The Board of Directors of IWCITY wishes to inform that the Company and Tebrau Bay Constructions Sdn Bhd (“TBCSB”), a wholly-owned subsidiary of the Company, had on 17 November 2020, been served with a Writ and Statement of Claim dated 3 November 2020 by Tenaga Nasional Berhad (“the Plaintiff”).

1.  Date of presentation of the Writ and Statement of Claim

Both the Writ and Statement of Claim dated 3 November 2020 were served on the Company and TBCSB at its business office on 17 November 2020.

2.  Particulars of the claims under the Writ and Statement of Claim

The Plaintiff’s claims against the Company and TBCSB pursuant to Writ and Statement of Claim are as follows:-

(a)  A declaration under Section 41 of Specific Relief Act 1950 that TBCSB and the Company and/or their workers and/or agents and/or contractors has committed an act of trespass and continuous trespass on right-of-way and/or easement of 230KV Plentong – Woodlands Avenue 8 No.1 & No.2; 

(b)  A perpetual injunction order under Section 52 of Specific Relief Act 1950 against TBCSB and the Company and/or their workers and/or agents and/or contractors to prohibit or restrict them from entering and/or staying and/or causing any damages to the Plaintiff’s property and/or carrying out any activities without Plaintiff’s permission on the right-of-way and/or easement of 230KV Plentong – Woodlands Avenue 8 No.1 & No.2;

(c)  A perpetual injunction order under Section 52 of the Specific Relief Act 1950 against TBCSB and the Company and/or any of their workers and/or agents and/or contractors prohibiting them from interfering and/or obstructing Plaintiff’s legal rights as the holder of right-of-way/easement of 230KV Plentong – Woodlands Avenue 8 No.1 & No.2;

(d)  A mandatory injunction order under Section 53 of the Specific Relief Act 1950 against TBCSB and the Company and/or their workers and/or agents and/or contractors be prohibited and/or restricted from entering and/or staying on and/or causing any damages to the Plaintiff’s property and/or carrying out any activities without the Plaintiff’s permission on the right-of-way and/or easement of Plentong – Woodlands Avenue 8 No.1 & No.2;

(e)  A mandatory injunction order under Section 53 of the Specific Relief Act 1950 against TBCSB and the Company and/or any of their workers and/or agents and/or contractors be prohibited from interfering/ disturbing and/or obstructing Plaintiff’s legal rights as the holder of right-of way/easement of 230KV Plentong – Woodlands Avenue 8 No.1 & No.2;

(f)  Damages for the sum of RM76,564,759.77;

(g)  Alternatively, damages of RM76,564,759.77 subject to all payment according to the schedule made by the Plaintiff as assessed by this Honourable Court;

(h)  General damages against all losses suffered by the Plaintiff to be assessed by this Court together with interest at the rate of 5% per annum from the filing date of this suit until the date of full settlement;

(i)  Economic loss damage to be assessed by this Court together with the interest at the rate of 5% per annum from the filing date of this suit until the date of full settlement;

(j)  Damages for inconvenience, hardship and distress caused by TBCSB and the Company;

(k)  Pre-judgment interest at the rate of 8% per annum from the date of the Plaintiff’s cause of action in respect of the damage to the said cables on 5 November 2014 until the date of judgment in accordance to the Civil Law Act 1956;

(l)  Interest at the rate of 5% per annum calculated from the date of this Suit until the date of full settlement;

(m)  Aggravated and Exemplary damages;

(n)  Cost; and

(o)  Any other reliefs and/or order which this Court deems fit and proper.

3.  Details of the circumstances leading to the filing of the Writ and Statement of Claim against the Company and TBCSB

The circumstances leading to the filing of the Writ of Summon and Statement of Claim against the Company and/or TBCSB are in respect of reclamation works carried out on Lot PTD 121257 Kampung Senibong where the Plaintiff’s Transmission Main Intake and the right-of way/easement of the Undersea Cable Project is located.

The Plaintiff’s claim is grounded upon:-

(a)  Alleged Encroachment and Continuing Trespass on or about October 2013 of the Pylon Tower 31-35 (formerly known as Pylon Tower 54-58) located at right-of-way/easement of the Undersea Cable Project;

(b)  Alleged Encroachment and Continuing Trespass in respect of undersea cable 230 KV PLTG – WAV8 No. 1 and causing damage in respect of the said undersea cable on 5 November 2014;

(c)  Alleged Negligence; and

(d)  Alleged liability by reason of vicarious liability.

4.  The financial and operational impact of the Writ of Summon and Statement of Claim on the IWCity Group

At this juncture, while awaiting advice from its legal counsel on the claim, the suit is expected not to have operational impact to the Company and TBCSB.

If the claim is allowed, the financial impact will be the damages claimed and any additional cost or interest granted.

5.  Proposed steps to be taken in respect of the Writ of Summon and Statement of Claim

The Company is currently seeking professional legal advice and will appoint counsels to defend the claim.

The Case Management date has been fixed by the Court on 9 December 2020 by way of e-Review. The Company will announce further material development of the above matter in due course.

This announcement is dated 17 November 2020.