Penang, 6 February 2026 — The Court of Appeal today dismissed a motion filed by GTM Land & Property Sdn. Bhd. seeking a stay of a winding-up order, holding that there were no special circumstances to justify suspending the order pending appeal.
The motion (Enclosure 6) was heard and dismissed by a panel of Honourable Court of Appeal Judges comprising Dato’ Dr Choo Kah Sing, Datin Paduka Evrol Mariette Peters, and Dato’ Hajah Aliza binti Sulaiman. The court ruled that the winding-up order dated 16 October 2025 should remain in force.
The winding-up petition was presented by Global Tobacco Manufacturers (International) Sdn. Bhd. and was originally granted by the Penang High Court Judge YA Dr. Suzana binti Mohamad Said on 16 October 2025. The High Court found that the judgment debt amounting to RM14,471,137.44, inclusive of interest, was final and conclusive, thereby warranting the winding-up order against GTM Land & Property Sdn. Bhd.
The petition arose from a summary judgment granted on 4 December 2023 by the Honourable High Court Judge YA Dato’ Anand Ponnudurai, who ordered GTM Land & Property Sdn. Bhd. to pay Global Tobacco Manufacturers (International) Sdn. Bhd. the said sum together with interest and costs. That judgment was subsequently affirmed by the Court of Appeal on 6 September 2024, and the Federal Court dismissed the application for leave to appeal on 20 March 2025, rendering the judgment final and conclusive.
GTM Land & Property Sdn. Bhd. is the registered owner of land known as No. 3406, Jalan Machang Bubok 2, 14000 Bukit Mertajam, held under Geran No. 155028, Lot No. 30056, Mukim 15, Seberang Perai Tengah, Pulau Pinang, on which the Vangohh Eminent Hotel is erected.
The dispute traces back to a Memorandum of Understanding dated 11 January 2011 and a Joint Venture Agreement dated 26 November 2012 entered into between Global Tobacco Manufacturers (International) Sdn. Bhd. and GTM Land & Property Sdn. Bhd. for the joint development of land owned by Global Tobacco, namely Geran Hakmilik Nos. 19153 and 19154, Geran Mukim Nos. 14 and 15, Lot Nos. 1112, 1113, 1205 and 1207, all situated in Mukim 15, Daerah Seberang Perai Tengah, Penang. The joint development resulted in a residential and commercial project known as “Tropicale Residency.”
Under the terms of the MOU and JVA, Global Tobacco Manufacturers (International) Sdn. Bhd. was entitled to consideration amounting to RM25,454,660.00, inclusive of allocated lots and units. However, records showed that GTM Land & Property Sdn. Bhd. only made partial payment, leaving an outstanding balance of RM14,471,137.44.
With today’s decision, the Court of Appeal reaffirmed that the debt remains undisputed and final, and that the winding-up proceedings against GTM Land & Property Sdn. Bhd. shall proceed.
Counsel for Global Tobacco Manufacturers (International) Sdn. Bhd.:
Ms. Karin Lim Ai Ching, Mr. Nick Tan Wei Ceat, Ms. Katherine Low Kai Xin, Mr. Kelvin Leong Chun Fai, and Mr. David Tan Hong Kai.
Counsel for GTM Land & Property Sdn. Bhd.:
Mr. Raj Shankar Rajahran, Mr. Harvinderjit Singh, and Ms. Tina Ann Francis.
