KUALA LUMPUR – The high court here today ordered FGV Holdings Berhad’s former chairman Tan Sri Mohd Isa Abdul Samad and former group president and chief executive officer Datuk Mohd Emir Mavani Abdullah to pay over RM3.31 million to the company over the purchase of two units of luxury condominiums in the city.
Judge Datuk Mohd Arief Emran Arifin made the order after allowing a suit filed by FGV against Mohd Isa and Mohd Emir Mavani in 2018 to claim compensation amounting to RM7.69 million over the purchase of the condominiums at Troika, Persiaran KLCC, that was said to be above the market price.
The judge held that the defendants wrongfully used and refurbished the units as it was not done in accordance with the company’s procedures.
“They have also put their interest in conflict with the company and did not act in the best interest of the plaintiff.
“The second defendant (Mohd Emir) also had breached his duties by abusing the carpool system and petrol card. So, the defendants should be liable for the damages,” he said.
Judge Mohd Arief however, made it clear that the duo had not breached their duties in the acquisition of the units as it was done following the board’s resolution.
He also said the acquisition of the Troika units did not incur any losses to FGV as they were still owned by the company.
The judge ordered Mohd Isa to pay RM990,502 to FGV, inclusive of RM300,000 in exemplary damages and RM200,000 in costs, while Mohd Emir was to pay RM 2,322,705, inclusive of RM500,000 exemplary damages and RM200,000 in costs.
Judge Mohd Arief also made note that he was awarding such exemplary damages given the two men’s position in the company.
The decision was made via Zoom proceedings in the presence of lawyers Andrew Chiew Ean Vooi, representing FGV, while lawyers Lavinia Kumaraendran and Mavin Thillainathan appeared for Mohd Isa, and lawyers Vincent Lawrance and Abdul Rahim Abdul Rahim acted for Mohd Emir. – March 29, 2024