in the court of appeal malaysia (appellate jurisdiction)
in the court of appeal malaysia (appellate jurisdiction)
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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