KUALA LUMPUR (Aug 23): Swatch Group (M) Sdn Bhd has been granted leave (permission) to challenge the government’s seizure of its "rainbow theme" watches three months ago.
Leave was granted during proceedings in chambers before High Court judge Datuk Amarjeet Singh Serjit Singh on Wednesday (Aug 23) following no objections from the Attorney General's Chambers (AGC) to the Swiss watchmaker's application.
Senior federal counsel Farah Shuhada Ramli appeared for the AGC while Nizam Bashir appeared for Swatch.
Following this, parties will now argue the substantive issues in the application on another date. Case management for the matter has been set for Sept 6.
Swatch's leave application was initially set for hearing last month but had been postponed following the amendments to the company's judicial review application.
Among the amendments is an order to quash the decisions and actions of the Home Ministry officers on the searches of Swatch stores and seizures of the watches.
This is in addition to its orders sought in the application filed in June where Swatch was looking to quash the notice of seizure, and for the return of the watches.
The international brand is also seeking aggravated and exemplary damages.
It named the minister, the Home Ministry's secretary general, the ministry's enforcement division secretary, and the government as respondents.
The company claimed that 172 watches had been seized by the authorities in 16 different locations nationwide between May 13 and 15, 2023. The total retail value of the watches amounted to RM64,795.
The watches were part of the company's "Pride collection" in reference to the international human rights movement held in June which celebrates lesbian, gay, bisexual, and transgender (LGBT) rights.
In its application, the company said it has not received any complaints from the public since it began selling the items. It also said the colours of the rainbow and celebrating pride represent international human rights for greater respect of celebrating love for all genders and races without discrimination.
While the authorities said the watches have elements of LGBTQ and amounted to a violation of the Printing Presses and Publications Act 1984, the company pointed out that the watches have never been gazetted as prohibited publication that necessitated the seizures.
The company said without any such gazette, the seizures are illegal. It added that the watches are not a form of publication, and neither are they a type of "prohibited item".
It further claimed that the seizure notices did not adequately inform the company on the grounds or basis for the seizure, and that the seizures were illegal, irrational and inconsistent.
Founded in Switzerland in 1983, Swatch has had a presence in Malaysia since 1995. According to the company, Malaysian buyers make up 80% of its sales here, while foreigners contribute the remaining 20%.
Earlier this month, the Home Ministry gazetted an order prohibiting publications related to the watches.
The provision gazetted on Aug 9 stipulates that printing, importing, reproducing, publishing, selling, producing, circulating, distributing or possessing such a publication is strictly prohibited in Malaysia.