33. Material litigations
(a) A subsidiary of the Group, SPB Pelita Suai Sdn. Bhd. (“SPBPS”) sued 6 individuals (“Defendants”),
seeking injunctive and declaratory relief against the Defendants for various acts of trespass over
2 parcels of Native Communal Reserve Land which the Defendants had given consent for
development into an oil palm estate. SPBPS also seeks to claim damages from the Defendants.
On 18 September 2013, the learned Judge decided as follows:
(i) There is no concluded contract between the Defendants and SPBPS;
(ii) It has not been shown by parties that the Defendants were members of the Penan community
for which the land were gazetted for their exclusive use;
(iii) That the gazette to allow SPBPS to deal with the native land has no retrospective effect;
(iv) Generally, parties have not proven their case against each other.
SPBPS has filed a Notice of Appeal against the whole of the learned Judge’s decision on
14 October 2013. The Defendants also filed a Notice of Appeal against the whole of the
learned Judge’s decision on the same date. SPBPS had filed and served the Record of Appeal on
2 December 2013. The Court of Appeal has fixed the hearing of the appeal on 16 April 2015.
The Directors, in consultation with SPBPS’s advocates, are of the opinion that SPBPS has basis /
grounds for the appeal to the Court of Appeal.
(b) On 26 June 2012, a subsidiary, Sarawak Plantation Agriculture Development Sdn. Bhd. (“SPAD”)
filed a Writ of Summons against a third party (“Defendant”) for damages and other reliefs for
breach of contract or alternatively refund of deposits of RM2,600,000 in respect of shares in
a company and RM7,200,000 in respect of shares in another company paid by SPAD under a
Sales and Purchase Agreement (“SPA”) signed in an earlier year.
The Defendant entered appearance and served a Memorandum of Appearance on SPAD on
13 July 2012. The Statement of Defence was served on SPAD on 22 August 2012.
This matter has been consolidated for trial with (c) and (d) below and jointly tried with (e) below.
On 8 August 2014, the Honorable Judge delivered the judgement as follows:
(i) The Defendant was ordered to pay SPAD the sum of RM2,600,000 with interest at 5% per
annum from 21 June 2004 until full settlement as interest for late payment;
(ii) The Defendant was ordered to pay SPAD the sum of RM7,200,000 with interest at 5%
per annum from 1 January 2001 until full settlement.
On 27 August 2014, a Notice of Appeal was filed by the Defendant against the judgement
dated 8 August 2014. SPAD filed a Notice of Cross Appeal on 28 October 2014. The Court
of Appeal has fixed the hearing of the appeal on 19 August 2015.
The Directors, in consultation with SPAD advocates, are of the opinion that the Company
has strong merits in the appeal.
Notes to the Financial Statements
SARAWAK PLANTATION BERHAD
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134
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Annual Report 2014
