Public Bank ordered to pay RM90mil in damages to NFC for confidentiality breach
The Federal Court has ordered Public Bank to pay RM30 million each in equitable, exemplary, and aggravated damages to National Feedlot Corporation and three others for disclosing its accounts to the public.
PUTRAJAYA : The Federal Court has ruled that Public Bank must pay RM90 million in damages for violating its statutory duty and breaching confidentiality by disclosing to the public the National Feedlot Corporation's (NFC) accounts, along with those of three affiliated companies.
A three-member bench led by Chief Judge of Malaya Hasnah Hashim ordered the bank to pay RM30 million each in equitable, exemplary, and aggravated damages.
'Public Bank is to pay 2% interest on the judgment sum effective today until the payment of damages is settled,' she said.
Sitting with her were Chief Judge of Sabah and Sarawak Abdul Rahman Sebli and Justice Abu Bakar Jais.
The court dismissed Public Bank's appeal on liability last month.
The Court of Appeal previously ruled that NFC had failed to prove its losses, resulting in the award of a nominal sum of RM10,000 in damages.
Hasnah said the appeals court fell into error in its finding.
'The appellant (NFC) had produced financial reports and audited accounts through its expert witness,' she said, adding that the bank had not called any witnesses to challenge the witness's credibility.
As such, the documents relied on by the appellants remained unchallenged, said Hasnah.
In their statement of claim, NFC, its chairman Salleh Ismail, and its subsidiaries National Meat & Livestock Corporation Sdn Bhd and Agroscience Industries Sdn Bhd had asked for RM560 million in damages.
They sought RM60 million in general damages and a total of RM500 million in aggravated and exemplary damages.
Salleh is the husband of former Wanita Umno chief Shahrizat Abdul Jalil.
The case dates back to 2012 when then-PKR vice-president Rafizi Ramli obtained confidential banking details which he used to support allegations against NFC regarding a government loan linked to property purchases.
Lawyers Shafee Abdullah, Sarah Abishegam, and Farah Mustaffa represented the appellants, while counsel Chan Kok Keong, Poh Choo Hoe, and Tiang Min Hin appeared for the bank.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Sinar Daily
3 hours ago
- Sinar Daily
Federal court orders Public Bank to pay RM90 million in damages to NFCorp, four others
Public Bank to pay two per cent interest per annum on the judgment sum from today until the payment of damages is settled 18 Jun 2025 01:46pm Photo by Bernama PUTRAJAYA - The Federal Court today ordered Public Bank Berhad to pay RM90 million in damages to National Feedlot Corporation (NFCorp), its chairman Datuk Mohamad Salleh Ismail, and three subsidiary companies for breach of contract to protect their bank account confidentiality. A three-member bench led by Chief Judge of Malaya Datuk Seri Hasnah Mohammed Hashim, Chief Judge of Sabah and Sarawak Tan Sri Abdul Rahman Sebli and Federal Court judge Datuk Abu Bakar Jais awarded RM30 million each in equitable, exemplary and aggravated damages. "Public Bank is to pay two per cent interest per annum on the judgment sum from today until the payment of damages is settled,' said Justice Hasnah. In delivering the court's decision, she said the appellants had presented financial reports and audited accounts through an expert witness, which were not challenged by Public Bank. Justice Hasnah said the Court of Appeal erred when it decided that the appellants had failed to prove damages, resulting in an award of only RM10,000 in nominal damages. On May 26, the panel overturned the Court of Appeal earlier decision which had granted nominal damages to NFCorp, Mohamad Salleh and three subsidiaries - National Meat and Livestock Corporation Sdn Bhd, Agroscience Industries Sdn Bhd, and Real Food Company Sdn Bhd. Mohamad Salleh is the husband of former Women, Family and Community Development Minister and Wanita Umno chief Tan Sri Shahrizat Abdul Jalil. Also on May 26, the Federal Court upheld the decision of the Court of Appeal, which found Public Bank liable for breach of confidentiality. The court ordered Public Bank to pay RM300,000 in legal costs. The court adjourned until today to decide on the amount of damages. NFCorp and four others filed the RM560 million suit against the bank in 2012 over the leakage of their banking details. The High Court dismissed the lawsuit in 2019, but the appellate court in 2023 reversed the decision after allowing their (NFCorp and four others) appeals. However, the Court of Appeal held that since NFCorp and the four others succeeded in proving liability but failed to prove damages, the court decided to award a sum of RM10,000 in nominal damages. In the suit, NFCorp and four others claimed that the bank breached confidentiality by allowing details of banking transactions to be revealed by the then PKR vice-president Rafizi Ramli. They also claimed their business reputation and credibility suffered irreparable loss and damage as a result of the breach under the Banking and Financial Institutions Act. After the court proceedings, Mohamad Salleh expressed gratitude, saying his family endured hardship for 13 years due to the case. In today's proceeding, Lawyer Tan Sri Muhammad Shafee Abdullah represented NFCorp and the four others, while Public Bank was represented by lawyer Chan Kok Keong. - BERNAMA More Like This
Free Malaysia Today
4 hours ago
- Free Malaysia Today
Asean agrees to enhanced power grid deal, new energy roadmap
