KUALA LUMPUR (Oct 19): The Court of Appeal on Monday set aside a 2022 High Court judgment ordering fugitive financier Low Taek Jho, better known as Jho Low, and his father to pay US$3.7 billion to 1Malaysia Development Bhd (1MDB) and its four subsidiaries, and allowed the companies a fresh trial in a bid to get more compensation from the duo.
The three-judge bench, led by Datuk Azhahari Kamal Ramli, unanimously decided to send the case back to the High Court for a full trial before a new judge as there are issues of natural justice.
The bench also comprised Datuk Ahmad Kamal Shahid and Alice Loke.
Monday's ruling stems from a decision by High Court judge Hayatul Akmal Abdul Aziz entering a judgment in default (JID) against Low and his father Tan Sri Larry Low Hock Peng in November 2022 after she rejected their defence and their initial law firm had quit the case.
1MDB and its subsidiaries then applied to the High Court to set aside the JID but were denied, as it was filed too late.
A JID is a court ruling in favour of one party because the opposing party had failed to take action within a prescribed timeframe. In most civil suits, it occurs when a defendant fails to respond to a summons, file a defence, or appear in court.
The four 1MDB subsidiaries are 1MDB Energy Holdings Ltd, 1MDB Energy Ltd (1MDBEL), 1MDB Energy (Langat) Ltd, and Global Diversified Investment Co Ltd (formerly known as 1MDB Global Investments Ltd).
1MDB and its subsidiaries were represented by Lee Shih, assisted by Priyadana Annadurai. Low and his father were neither present nor represented in court.
The 2022 judgment ordered Low and his father to pay a total of US$3,782,637,525, together with annual interest of 5% on the respective sums, calculated from dates between 2010 and 2014 until full settlement.