 23-8-2005.

2. As spoken, we are given to understand by our client that the aforesaid sale and purchase transaction is in fact an extension of and/or pursuant to a previous exercise between both our clients wherein our client has deposited with your client a certain amount of monies. Further to this exercise, the purchase price of the aforesaid property, as understood between our clients, is to be off-set from the sum so furnished thus far by our client to your client.

3. In the circumstances, simultaneous with the sale and purchaser transaction above, we have our client's instructions to request from your client a written statement of account in regard to the exact amount of monies that has since been furnished by our client to your client as set out above.

4. In the meanwhile, we shall peruse the Sale and Purchase Agreement and the House Construction Agreement and revert with our client's comments on the same.

Yours faithfully

Sgd.

HO KOK YEW

cc Client"

The reply read as follows:

"August 26, 2005.

Mr. Lum Weng Loy,

No.21,Jalan 21/24E,

Wangsa Maju,

53300. Kuala Lumpur.

Dear Sir,

RE: Purchase of one (1) unit of three (3) storey Bungalow at Lot No. 5, Type A, 'POLO

VISTA' held under PT. 8652 bearing the address of No. 9, Jalan Kenyalang 11/18,

Section 10, Kota Damansara, Pekang Sg. Buloh, Selangor Darul Ehsan.

Total Purchase Price - RM1,773,000-00 (Land - RM791,485-50)

(Construction - RM981,514.50)

SUB: Balance of the Purchase Price.

___________________________________________________________________________________________________________

We refer to the above subject.

The total Purchase Price of the said land and building is RM1,773,000.00 which comprises of Land Cost RM791,483-50 as reflected in the Sale and Purchase Agreement to be executed between Janavista Sdn. Bhd. and Lum Weng Loy and Construction Cost RM981,514-50 as reflected in the House Construction Agreement to be executed between Design Selection Construction Sdn. Bhd. (company No. 287626-D) and Lam Weng Loy of which you have paid R

Click Here to Read the rest of this document