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JUDGMENT

Mah Weng Kwai JCA:

Brief Facts

[1] On 19 April 1979 the respondent granted a revocable and general Power of Attorney (the first PA) to one Hassan bin Othman (Hassan).

[2] Pursuant to cl 6 of the first PA, Hassan as an attorney could let, sell, lease, subdivide, surrender or amalgamate any of the respondent's lands; and pursuant to cl 13, Hassan could 'purchase and accept transfer of lands, mines, houses and movable and immovable properties and for that purpose to sign all necessary agreements, transfers and other documents' on behalf of the respondent.

[3] About nine years later, on 10 December 1988, on an application by Hassan, the State Director of Lands and Mines, Kelantan, granted a 10-year "Pajakan Melombong" (Mining Lease) to the respondent.

[4] On 30 November 1999 some 11 years after the Mining Lease had been granted to the respondent, Hassan granted a special Power of Attorney (the second PA) to one Mustapha bin Mohamed (Mustapha) to act on behalf of the respondent in matters in respect of the Mining Lease. Clause 13 of the second PA provided that it was "irrevocable".

[5] In February 2000 Mustapha under the authority of the second PA entered into a Memorandum

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