PETALING JAYA: The High Court ruled in favour of Redberry Sdn Bhd in a lawsuit against Utusan Melayu (Malaysia) Bhd over the RM8.5 million unreturned deposits.
Utusan told the stock exchange yesterday that despite the High Court’s decision, its counterclaim against Redberry for inter alia the sums totaling RM48.32 million, general damages and exemplary damages under the main suit still subsists.
It noted that the counterclaim will extinguish the summary judgment obtained by Redberry for the sum of RM8.5 million.
Utusan will also appeal to the Court of Appeal against the High Court’s decision.
Recall that Redberry in last September claimed that Utusan failed to refund the RM8.5 million deposit paid for “advertising, branding & communication exercise” by Redberry Media Group through Utusan Malaysia & Mingguan Malaysia’ dated April 30, 2018.
Utusan was admitted into the Practice Note 17 (PN17) category last August after it defaulted on payments to Maybank Islamic Bhd and Bank Muamalat Malaysia Bhd.
It has about five months to submit a regularisation plan to the relevant authorities for approval.
Its share price fell 5.56% or 1.5 sen to 25.5 sen yesterday with 781,500 shares changing hands.