This case concerns the removal of joint liquidators by reason of their dysfunctional behaviour and ongoing conflict with one another.

 

In this case, despite Shencourt Properties Sdn Bhd (“Company”) being wound up since 2002, its liquidation had been stalled for no less than 10 years due to ongoing conflict between the Company’s joint-liquidators. As a result, Shencourt Sdn Bhd (“Shencourt”), as one of the Company’s contributories, sought for their removal as their acrimonious dispute had not only halted the liquidation process, but had also placed the Company’s interests and assets at serious risk.

 

On appeal, the Court of Appeal reversed the High Court’s decision, and ordered for the immediate removal of the joint-liquidators. The Court of Appeal also found that the Company’s liquidation had been rendered dysfunctional due to the joint-liquidators’ inability and/or unwillingness to work together for the benefit of the Company.

 

Alvin Tang acted for Shencourt Sdn Bhd, the applicant contributory.