Federal Court grants interim injunction in JAKS-Star Media case

PETALING JAYA: The Federal Court has allowed an interim stay or Erinford Injunction in the JAKS Resources Bhd (JRB)–Star Media Group Bhd case against the release of an RM50 million bank guarantees to the media group.
“The Federal Court allowed an interim stay/Erinford Injunction pending hearing of JAKS leave to appeal to the Federal Court against the Court of Appeal’s dismissal of JAKS Erinford application before the Court of Appeal, which is fixed for Sept 26,” the media group’s board of directors told the stock exchange today.
JRB said in a separate filing the interim injunction restrains Star from receiving and the financial institutions from paying the bank guarantees pending the hearing and disposal of Jaks Island Circle Sdn Bhd’s (JIC) motions for leave to appeal to the Federal Court.
To recap, JAKS had on July 30 served the publisher of The Star with new notices which included an application for leave to appeal to the Federal Court against the Appellate Court’s decision on July 27.
The recent notice also included an application for Interim orders pending the hearing of the application for leave to appeal the Court of Appeal’s decision to the Federal Court.
On July 23, the Court of Appeal dismissed JRB subsidiary JIC motions for Erinford injunction to stop Star Media Group Bhd from claiming a bank guarantee of RM50 million provided for a joint development project in Section 13, Petaling Jaya.
Star Media’s shares gained 0.82% to close at RM1.23 with some 88,100 shares done. JRB gained 0.94% to close at RM1.07 with some 13.14 million shares done.