PUTRAJAYA (Sept 9): THHE Fabricators Sdn Bhd, a subsidiary of delisted TH Heavy Engineering Bhd, has failed to obtain leave (permission) from the Federal Court on Tuesday to halt the compulsory winding-up proceedings at the High Court.
A three-member bench led by Chief Judge of Malaya Tan Sri Hasnah Mohamed Hashim told THHE Fabricators counsel Mark Ho Hing Kheong that the court did not side with the appellant on the matter.
“The application does not meet the threshold from the court for it to grant leave on the questions posed before the bench,” she said.
Sitting with Hasnah in the unanimous decision were Federal Court judges Datuk Rhodzhariah Bujang and Tan Sri Ahmad Terrirudin Mohd Salleh.
In civil cases at the Federal Court, leave or permission has first to be granted by the court for the merits of the application to be heard.
Lawyer Ho had posed eight questions of law to be decided by the apex court for consideration after then-High Court judge Ong Chee Kwan (now Court of Appeal judge) on Feb 2 last year had granted leave to Blackstone Technology Sdn Bhd (previously known as Blackstone Process Solution Sdn Bhd) and Dynac Sdn Bhd to initiate compulsory winding up on THHE Fabricators.
Counsel David Thomas Mathew, appearing with Olivia Loh and Lai Ann Xing for Blackstone and Dynac, opposed the application, as the High Court proceedings for compulsory winding up had already concluded.
The Court of Appeal had on May 8 this year, dismissed THHE Fabricators and its parent company TH Heavy Engineering’s application to halt the compulsory winding-up proceedings.
Last month at the Federal Court, THHE Fabricators had also sought a stay on the High Court proceedings, citing today's (Tuesday's) proceedings for leave but failed in that attempt.
As a result, the High Court hearing for the compulsory winding up began on Aug 18 and concluded on Aug 21, and the High Court has fixed Dec 3 to give its decision on the petition for compulsory winding up.
The difference between a voluntary winding-up as opposed to a compulsory winding-up is that in a voluntary action, it is initiated by the company, while a compulsory winding-up is initiated by the court.
THHE began voluntary winding-up in September 2023, after being delisted for a year, stating it couldn't continue operations due to its liabilities.
Global Mariner Offshore Services Sdn Bhd, Blackstone Technology and Dynac filed an application for a compulsory winding-up against THHE, while Blackstone and Dynac filed separate applications against THHE Fabricators. The High Court granted their application on Feb 4 last year.
The petitioners are seeking a compulsory winding-up of THHE Fabricators, claiming the voluntary winding-up was not done in good faith and was not in the best interests of creditors or shareholders. They also believe an independent investigation is needed and want independent liquidators appointed to look into the company’s affairs.