Monday, September 29, 2025

Court slashes MP's damages payment to firm from RM2.5m to RM125k

The Court of Appeal has allowed Kepong MP Lim Lip Eng’s appeal against the amount he has to pay in damages to e-commerce firm MonSpace (M) Sdn Bhd and its founder Jessy Lai for defamation, reducing it from RM2.5 million to RM125,000.

A three-member bench led by judge Ahmad Zaidi Ibrahim unanimously ruled that the earlier sum imposed by the High Court was excessive.

In 2023, High Court judge Akhtar Tahir had ordered Lim to pay RM500,000 in general damages to MonSpace and RM1 million to Lai, as well as RM500,000 each in aggravated damages.

Lim was also told to pay RM250,000 in costs.

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In the proceedings today, the appellate court cut the overall amount by about 95 percent, awarding RM50,000 in general damages to MonSpace, RM25,000 to Lai, and RM50,000 in costs to both plaintiffs.

The bench also struck out the aggravated damages.

A MonSpace office in 2017

However, the panel, which also comprised judges Collin Lawrence Sequerah and Faizah Jamaludin, upheld the High Court’s finding that Lim had defamed the plaintiffs in a series of statements issued between 2017 and 2018.

MonSpace and Lai filed the defamation suit in June 2019, seeking damages and an apology after Lim, in 15 statements, accused the firm of running an investment scheme that failed to pay promised returns and implied Lai was dishonest in running an illegal business, among others.

In his judgment, Akhtar found that Lim had gone beyond his role as an MP and should not have accompanied 19 Chinese nationals, who were alleged victims, to the company’s office without first verifying his claims.

Statements reek of mala fide

Reading out the verdict today, Sequerah said the bench agreed with the High Court ruling that Lim’s statements were based on assumptions and that he did not seek clarification with the plaintiffs before issuing them.

By not seeking clarification, the panel agreed that Lim’s statements were an attempt to influence the public against the plaintiffs, which reeks of mala fide (bad intention).

“There is no reason to interfere with the High Court’s decision (on the defamation and) we agree with the High Court judge’s finding that the impugned word is defamatory and tarnished the reputation of the respondents,” he said.

Court of Appeal judge Collin Lawrence Sequerah

MonSpace and Lai were represented by counsel Ivanpal Singh Grewal and Dhanesh Subramaniam Nair, while Sankara Nair represented Lim.

Following the High Court decision three years ago, Lim had raised RM2 million in public donations, with an excess of RM250,000, held by the plaintiffs’ law firm pending appeal.

Sankara told Malaysiakini after today’s proceedings that the excess funds will be returned and donated to charity.

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Thanking public for support

In a statement, Lim thanked his supporters and legal team, while affirming his resolve to continue speaking out without fear or favour.

“My wife and I wish to express our deepest gratitude for the incredible support that has sustained us. We are truly humbled by the generosity shown, particularly through the donations we have received.

“Our heartfelt thanks go to my party leaders and members for their steadfast support, and to our dedicated legal team, Sankara, Guok Ngek Seong, and their associates, for their tireless commitment.

“A further announcement regarding the donations will be made in due course,” he said. - Mkini

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