35. MATERIAL LITIGATION
On 26 July 2013, the Johor Bahru High Court allowed the claim by Dr Mohd Adnan bin Sulaiman and Azizan Sulaiman
(collectively known as the “Plaintiffs”) against KPJSB (“Defendant”) wherein the Plaintiffs alleged that the Defendant had
breached the Joint Venture Agreement Incorporating Shareholders’ Agreement dated 30 May 1995 whereby the said High Court
awarded the sum of RM70.4 million and costs for the sum of RM150,000 (total amounting to RM70.5 million) against the
Defendant (“Judgement”).
KPJSB had instructed its solicitors, Messrs. Bodipalar Ponnudurai De Silva to file an appeal at the Court of Appeal against the
said Judgement.
On 12 December 2013, the Honourable Court of Appeal Judges, YA Datuk Zaharah binti Ibrahim, YA Dato’ Mohamad Arif bin
Md Yusof and YA Dato’ Mah Weng Kwai unanimously allowed the appeal by KPJSB against the decision of the Johor Bahru
High Court in Suit No: 23NCVC-74-05/2012 dated 26 July 2013 with costs of RM200,000 (“Court of Appeal Judgement”).
The decision of the Judgement was also set aside.
The Court of Appeal further gave Consequential Order that the monies in the sum of RM70.5 million together with the accrued
interest in the Maybank Fixed Deposit account held in the joint names of the solicitors for the Respondents and the solicitors
for KPJSB, “Adam Abdullah & Mani and Bodipalar Ponnudurai De Silva” respectively in Maybank Account No: 214075807213
be released to KPJSB.
On 13 January 2014, the Plaintiffs filed an application for leave to appeal to the Federal Court against the Court of Appeal
Judgement.
The unsealed copy of the said Application was served on the Company’s solicitors on 10 January 2014. The Federal Court has
fixed the Leave Application for hearing on 28 May 2015.
No amount has been provided during the year as management is in the opinion that the application for leave to appeal does
not result in a present obligation to the Plaintiffs.
36. SIGNIFICANT EVENTS
(a) Kumpulan Perubatan (Johor) Sdn Bhd (“KPJSB”), a wholly-owned subsidiary of KPJ, on 10 February 2014, has completed
the acquisition of all parcels of land held under Geran 52130 Lot 405 Seksyen 87A, Bandar Kuala Lumpur, Daerah Kuala
Lumpur, Negeri Wilayah Persekutuan KL together with a multi-storey office building erected thereon known as Menara
238 (“property”) from Danaharta Hartanah Sdn Bhd (“DHSB”) for a total cash consideration of RM206,000,000.00
(“proposed acquisition”).
(b) Puteri Nursing College Sdn. Bhd. (“PNCSB”) on 3 October 2014 has entered into a sale and purchase agreement (“SPA”)
with AmanahRaya Trustees Berhad (“Trustee” or “Purchaser”), on behalf of Al-`Aqar, to dispose the Properties for a total
disposal consideration of RM77,800,000 (“Disposal Consideration”) upon the terms and conditions of the SPA (“Proposed
Disposal”).
Upon completion of the Proposed Disposal, PNCSB will enter into a lease agreement (“Lease Agreement”) with Al-`Aqar,
represented by its Trustee, and Damansara REIT Managers Sdn Berhad, being the manager of Al-`Aqar (“Manager”), for
the lease of the Properties to PNCSB upon terms and conditions of the Lease Agreement to be agreed between the
aforesaid parties (“Proposed Leaseback”).
The Proposed Disposal is expected to complete in the first quarter of 2015.
284
KPJ Healthcare Berhad annual report
2014
Notes to the
Financial Statements
For the financial year ended 31 December 2014 (continued)
