Kota Kinabalu: The High Court here on Friday ruled in favour of Skyrich Development Sdn Bhd in a dispute over the Sale of Shares Agreement linked to the stalled Star City Project here.
The High Court declared that the Sale of Shares Agreement involving Skyrich Development Sdn Bhd and Fusun International Holding Limited was validly terminated on Aug 21, 2020, and ordered the re-transfer of 70 per cent of the shares in the company to the first plaintiff within 14 days of service of the court order.
The court also granted an injunction restraining Fusun International Holding Limited and/or its representatives from altering the composition of the board, submitting such changes to the Companies Commission of Malaysia, using the company’s letterhead, or otherwise operating, controlling or affecting the business of Skyrich Development Sdn Bhd.
The dispute arose from a Sale of Shares Agreement dated Nov 19, 2018, concerning the proposed acquisition by Fusun International Holding Limited of 70 per cent of the shares in Skyrich Development Sdn Bhd, the company connected with the redevelopment of the abandoned Star City Project here.
Among the issues before the court were the validity of the termination of the Sale Agreement, the control and management of Skyrich Development Sdn Bhd, and the parties’ respective rights arising from the Sale Agreement.
In a statement following the judgement, the plaintiffs welcomed the decision, describing it as an important step towards restoring proper corporate governance, stability and integrity to Skyrich Development Sdn Bhd.
The Plaintiffs said they will take all necessary and immediate steps to regularise the affairs of Skyrich Development Sdn Bhd and to revive, activate and implement the redevelopment plans for the completion of the former Star City Project in the interest of the people of Sabah and all stakeholders connected with the project.
