KUALA LUMPUR: Fugitive businessman Low Taek Jho and his father have failed in their bid to set aside an ex-parte Mareva injunction involving assets worth RM9.86bil.
The injunction effectively bars the son and father from disposing of their assets in Malaysia amounting to US$1.03bil (RM8.14bil) and US$401.5mil (RM1.69bil) respectively in a lawsuit filed by 1Malaysia Development Bhd (1MDB) and its subsidiaries.
High Court judge Justice Hayatul Akmal Abdul Aziz dismissed the applications by Low, better known as Jho Low, and Tan Sri Larry Low Hock Peng to set aside the ex-parte order obtained by 1MDB.
She granted the Mareva injunction on an inter-parte basis after hearing from parties during online proceedings here on Wednesday (May 25).
She also ordered the father and son to pay costs of RM5,000 to 1MDB.
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According to 1MDB lawyer Siva Kumar Kanagasabai, the court also granted several supplementary orders after hearing submissions from the parties.
This included the order that if Low and Hock Peng did not comply with the inter-parte Mareva disclosure orders, they would be debarred from being heard in the proceedings, their defence would be struck out and 1MDB would be at liberty to apply to enter a judgment against them.
"The court also allowed our application to amend the writ (of summons) but it relates to a minor matter on calculation of claim," Siva Kumar said when contacted by the press.
Next case management has been fixed for June 13.
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On March 16, 1MDB and its subsidiary, Global Diversified Investment Company Ltd (formerly known as 1MDB Global Investments Ltd), obtained an ex-parte Mareva injunction from the High Court preventing Low from disposing of US$1.03bil (RM8.14bil) assets.
Hock Peng faces a similar injunction involving US$401.5mil (RM1.69bil).
A Mareva injunction is a temporary order which restrains the defendant from disposing of assets until the determination of the case between the plaintiff and defendant.
The injunction also capped Low and Hock Peng's monthly expenditure to no more than RM20,000 a month each for living and legal expenses.
Should they need more than the allowed amount, they need to get prior written permission from 1MDB and Global Diversified’s solicitors.
The order also states that Low and his father must make written disclosures to 1MDB and Global Diversified regarding their assets, valued at US$1.03bil and US$401.5mil, respectively, whether locally or abroad, under their own name or otherwise, and whether under sole or joint possession.
They must provide the value, location and all information related to the assets, and it must be verified through an affidavit sent to the first and fifth plaintiff’s counsel within 14 days after the order is served on the counsel representing the two defendants.
The order also states that any individual in these proceedings or otherwise, who is informed of the order in question, should not aid or permit a breach of the order where they may be subject to action over contempt of court.
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On May 7 last year, 1MDB and its four subsidiaries, namely Global Diversified, 1MDB Energy Holdings Ltd, 1MDB Energy Ltd and 1MDB Energy (Langat) Ltd, filed a US$3.7837bil (RM16bil) lawsuit against Low, his father, his mother Puan Sri Goh Gaik Ewe, sister May Lin, younger brother Taek Szen and associate Eric Tan Kim Loong.
Based on the writ, 1MDB claimed US$661mil from Low and US$41mil, US$397mil, US$608mil and US$1.9bil from Low and Tan, and US$325mil from Low and his father respectively.
1MDB Global Investments Ltd claimed US$630mil from Hock Peng, Low and Tan and US$2mil from Taek Szen, Jho Low and Tan.
The plaintiffs also claimed US$3.5mil from May Lin and Low and US$1.695mil from Goh, Low and Tan in connection with the purchase of jewellery and secret profits, in addition to US$25.5mil from Low, Tan, Hock Peng and Taek Szen.