KUALA LUMPUR (June 6): Shipping company Maritime Network Sdn Bhd has filed an application in the High Court here to compel RHB Bank Bhd to disclose its internal guidelines and due diligence procedures governing foreign exchange (forex) transactions.
The High Court has set July 2 to decide on the pre-trial discovery application, a legal process that allows one party in a civil case to obtain documents or information from the opposing party before a trial commences.
Judge Leong Wai Hong fixed the date after hearing submissions from both parties in chambers on Friday.
Both Maritime Network's counsel, P Taneswaran, and the bank's counsel, Gan Khong Aik, confirmed the matter when contacted, saying the court will deliver its verdict at 9am on the specified date.
The shipping company filed the originating summons seeking the court order on March 3 to compel the disclosure after discovering that several international fund transfers into its multi-currency US dollar account had been returned without prior notice or adequate justification.
According to its affidavit, these transfers, despite originating from unfamiliar senders, explicitly referenced valid invoices issued by the company. Maritime Network alleged that despite its request for the bank to withhold any reversal pending a thorough review, the funds were unilaterally returned.
The bank claimed its actions were in compliance with the required financial standard known as Minimum Due Diligence (MDD).
Consequently, Maritime Network wants to review the MDD guidelines utilised by the bank through the pre-trial discovery process to ascertain if RHB Bank has breached its duty of care. Maritime Network contends that the bank's conduct had constituted such a breach, leading to operational disruptions and potential reputational harm for the company.
Maritime Network is also demanding a detailed explanation for the reversals and full disclosure of the bank's internal compliance framework used to assess such transactions.
The legal action was initiated by Maritime Network's director, Datuk Seri R Jeyenderan, through Messrs Tanes, Khoo & Paulraj at the High Court.