A subsequent purchaser's title is defeasible if they are complicit in fraud, and they must prove good faith and valuable consideration to claim indefeasibility under the National Land Code.

Introduction

[1] This is a land scam case appeal.

[2] For convenience and brevity, the parties will hereinafter be referred as follows:

I. Appellant: Bitara Angkasa;

II. 1st respondent: LC Cheok;

III. 2nd respondent: Charles Oh; and

IV. 3rd & 4th respondents collectively: Land Registry.

Background

[3] The land concerned is presently held under GRN 159181, Lot 14184, Pekat Lukut, Daerah Port Dickson, Negeri Sembilan (formerly HS(D) 21645, PT 2730, Pekan Lukut, Daerah Port Dickson, Negeri Sembilan Lot no 1493 and Folio no 45 ("Land").

[4] Originally, the Land was part of a larger plot of land held under Geran 17067, Lot 1493 which was then sub-divided into four pieces of land held under separate titles on 31 December 1999.

[5] Pursuant to a declaration of trust made on 24 May 1982, the original registered proprietor of the Land was in the name of LC Cheok and Cheok Yit Tuck (who passed away on 2 June 2009) as joint trustees. The title to the Land was held originally by Cheok Yit Tuck who later handed it to a solicitor, Seah Choon Chye for safekeeping.

[6] That notwithstanding, the ownership of the Land was on 15 February 2001 transferred to solely LC Cheok in his personal capacity.

[7] By a sale and purchase agreement dated 11 May 2011 ("SPA"), the Land was sold by LC Cheok to Charles Oh.

[8] On 18 May 2016, LC Cheok's authorized representative, Cheok Tuan Joo surrendered the old issue document of title of the Land to the Port Dickson land office in exchange for the new computerised issue document of title of the Land.

[9] Pursuant to the SPA, the Land was on 13 September 2016 transferred from LC Cheok to Charles Oh and registered accordingly.

[10] By another sale and purchase agreement dated 13 February 2017 ("2nd SPA"), the land was sold by Charles Oh to Bitara Angkasa.

[11] Pursuant to the 2nd SPA, the Land was on 26 September 2017 transferred from Charles Oh to Bitara Angkasa and registered accordingly.

[12] Upon the discovery of the sale of the Land to Bitara Angkasa, LC Cheok on 24 May 2018 lodged a private caveat on the Land.

[13] Additionally, the Land Registry also on 28 May 2018 lodged a registrar's caveat on the Land.

[14] Subsequently on 14 November 2018, LC Cheok commenced Seremban High Court Suit No NA-21NCVC-9-11/2018 ("Suit") to seek recovery of the Land. The reliefs sought in the Suit are as follows in the statement of claim:

46. Oleh demikian, Plaintif menuntut terhadap Defendan-defendan pengisytiharan-pengisytiharan perintah-perintah, arahan-arahan dan relief-relief seperti berikut:

(a) Suatu pengisytiharan bahawa Plaintif adalah pemilik berdaftar yang sah terhadap tanah yang dipegang di bawah Geran 159181, Lot 14184, Pekan Lukut, Daerah Port Dickson Negeri Sembilan;

(b) Suatu pengisytiharan bahawa pindahmilikan Geran 159181, Lot 14184, Pekan Lukut, Daerah Port Dickson, Negeri Sembilan ke atas nama Defendan ke-3 melalui No Perserahan 23690/2017 pada 26 September 2017 adalah batal dan tidak sah;

(c) Suatu perintah bahawa pindahmilikan Geran 159181, Lot 14184, Pekan Lukut, Daerah Port Dickson, Negeri Sembilan ke atas nama Defendan ke-3 melalui No Perserahan: 23690/2017 sebagai pemilik berdaftar dimansuhkan atau dibatalkan dengan serta merta oleh Defendan ke-4 dan/atau Defendan ke-5, iaitu Pendaftar Hakmilik, Negeri Sembilan, dan/atau Pengarah Tanah dan Galian Negeri Sembilan;

(d) Bahawa Defe