We refer to the announcements issued on 25 February 2019, 6 March 2019, 9 April 2019, 18 April 2019, 3 May 2019, 23 May 2019, 3 June 2019, 21 June 2019, 31 July 2019, 20 August 2019 and 8 October 2019 in relation to the abovesaid Construction Court Suit and Civil Court Suit (“Announcements”). Unless otherwise stated, the terms used herein shall have the same meanings stated in the Announcements.

The Company wishes to announce the following updates based on the hearing held on 18 December 2019 for the Construction Court Suit.

Construction Court Suit

The case managements were held on 5 March 2019, 29 March 2019, 4 April 2019, 17 April 2019, 2 May 2019, 23 May 2019, 31 May 2019, 20 June 2019 as well as 20 August 2019 and the hearings were held on 31 May 2019, 19 June 2019, 7 October 2019 and 18 December 2019.

1. The 1st Defendant (i.e. Dekad Kaliber) had filed for Extension of time (“EOT”) to allow its out of time affidavit to be accepted. In order to save time and cost, the Plaintiff had decided to request for cost instead of replying affidavit before the judge at the date of the hearing of the matter. On 2 May 2019, the Plaintiff had no objection on the EOT subject to cost which will be ventilated before the Judge. The Court then directed for the application for EOT to be heard on the same date as the hearing of the Originating Summons (“OS”), i.e. on 20 August 2019. The said hearing had changed to case management due to change of Judge and the new Judge will hear the matter. The Court has directed the parties to file in further submissions in reply by 10 September 2019. Following the hearing on 7 October 2019, the Court has decided that the Letter of Undertaking given by the 1st Defendant is a sufficient undertaking under the law and creates a separate and independent obligation on the 1st Defendant to make direct payments to the Plaintiff. On 18 December 2019, the Court ruled that the 1st Defendant was liable for the undertaking and is to pay a cost amounting to RM5,000 with the interest of 5% from the date of the Order until full and final settlement to the Plaintiff due to its failure to provide a copy of the Novation Agreement when requested by the Plaintiff's solicitors.
2. The 2nd Defendant (i.e. Rimarisan) had filed for striking out and EOT applications to reply the Plaintiff’s affidavit. On 19 June 2019, the 2nd Defendant has withdrawn its striking out application and the Court has allowed 2nd Defendant to file an affidavit in reply to the Plaintiff’s OS with no order to cost.
3. By way of OS, the case management for Construction Court Suit was conducted on 31 May 2019. Considering the fact that the 2nd Defendant’s striking out and EOT application have not been heard, the Court was unable to fix a hearing date for the Plaintiff’s OS. On 16 August 2019, the hearing for the OS which was initially fixed on 20 August 2019 is now changed to case management due to change of Judge and the new Judge will hear the matter. The Court has directed the parties to file in further submissions in reply by 10 September 2019. Following the hearing on 7 October 2019, the Court has decided the Plaintiff’s application under Section 30 CIPAA was successful and the 2nd Defendant has a mandatory obligation to pay the Plaintiff. On 18 December 2019, the Court ruled that the 2nd Defendant, as the principal of Synergycentric, is liable by virtue of the Novation Agreement and that the 2nd Defendant has a mandatory obligation to pay the Adjudicated Sum of RM1,076,718.07 with interest of 5% from the date of the Order until full and final settlement. The 2nd Defendant’s solicitor has made an oral application to the Court for an interim stay of the Court's Order pending filing of its appeal and a formal application for stay of execution of the Court order. Further, the Court had allowed the 2nd Defendant’s application which will lapse on 20 January 2020 at 5 p.m. and fixed a Case Management on 17 January 2020 for the 2nd Defendant to update on the status of the filing of its appeal and formal application for stay of execution.

As at the date of this announcement, there are no material developments in relation to the Civil Court Suit. Any further material developments to the abovementioned Construction Court Suit and the Civil Court Suit will be announced as and when these developments materialise.

This announcement is dated 20 December 2019.