Appellate court stays RM2m defamation ruling against Lip Eng

Lim Lip Eng and MonSpace (M) Sdn Bhd have reached consent for a Court of Appeal stay on a ruling for the Kepong MP to pay RM2 million defamation damages to the company and its founder Jessy Lai.

The appellate court this morning recorded the consent ruling for the stay, pending disposal of the DAP lawmaker's appeal to quash a High Court ruling that found he had defamed the company as well as the resultant RM2 million damages.

A three-person Court of Appeal bench chaired by Kamaludin Md Said recorded the consent stay ruling, on behalf of panel member judges Hashim Hamzah and Wong Khian Kheong.

According to the consent ruling, Lim agrees to pay RM2,000 in costs to the company and its founder, among other terms.

On March 16, the High Court ruled that Lim (above) had defamed MonSpace and Lai, and ordered the lawmaker to pay RM2 million in damages.

Judge Akhtar Tahir had also ordered the defendant to pay RM250,000 in costs and make a public apology.

In his full grounds of judgment, the judge said the RM2 million compensation award against Lim is meant to discourage uncalled-for and unverified statements in the current social media age.

Fashion statement

Akhtar said the defendant must be more responsible in his speech and actions, and that Lim as a parliamentarian cannot be “trigger-happy shooting from the hip”.

While it might not have killed any person physically, it has certainly “killed” the two plaintiffs’ reputations.

“The court also feels that in this case, the damages awarded must act as a deterrence.

“This is not to stifle freedom of speech and expression but as a discouragement for any person making uncalled-for and unverified statements, especially in the era of the wide use of social media.

“Another reason why deterrence is required is the fact that the courts are inundated with cases involving defamation involving all strata of the society - from the highest to the lowest,” Akhtar said.

The judge added that the phrase “see you in court” seems to have become a fashion statement rather than something to be fearful about.

‘MP didn’t show remorse, combative’

“A final factor which took into account, in this case, is that the defendant did not show any remorse for his actions and on the converse, was combative in his attitude.

“The plaintiffs had graciously agreed to settle the matter without going for the full trial with a mere apology, but the defendant refused this request,” Akhtar said.

The judge added that Lim’s statement contained various serious allegations, such as the giving of kickbacks and protection money to government officials, and involvement in illegal activities that led to several Chinese nationals suffering financial losses.

Back in 2019, the media reported that MonSpace and its founder filed a civil action against Lim over an allegation that the company was involved in an investment scheme that failed to pay returns as promised to investors.

The lawsuit came on the heels of multiple statements allegedly made by Lim, including when he and several Chinese nationals visited the company headquarters in Bukit Jalil back on May 23, 2017.

According to the lawsuit’s statement of claim, the two plaintiffs were seeking general and aggravated damages for over 15 alleged defamatory remarks made by Lim through five publications between 2017 and 2018.

Lim, Sungai Pelek assemblyperson Ronnie Liu and 19 Chinese nationals - who claimed they were victims of the MonSpace investment scheme - had gone to the headquarters of the multinational firm to demand a refund or at least an explanation as to why their investment had purportedly not materialised. - Mkini