NUR ZULAIKHA BINTI DZULZAILI (menyaman melalui bapa dan wakil litigasinya, Dzulzaili Bin Muhammad Nor) v MEDI-CIRCLE SDN.BHD. (WA-37G-310-10/2024)

PUSAT RAWATAN ISLAM AZ-ZAHRAH SDN BHD (No. Syarikat: 200501013952 [690999-K])

HOSPITAL AZZAHRAH BANGI SDN BHD (No. Syarikat: 202101035884 [1436184-W])

AZ-ZAHRAH WELLNESS CENTRE SDN BHD (No. Syarikat: 201101015449 [943583-A])

DEFINITE INTEGRATION SDN BHD (No. Syarikat: 199601015740 [388090-H])

ENERGY BUILDER NETWORK SDN BHD (No. Syarikat: 201001000888 [885460-A])

INDUSTRI AZ-ZAHRAH SDN BHD (No. Syarikat: 201301028801 [1058631-U])

POLIKLINIK AZ-ZAHRAH BBB SDN BHD (No. Syarikat: 201301028885 [1058715-A])

POLIKLINIK AZ-ZAHRAH BTHO SDN BHD (No. Syarikat: 201101015454 [943588-X])

UMATY INDUSTRIES SDN BHD (No. Syarikat: 201401032839 [1108923-H])

POLIKLINIK AZ-ZAHRAH SDN BHD (No. Syarikat: 200201014162 [581825-H])

ANSILARI HIAZ SDN BHD (No. Syarikat: 202101005154 [1405453-W])

SAGA KONSULT SDN BHD (No. Syarikat: 201801013500 [1275516-U])

AMPAC HUMAN DEVELOPMENT SDN BHD (No. Syarikat: 201301000034 [1029871-W]) …PIHAK-PIHAK YANG DIGARNIS

The Judgment Creditor (JC) applied for and obtained a garnishee Order against Pusat Rawatan Islam Az-Zahrah Sdn Bhd (“the Garnishee”) from the learned Senior Assistant Registrar (SAR).

The Garnishee applies by way of appeal to a “judge in Chambers” to set aside the Garnishee Order. Brief facts

The JC had obtained Judgment in the Court of Appeal against MEDI-CIRCLE SDN BHD (“THE JD”) for a sum of RM6,031.971.66. In executing the judgment, the JC and JD entered into a settlement agreement.

Further to the settlement agreement the JC filed a Judgment Debtor Summons (“JDS”) against the JD and in the course of hearing the JDS, it was revealed that a number of companies including the Garnishees owed money to the JD.

The sum owed by the Garnishees was shown in the Management Account 2024 of the JD, the Statement of Account of the JD dated 31/8/2024 and the Financial and Annual Returns of the JD as at 31/12/2022.

Hence, the JC applied for a Garnishee order on the sum owed by the Garnishees to the JD by way of an application filed on 22/10/2024 under Order 49 Rule 1 and 2 of the Rules of Court 2012 (“the Rules”).

Order 49 Rule 1 and 2 states as follows: Attachment of debt due to judgment debtor (O. 49 r. 1)

Where a person (who is referred to as "the judgment creditor" in this Order) has obtained a judgment or order for the payment of money by some other person (who is referred to as "the judgment debtor" in this Order), not being a judgment or order for the payment of money into Court, and any other person within the jurisdiction (who is referred to as "the garnishee" in this Order), is indebted to the judgment debtor, the Court may, subject to the provisions of this Order and of any written law, order the garnishee to pay the judgment creditor the amount of any debt due or accruing due to the judgment debtor from the garnishee, or so much thereof as is sufficient to satisfy that judgment or order and the costs of the garnishee proceedings.

An order in Form 97 under this rule shall in the first instance be an order to show cause, specifying the time and place for further consideration of the matter, and in the meantime attaching such debt as mentioned in paragraph (1), or so much thereof as may be specified in the order, to answer the judgment or order mentioned in that paragraph and the costs of the garnishee proceedings.

In this Order, "any debt due or accruing due" includes a current or deposit account with a bank or other financial institution, whether or not the deposit has matured and notwithstanding any restriction as to the mode of withdrawal.

Application for order (O. 49 r. 2) An application for an order under rule 1 shall be made ex parte by a notice of application supported by an affidavit in Form 98-

identifying the judgment or order to be enforced and stating the amount remaining unpaid under it at the time of the application; and

stating that to the best of the information or belief of the deponent the garnishee (naming him) is within the jurisdiction and is indebted to the judgment debtor and stating the sources of the deponent's information or the grounds for his belief.

A material requirement for an application under this Rules is identifying the judgement and stating the amount remaining unpaid. In this case the judgement identified is the as Judgement of the High Court, the Court of Appeal and the Federal Court and the sum remaining unpaid is stated as RM8,121,915.41.

The identification of the Judgment is itself wrong as the JC must only rely on the final Judgment and in this case the final Judgment is the Judgment of the Court of Appeal.

The Court of Appeal had reduced the judgment sum from RM8,121,915.41 to RM6,031,971.66. Therefore, the amount remaining is wrongly stated in the application.

As there are discrepancies in identifying the Court Judgment as well the amount outstanding there is a material flaw in the application which the learned SAR should have considered before giving the Garnishee Order.

An added ground to consider in this case the amount owed by the Garnishees to the JD has not been fully ventilated as the JDS proceedings have yet to be completed. Therefore, taking the amount from unproven documents into account at this stage which the Garnishee has no opportunity to challenge is unacceptable and contrary to the law.

The appeal by the Garnishees against the order of the SAR is allowed and the Garnishee Order is therefore set aside with a cost of RM3,000 against the 1st garnishee and no order for cost against the other Garnishees. Dated: 2.12.2025 DATO’ HAJI AKHTAR BIN TAHIR Judge High Court of Malaya, Kuala Lumpur PARTIES For the Plaintiff: Nama Peguamcara: Tetuan Saranjit Singh Suite 51-3, Block D, Jaya One, No. 72A, Jalan Profesor Diraja Ungku Aziz (Jalan Universiti), 46200 Petaling Jaya, Selangor Darul Ehsan. Nama Peguamcara: Tetuan Shahabudin & Rozima B-6-5, Northpoint Officers, Mid Valley City No. 1, Medan Syed Putra Utara 59200 Kuala Lumpur For The Defendant: Nama Peguamcara: Tetuan Engku Aminuddin & Co 117-1A, Jalan TKS 1