Temporary Stay Of Winding-Up Order Granted To Serba Dinamik

The High Court (commercial division) granted an ad-interim stay to Serba Dinamik Holdings Bhd (SDHB) and its three subsidiaries of the winding-up order against them.

On Friday (Feb 10) the temporary stay order was granted by judge Ahmad Murad Abdul Aziz, pending the hearing of the companies’ permanent stay application fixed for hearing on March 6.

“The court does not think that the creditors would be prejudiced much with this ad-interim stay order, which would last approximately three weeks. The order for ad-interim stay is granted with the condition that the liquidator appointed, be retained (until then),” he added.

The Judge added he would hear the permanent stay application of the four companies on March 6, followed by a decision on March 9. He said he does not want to keep it too long, as it may affect the creditors.

Besides SDHB, the other companies that applied for the ad-interim stay were Serba Dinamik International Ltd, Serba Dinamik Sdn Bhd and Serba Dinamik Group Bhd.

They sought the ad-interim stay before the hearing of the permanent stay of the winding-up order pending the four companies’ appeal to the Court of Appeal.

Serba Dinamik companies had filed a stay of the winding-up order, pending their appeal to the Court of Appeal.

In their affidavit in support of the motion for a stay, Serba Dinamik and the subsidiaries said the winding-up order should be deferred, pending the disposal of the appeal to the Court of Appeal, and the appeal against their application to seek an adjournment of the winding-up hearing.

They said if a stay of the winding-up order is not granted, the four companies would suffer irreparable damage, which would see their contracts being terminated upon winding up, and this, they claimed, is irrecoverable.

“The applicants’ appeal would be rendered academic, given that there is no business left for the applicants,” the affidavit read.

On Jan 10, Ahmad Murad allowed the applications by six financial institutions and some of Serba Dinamik’s creditors to wind up the four companies.

The applications by Standard Chartered Saadiq Bhd, HSBC Amanah Malaysia Bhd, AmBank Islamic Bhd, MIDF Amanah Investment Bank Bhd, United Overseas Bank (Malaysia) Bhd and Bank Islam Malaysia Bhd were over the non-payment of loans amounting to RM1.7 billion out of a total sum of some RM5 billion owed.

They said the RM5 billion sum included the US$500 million (RM2.13 billion) sukuk on which it had defaulted.

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