Chin Fook Yen J:

This is an appeal by the 4th defendant from the decision of the Sr. Assist. Registrar (SAR) in allowing damages at RM205,600 consequent upon the removal of the defendants' caveat from the plaintiffs' pieces of land.

Briefly the facts are as follows. A company known as Chern Sing Furniture Sdn Bhd (company) was the registered proprietor of three pieces of land (the said lands). The 4th defendant was one of the directors, while the other defendants were the other directors in the company. On 26 December 1989 the DCB Bank Bhd, pursuant to a debenture executed by the company, appointed receivers and managers of the company. After the appointment, the receivers and managers on 23 August 1990, as vendors, entered into a sale and purchase agreement with the plaintiffs as purchasers over the said lands for the purchase price of RM2.57m. On knowing the sale, the defendants, including the 4th defendant, caused a caveat to be lodged against the said lands on 16 October 1990. The court subsequently ordered the removal of the caveat with damages to be assessed by the SAR and when so assessed be paid by