On 6 February 2026, the Court of Appeal in Penang dismissed a motion by GTM Land & Property Sdn. Bhd. to stay a winding-up order pending appeal, holding that no special circumstances justified suspending the order.

The motion (Enclosure 6) was heard before a panel comprising Dato’ Dr Choo Kah Sing, Datin Paduka Evrol Mariette Peters, and Dato’ Hajah Aliza binti Sulaiman. The Court affirmed that the winding-up order dated 16 October 2025 remains in force.

The winding-up petition was filed by Global Tobacco Manufacturers (International) Sdn. Bhd. and was originally granted by the Penang High Court on 16 October 2025. The High Court found that a judgment debt of RM14,471,137.44, inclusive of interest, was final and conclusive.

The debt arose from a summary judgment granted on 4 December 2023, ordering GTM Land & Property Sdn. Bhd. to pay the outstanding sum together with interest and costs. The decision was subsequently affirmed by the Court of Appeal on 6 September 2024, and leave to appeal to the Federal Court was dismissed on 20 March 2025, rendering the judgment final.

The dispute stemmed from a Memorandum of Understanding dated 11 January 2011 and a Joint Venture Agreement dated 26 November 2012 between the parties for the joint development of land in Seberang Perai Tengah, Penang. The development, known as “Tropicale Residency,” involved consideration of RM25,454,660.00 payable to Global Tobacco Manufacturers (International) Sdn. Bhd., comprising allocated lots and units. However, only partial payment was made, leaving the outstanding balance of RM14,471,137.44.

With the dismissal of the stay application, the Court of Appeal reaffirmed that the debt remains undisputed and that the winding-up proceedings against GTM Land & Property Sdn. Bhd. will proceed.

Global Tobacco Manufacturers (International) Sdn. Bhd. was represented by Ms. Karin Lim Ai Ching, together with Mr. Nick Tan Wei Ceat, Ms. Katherine Low Kai Xin, Mr. Kelvin Leong Chun Fai, and Mr. David Tan Hong Kai.