JRI RESOURCES SDN BHD v. KUWAIT FINANCE HOUSE (MALAYSIA) BERHAD; PRESIDENT OF ASSOCIATION OF ISLAMIC BANKING INSTITUTIONS MALAYSIA & ANOR (INTERVENERS)

[2019] 3 MLRA 87
Federal Court Putrajaya
Richard Malanjum CJ, Ahmad Maarop PCA, Zaharah Ibrahim CJM, David Wong Dak Wah CJSS, Ramly Ali, Azahar Mohamed, Alizatul Khair Osman Khairuddin, Mohd Zawawi Salleh FCJJ, Idrus Harun JCA
[Civil Appeal No: 06(i)-06-07-2017(B)]
Richard Malanjum CJ, Ahmad Maarop PCA, Zaharah Ibrahim CJM, David Wong Dak Wah CJSS, Ramly Ali, Azahar Mohamed, Alizatul Khair Osman Khairuddin, Mohd Zawawi Salleh FCJJ, Idrus Harun JCA

JUDGMENT

Mohd Zawawi Salleh FCJ (majority judgment):

Introduction

[1] This matter came before this court by way of a constitutional reference by the High Court at Kuala Lumpur pursuant to s 84 of the Courts of Judicature Act 1964 ("Act 91") and art 128(2) of the Federal Constitution ("FC").

[2] The constitutional questions reserved for determination by this court are as follows:

(1) Whether ss 56 and 57 of the Central Bank of Malaysia Act 2009 are in breach of the Federal Constitution and unconstitutional by reason of:

(a) Contravening art 74 of the Federal Constitution read together with the Ninth Schedule of the Federal Constitution for the Shariah Advisory Council ("SAC") having been vested with the power to ascertain Islamic law;

(b) Contravening Part IX of the Federal Constitution for the said ss having the effect of vesting judicial power in the SAC; or

(c) Contravening art 8 of the Federal Constitution for the said ss having the effect of denying a litigant substantive due process.

(2) If the above is answered in the negative:

(a) Whether the court is nonetheless entitled to accept or consider the expert evidence in respect of any questions concerning a Shariah matter relating to Islamic finance business.

[3] The questions raised on behalf of the applicant are of great public importance, especially to Islamic banking and finance industry in Malaysia.

The Parties

[4] The applicant, JRI Resources Sdn Bhd, is a company incorporated in Malaysia with its address at No. 46-A, Jalan Ara Satu, Taman Rinting, 81750 Masai, Johor Darul Takzim, and was at all material times a customer of the respondent. The applicant is the 1st defendant in the proceedings before the High Court.

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