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in the court of appeal malaysia (appellate jurisdiction)

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grammatically clear: <strong>the</strong> language may be contrasted with that<br />

<strong>of</strong> section 181(l)(b) which refers to an act <strong>of</strong> <strong>the</strong> company<br />

which has been done or threatened. But this argument must not<br />

be taken too far. What is attacked by sub-section (l)(a)) is not<br />

particular acts but <strong>the</strong> manner <strong>in</strong> which <strong>the</strong> affairs <strong>of</strong> <strong>the</strong><br />

company are be<strong>in</strong>g conducted or <strong>the</strong> powers <strong>of</strong> <strong>the</strong> directors<br />

exercised. And <strong>the</strong>se may be held to be “oppressive” or “<strong>in</strong><br />

disregard” even though a particular objectionable act may have<br />

been remedied. A last m<strong>in</strong>ute correction by <strong>the</strong> majority may<br />

well leave open a f<strong>in</strong>d<strong>in</strong>g that as shown by its conduct over a<br />

period, a firm tendency or propensity still exists at <strong>the</strong> time <strong>of</strong><br />

<strong>the</strong> proceed<strong>in</strong>gs to oppress <strong>the</strong> m<strong>in</strong>ority or to disregard its<br />

<strong>in</strong>terests so call<strong>in</strong>g for a remedy under <strong>the</strong> section. This po<strong>in</strong>t is<br />

well brought out <strong>in</strong> Re Bright P<strong>in</strong>e Mills Pty. Ltd.<br />

Their Lordships have made <strong>the</strong>se observations upon <strong>the</strong><br />

Malaysian section 181, not because <strong>the</strong>y disagree with <strong>the</strong><br />

statement <strong>of</strong> <strong>the</strong> law by <strong>the</strong> Federal Court - which <strong>in</strong>deed<br />

recognized <strong>the</strong> wider scope <strong>of</strong> section 181 as compared with <strong>the</strong><br />

correspond<strong>in</strong>g provisions <strong>in</strong> England and <strong>in</strong> Australia, They are<br />

concerned ra<strong>the</strong>r to emphasise <strong>the</strong> utility <strong>of</strong> <strong>the</strong> <strong>jurisdiction</strong><br />

conferred upon <strong>the</strong> <strong>court</strong>s <strong>in</strong> Malaysia, and to deal with<br />

particular arguments urged <strong>in</strong> this case with some <strong>of</strong> which <strong>the</strong>y<br />

do not agree. It is now necessary to relate <strong>the</strong>m to <strong>the</strong> facts as<br />

proved.”<br />

The pr<strong>in</strong>ciples stated <strong>in</strong> <strong>the</strong> above case have been followed not only by <strong>the</strong><br />

Malaysian <strong>court</strong>s but also by <strong>the</strong> S<strong>in</strong>gapore <strong>court</strong>s and o<strong>the</strong>r <strong>court</strong>s <strong>in</strong> <strong>the</strong><br />

Commonwealth. This is <strong>the</strong> lead<strong>in</strong>g authority <strong>in</strong> respect <strong>of</strong> section 181 <strong>of</strong><br />

<strong>the</strong> Companies Act, 1965.<br />

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