54 MATERIAL LITIGATION (CONTINUED) (iii) On 10 April 2023, Sri Kehuma Sdn. Bhd. and Yapidmas Plantation Sdn. Bhd., indirect subsidiaries of the Company, (“the Defendants”) had been served with a sealed Writ of Summons dated 13 March 2023 (“the Writ”) by Euggne Kousai (“the Plaintiff”). The plantiff, among others, is claiming for damages amounting to RM24,924,000 due to the Defendants’ alleged fraudulent transaction and the continuing trespass of forty one (41) parcels of lands under Native Title, which are under lease agreements, which the Plaintiff claims to be the registered owner. The Plaintiff had further filed an application under Order 14A of the Rules of Court 2012 to request the Court to dispose the suit without the need for full trial. The hearing before the Judge had fixed on 5 October 2023. During the e-review on 20 September 2023, the Plaintiff had agreed to withdraw the Order 14A application. Therefore, Plaintiff’s Order 14A Application has been struck out by the Court with costs of RM1,000 only. Hence the hearing date on 5 October 2023 had been vacated. The application by the Defendants to amend the Defence (to plead new defences of limitation and res judicata/and or cause of action estoppel) was allowed on 18 September 2023 by the Court. The solicitors had filed the Notice of Application to strike out the Plaintiff’s claim (based on time limitation and res judicata/and or cause of action estoppel) on 31 October 2023. On 22 February 2024, the Court had been informed that that parties have exchanged their submissions for the striking out application. On 17 May 2024, the High Court had allowed Defendant’s striking out application with costs of RM2,000. The Plaintiff dissatisfied with the High Court’s decision and filed an appeal with the Court of Appeal on 14 June 2024. On 21 October 2024, the Court of Appeal had fixed a Hearing date on 12 November 2025. A Case Management date also has been fixed on 15 November 2025. The Directors believe the Group has a reasonable chance of succeeding in the application to strike out the claim. Accordingly, no provision has been recognised as the cash outflow is not probable. (iv) A claim by the Euggne Kousai (“the Plaintiff”) that the sub-leases dated 16 September 1997 and 6 July 1999 in respect of (17) parcels of land were tainted with fraud and legality. The Plaintiff also claims that there is continuing trespass by the Ladang Kluang Sdn. Bhd., an indirect subsidiary of the Company, (“the Defendant”). The Plaintiff seeks a declaration that the sub-leases are illegal and void as well as damages for the amount of RM10,310,000. On 25 January 2024, the High Court had allowed the Defendant’s application to set aside the Judgement in Default dated 13 September 2023. On 8 February 2024, the Defendant filed its Defence. The solicitors had informed the Court that the pleadings have closed. On 18 September 2024, the High Court had allowed the Defendant’s striking out application with costs of RM10,000.00 to be paid by the Plaintiff to Defendant subject to allocatur fees. Plaintiff did not file an appeal against the High Court’s decision. The window to file an appeal has closed. Thus, this concludes the matter. The Directors believe the Group has a reasonable chance of succeeding in the application to strike out the claim. Accordingly, no provision has been recognised as the cash outflow is not probable. FGV Holdings Berhad | Audited Financial Statements 2024 Notes to the Financial Statements For the financial year ended 31 December 2024 182
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