HIGH COURT MALAYA, JOHOR BAHRU
SALING LAU BEE CHIANG & ORS – Appellant
Versus
KANAWAGI SEPERUMANIAM & ORS – Respondent
[Civil Suit No: (MT -1) 22-228-2009]
JUDGMENT
Vernon Ong Lam Kiat JC:
[1] There are four applications before the court. Enclosure 6 is the plaintiff's application for the appointment of a receiver and manager to receive and manage the assets of the Linggiu Valley Orang Asli (Jakuns) Trust ('the trust') and the sums awarded under a judgment awarded in Johor Bahru High court O.S. Suit No. 24.828.1994 as varied by order of the court of Appeal in Civil Appeal No. J-01-65-1997 ('the judgment sum'). Enclosure 7 is the plaintiffs' application for an injunction to restrain the defendants from disposing of, dissipating or diminishing the assets constituting the trust and the judgment sum. Enclosure 15 is the defendants' application to set aside the R&M Order and the Injunction Order obtained ex parte . Enclosure 16 is the defendant's application for a stay of the ex parte R&M Order and the Injunction Order.
Background Facts
[2] The plaintiffs are Orang Asli who are beneficiaries of a trust and trust funds. In or about 1994, Orang Asli living in the villages of Kampung Sayong Pinang, Kampung Pasir Assam (Pasar Intan) and Kampung Semmangar Dalam (in the Sungai Linggiu catchment area) were deprived of their land by the Johore State Government for the purposes of the construction of a dam through an agreement with the Government of Singapore. 52 of the Orang Asli ('the 52 Orang Asli') decided to sue the Johore State Government for compensation.
[3] The 1st defendant, through his law firm, the 4th defendant, acted for the 52 Orang Asli in their claim for compensation in Johor Bahru High court Originating Summons Suit No. 24.828.1994 ('the JB 828 Suit'). The 52 Orang Asli obtained judgment on 19 December 1995 for the sum of RM26,500,000 ('the Compensation'). The Johor State Government's appeal was dismissed by the court of Appeal on 19 November 1997. The matter was remitted to the Johor Bahru High court to decide in the JB 828 Suit on the terms and mechanics of the payment of the compensation to the 52 Orang Asli.
[4] On 5 June 2000 the Johor Bahru High court made an order ('the trust order') inter alia as follows:
(i) the Johor State Government pay the Compensation together with interest accrued amounting to RM38,554,111.92 ('the judgment sum');
(ii) RM22m from the judgment sum be paid into a trust account and a trust be established under the name of the Linggiu Valley Orang Asli (Jakuns) Trust ('the trust');
(iii) that Adong bin Kuway (Batin) (the 2nd defendant), Abdul Rahman bin Abdullah (Batin, now deceased) and the 1st defendant be appointed the first trustees, and who shall execute the trust deed;
(iv) the Director General of Jabatan Hal Ehwal Orang Asli, Malaysia, Kuala Lumpur for the time being shall be appointed the additional trustee of the trust;
(v) the balance of the judgment sum (amounting to RM16,554,111.92) was to be handed to the 4th defendant who shall distribute the said sum to the 52 Orang Asli after deduction and payment of legal fees, costs, consultation fees and expenses incurred; and
(vi) the trustees do have liberty to apply in relation to the implementation of the trust and the performance of their duties under the trust.
[5] A trust deed dated 5 June 2000 ('the trust deed') was created governing the terms relating to RM22m. On 5 July 2000 the Johor State Government paid RM22m to the 4th defendant. On 13 July 2000 the Johor State Government paid RM16,554,111.92 to the 4th defendant.
[6] The plaintiffs are beneficiaries to the trust. They are suing the defendants for the following:
(a) as against the 1st and 2nd defendants, for various breaches of trust;
(b) as against the 1st and 4th defendant, for breach of the constructive trust relating to the balance sum of RM16,554,111.92;
(c) as against the 3rd defendant, for knowing receipt of trust funds.
[7] On 17 April 2009 the court granted ex parte orders in respect of encl. 6 and 7. On 5 May 2009, after hearing submissions of parties the court granted ad interim orders in respect of encls. 6 and 7 until the disposal of the
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