KUALA LUMPUR: The Malaysian Stadium Corporation (PSM) failed in its bid to strike out a suit by KL Karnival Sdn Bhd, which is claiming damages of RM41.6 million over PSM’s alleged breach of land lease contract at Taman Sukan Extreme for the Bukit Jalil Stadium Carnival.
High Court judge Datuk Ahmad Bache struck out the application by PSM on grounds that the suit by KL Karnival had merit and should be tried.
Lawyer Adnan Seman, representing KL Karnival, told this to reporters after the proceeding which was held in chambers and also attended by PSM’s lawyer, Priscilla Tan.
Adnan said the court set April 4 for case management.
PSM filed the application on Sept 27, 2018 under Section 35 of the Perbadanan Stadium Malaysia Act 2010 which gives it immunity from any legal action if its action is done in good faith.
KL Karnival filed the suit on July 5 last year, naming its managing director Muhammed Rustam Roshandin as the plaintiff, with PSM as the sole defendant.
In the statement of claim, KL Karnival stated that PSM had leased a piece of land, measuring 123,000 sq ft, at Taman Sukan Extreme for three years, to end on Dec 31, 2020, for the carnival.
Following which, KL Karnival claimed that it had spent RM3 million to carry our land work at the site as well as invested a lot on advertisements in newspapers and magazines, as well as the social media to promote the event.
It also opened for registration traders keen to participate in the event, which drew 430 tent hawkers and 210 container hawkers to sign up and pay the fees for their spots.
However, KL Karnival claimed that in January 2017, PSM wanted to claim back a portion of the land for use as a car park.
KL Karnival is claiming RM41.6 in damages, as well as interests, cost and other relief deemed fit by the court. — Bernama
