Former MCA president Dr Ling Liong Sik has failed to strike out the suit filed by premier Najib Abdul Razak.
Kuala Lumpur High Court judge Justice Nor Bee Arifin said the matter should go on trial to see whether Najib has the legal standing in the suit.
She also ordered Ling to pay RM5,000 in costs.
In explaining the judgment made in chambers, Najib's lawyer Mohd Hafarizam Harun and Ling's lawyer Yeoh Cho Keong, said it was following Pahang menteri besar Adnan Yaakob's case against Utusan Malaysia, where the case was reverted back by the Federal Court for it to go on trial at the High Court.
"In this suit, Najib said he filed the suit in his personal capacity," emphasised Hafarizam.
Yeoh explained that it is unsustainable for the case to be struck out as the matter should go on trial on whether Najib sued in his personal or public capacity.
"Hence that is why the matter should go to trial," Yeoh said.
Ling also claimed that the suit filed by Najib was an abuse of the court process, and the court also ruled that the matter should go on trial.
Both lawyers disclosed that Justice Nor Bee will no longer hear this case as she is now in the Family Court, and the new judge to hear the case would be Justice Nordin Hassan.
Hafarizam said that Najib is also applying to strike out several paragraphs of the former MCA president's defence statement.
Both lawyers said the registrar would give a new date to them for the case to be heard before Justice Nordin.
Najib filed the suit in Oct 2015 following Ling's comments alleging the PM had taken public funds.
Following this, Ling had asked the PM to resign.
Ling applied to strike out the suit since late 2016 and submissions were made in 2016.
The former transport minister wants to strike out Najib's suit on the grounds that the Umno president and BN chairperson had filed it in his official capacity as prime minister, instead of his personal capacity.
Ling's lawyers argued that this meant Najib had no locus standi (legal standing) to file the suit as public officials can be subject to criticism.
They cited Derbyshire County Council v Times Newspapers, in the United Kingdom, and Adnan's case as precedent. -Mkini
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