Monday, August 10, 2026

Court reinstates KL Tower concessionaire as defendant in RM1bil suit

 A three-member Court of Appeal panel rules that LSH Service Master and its shareholders should not have been removed from the suit by the High Court.

kl tower
Former KL Tower operators Hydroshoppe Sdn Bhd and Menara Kuala Lumpur Sdn Bhd want LSH Service Master’s concession declared void and unlawful, and are seeking an estimated RM1 billion in damages and return of the concession.
PETALING JAYA:
The Court of Appeal has reinstated LSH Service Master Sdn Bhd and its two parent companies as defendants in a RM1 billion suit filed by former KL Tower operators Hydroshoppe Sdn Bhd and Menara Kuala Lumpur Sdn Bhd.

A three-member panel led by Justice Azhahari Kamal Ramli unanimously ruled that LSH Service Master and its shareholders, LSH Best Builders Sdn Bhd, and Service Master (M) Sdn Bhd, should not have been removed from the suit by the High Court.

The panel also allowed Hydroshoppe and Menara KL to amend their statement of claim, rejecting arguments that the amendment was a tactical move, reported The Edge.

The court found that the amendment was made early in the proceedings and in good faith, with no evidence of bad faith.

The three companies were ordered to pay RM30,000 in costs to Hydroshoppe and Menara KL, while the government and communications minister Fahmi Fadzil were ordered to pay RM15,000.

Hydroshoppe and Menara KL filed the suit last year, seeking to have LSH Service Master’s KL Tower concession declared void and unlawful.

They are also seeking an estimated RM1 billion in damages and the return of the concession.

The suit names the government and Fahmi as defendants.

The High Court had previously allowed the suit to proceed against the government and Fahmi but struck out the claims against LSH Service Master, LSH Best Builders and Service Master (M) Sdn Bhd.

LSH Service Master took over the management of KL Tower in April 2025.

According to LSH Capital’s Bursa Malaysia filing, the trial is scheduled for June 28 to July 2, 2027.

LSH Service Master and LSH Best Builders are subsidiaries of LSH Capital. - NST

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