JUDGMENT
Introduction
(1) This is the Applicant's application in encl 1 seeking declarations and restitution under ss 274, 236, 277, 305 and 306 of the Companies Act 1965 ("CA 1965"), and/or ss 461, 486, 510, 541 and 542 of the Companies Act 2016 ("CA 2016"), against the Respondents, the former joint and several liquidators of SAP Holdings Berhad ("SAP").
[2] The complaint concerns 77 withdrawals totalling RM6,257,263.79 made by the Respondents between December 2015 and June 2019, recorded as "Liquidators' fee including 6% GST" or "Liquidators' fee", and paid to Ler Lum Advisory Services Sdn Bhd ("LLASSB"), a related company in which both Respondents were directors and shareholders.
[3] These payments were made without approval by a Committee of Inspection ("COI"), without any creditors' resolution, and without court sanction. The Applicant contends that this contravened s 232(3) CA 1965/s 479(2) CA 2016 and amounts to misfeasance.
[4] Having considered the evidence and submissions, I am satisfied that the application is well-founded and ought to be allowed.
Background Facts
[5] SAP was wound up on 7 August 2015. The Respondents were appointed liquidators pursuant to the Winding-Up Order. Their appointment continued until 31 May 2019, when they were removed and replaced by the Official Receiver.