Serba Dinamik and three subsidiaries apply for temporary stay pending hearing of permanent stay of winding-up order

Photo by Mohamad Shahril Basri/The Edge

Photo by Mohamad Shahril Basri/The Edge

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KUALA LUMPUR (Feb 2): Serba Dinamik Holdings Bhd (SDHB) and three related companies on Thursday (Feb 2) applied for an ad-interim stay (temporary stay) of the winding-up order granted by the High Court last month against them.

The ad-interim stay is a stay of the winding-up order, pending the High Court’s hearing of their motion for a permanent stay, which was filed on Jan 27, pending the hearing of their appeal to the Court of Appeal against last month’s decision.

Besides SDHB, the other companies which the High Court ordered to be wound up are Serba Dinamik Sdn Bhd, Serba Dinamik International Ltd and Serba Dinamik Group Bhd.

The syndicated lenders and bilateral lenders comprising six financial institutions and other banks were opposing the ad-interim stay application as submissions were heard on Thursday.

Hence, judge Ahmad Murad Abdul Aziz fixed Feb 10 for a decision on the companies’ ad-interim application for a stay of his Jan 10 decision on the winding-up.

Furthermore, Ahmad Murad fixed March 6 to hear their motion for a permanent stay of his order, pending the hearing of the companies’ appeal to the Court of Appeal.

The Edge reported on Monday (Jan 30) that the 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 sighted by The Edge, 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.

Read also:
Serba Dinamik applies to stay winding-up order pending appeal
High Court allows winding-up of Serba Dinamik, three subsidiaries

Lee Weng Khuen