Chong Siew Fai J

On 19 August 1986 the plaintiff obtained judgment against the defendant in the sum of $40,145.45 with interest at 8% pa and costs of $350.

On 6 October 1986, on the ex parte application of the plaintiff, an order was made imposing a charge with the payment of the judgment sum on 40,981 ordinary shares in Kion Hoong Organization Sdn Bhd ('the shares') registered in the name of the judgment debtor Khiing Sie Khuo.

On 16 February 1987, on the application of Syarikat Kion Hoong Cooking Oil Mills Sdn Bhd (the intervener), the intervener was allowed to intervene and the intervener, pursuant to order of court, filed a summons dated 8 April 1987 seeking to discharge the charging order made on 6 October 1986 relating to the shares or, alternatively, to rank the charging order subject to the rights and interest of the intervener by reason of a pledge in writing dated 16 January 1986 in favour of the intervener. The dispute, it will be noted, is between the plaintiff/judgment creditor and the intervener.

By consent the issues requiring determination are:

(i) Whether at the date of the charging order, ie 6 October 1986, the intervener had a beneficial interest by way of securi