Energy transition and water transformation ministry secretary-general Mad Zaidi Karli said senior energy officials have agreed on the terms of an enhanced memorandum of understanding for the Asean Power Grid. KUCHING : Asean energy officials have agreed on several key regional initiatives to strengthen energy cooperation and connectivity. Energy transition and water transformation ministry secretary-general Mad Zaidi Karli announced today that senior energy officials have agreed on the terms of an enhanced memorandum of understanding for the Asean Power Grid (APG). 'This will be signed in October during the Asean Ministers on Energy Meeting,' he told a press conference after the 43rd Asean Senior Officials' Meeting on Energy which concluded here today. Zaidi also confirmed that officials have endorsed the policy document outlining the second phase (2026-2030) of the Asean Plan of Action for Energy, which continues the region's focus on energy security, market integration and the clean energy transition. In a recent interview with FMT, energy transition and water transformation minister Fadillah Yusof said Asean is also exploring a code of conduct for external energy partners amid growing engagement with dialogue partners, including the US and Russia. The three-day meeting, hosted by the ministry from June 16 to 18, saw the participation of 250 delegates across Asean countries, the Asean Secretariat, the Asean Centre for Energy, and dialogue partners from China, Japan, Russia and the US. Other outcomes The ministry said other key outcomes of the three-day meeting included the launching of the Asean-Russia Capacity Building on Energy Statistics project and renewing the Asean-Russia energy cooperation framework for 2026-2028. Russia's Elena Vikulova, deputy head of its directorate of international cooperation, said there is strong potential for Asean-Russia energy cooperation given the region's surging energy demand. In a statement, the ministry said senior officials from Australia, the US, Russia, South Korea, China and Japan discussed advancing energy efficiency measures, sustainable biofuels and renewable energy deployment during the 30th East Asia Summit Energy Cooperation Task Force Meeting. It also said the International Energy Agency presented its Southeast Asia Energy Outlook 2025, while the International Renewable Energy Agency shared renewable energy trends around the world. Additionally, the Asian Development Bank presented its 2025-2026 work plan, which focuses on clean energy transitions and sustainable infrastructure development, while also making 'significant progress' in discussions on the APG with energy senior officials. Earlier today, South Korea's trade, industry and energy first secretary Heegang Kim said in his opening remarks that the nation is set to launch a nuclear cooperation project with Asean to systematically support the region's readiness to introduce nuclear power plants. Another new initiative Kim announced was the transfer of the Korean electrical safety management system to Asean member states from the Korea Electrical Safety Corporation.
Free Malaysia Today
4 hours ago
- Free Malaysia Today
JS-SEZ safe bet for investors amid global tensions, says Iskandar Investment CEO
IIB president and CEO Idzham Hashim said Johor's strategic location and political stability have helped it remain among Malaysia's top three destinations for foreign direct investment in recent years. ISKANDAR PUTERI : The Johor-Singapore Special Economic Zone (JS-SEZ) offers investors a secure proposition amid growing global uncertainty, Iskandar Investment Bhd (IIB) president and CEO Idzham Hashim said today. He said Johor's strategic location and political stability had helped it remain among Malaysia's top three destinations for foreign direct investment in recent years. 'Despite the fact that many politicians all over the world are trying to make the world smaller, the majority believe globalisation is key to uplifting the quality of life. 'Because of our location and the strong relationship between Malaysia and Singapore – and Malaysia's good relationship with all nations – we are in a good position to capitalise on this,' he said at the Nikkei Forum Medini Johor 2025 co-organised by IIB here today. Idzham said in today's uncertain political climate, the formalisation of JS-SEZ had been crucial to ensuring its long-term competitiveness. The zone was formally established in January through an agreement between Malaysia and Singapore to boost economic connectivity between the state and the republic. It aims to attract 100 projects worth RM100 billion and create about 100,000 jobs in high-value sectors such as manufacturing, digital economy, logistics, clean energy, and tourism over the next decade. Spanning nine flagship zones, including Iskandar Malaysia and Pengerang, JS-SEZ offers competitive tax incentives and streamlined regulations to attract global investors. The initiative has begun to draw strong interest from investors in Japan, South Korea, China and Europe, positioning Johor as a strategic gateway to the Asean market. Idzham said the region's relatively low operating cost made it especially appealing. 'The cost of doing business in Johor is almost 60% cheaper than in Singapore and almost 30% cheaper than in Kuala Lumpur. 'We have the ability to help (Singaporean businesses) scale up, reduce their cost of doing business, and give them the space they need to grow,' he said. At a time when cross-border dynamics are easily politicised, Idzham reframed Johor-Singapore ties as collaborative rather than competitive. He said the two neighbours, separated only by the Johor Strait, each brought unique strengths to the table and complemented one another economically.
