KUALA LUMPUR (Sept 7): Pestech International Bhd said the High Court has dismissed its unit’s Erinford injunction application filed against Syarikat Pembenaan Yeoh Tiong Lay Sdn Bhd (SPYTL) in another setback in its legal tussle with the main contractor of the Gemas-Johor Bahru electrified double-track rail project.

The High Court had dismissed the injunction application filed by Pestech Sdn Bhd (PSB) with costs on Sept 6, the company said.

The Erinford injunction sought to preserve the status quo pending the conclusion of an appeal which PSB lodged on July 26.

SPYTL, part of YTL Corp Bhd, had in June terminated PSB’s RM399 million sub-contract for the double-track project, particularly for the turnkey EPCC relating to the electrification system.

The two parties are now in court to secure the performance bond placed by PSB for the project. The injunction is to restrain SPYTL from trespassing, using and/or otherwise tampering with machinery belonging to one of its units that had been used for the project previously.

PSB is appealing against High Court’s decision to dismiss its application for interim injunctions against SPYTL.

PSB “will take all other legal remedies available to protect its interest”, Pestech said.

Shares of Pestech settled up half a sen or 1.85% at 27.5 sen, giving it a market capitalization of RM272.86 million.