Court orders Khazanah’s hotel subsidiary in Johor to wind up over RM95 mil debt

TAR PH Sdn Bhd is found to have wrongfully terminated air-cooling system supply agreement for Puteri Harbour Hotel

11:25 AM MYT

 

KUALA LUMPUR – The high court has ordered the winding up of TAR PH Sdn Bhd, a Khazanah Nasional Bhd subsidiary, over an outstanding debt of nearly RM95 million three years ago linked to its hotel operations in Johor.

TAR PH – fully owned by Themed Attractions Resorts & Hotels Sdn Bhd, Khazanah’s entity managing hospitality and attraction destinations – was found to have wrongfully terminated an agreement for air-cooling system supplies at the Puteri Harbour Hotel in Iskandar Puteri.

The winding-up order was issued by judicial commissioner Raja Rozela Raja Toran at the high court in Shah Alam following a petition filed by creditor Jana DCS Sdn Bhd in August last year, FMT reported.

The court also appointed the official receiver as the liquidator for TAR PH and awarded RM10,000 in costs to Jana DCS, to be drawn from the soon-to-be dissolved company’s assets.

The petition was filed after TAR PH failed to meet a statutory demand issued in July last year. The dispute traces back to the company’s decision to terminate a 2012 agreement related to air-cooling supplies for the hotel.

In an effort to resist the winding-up, TAR PH argued that the ongoing appeal at the Court of Appeal against the high court’s earlier refusal to set aside an arbitration award demonstrated a bona fide dispute over the debt. The appeal is scheduled for a hearing on March 25. 

TAR PH’s legal representatives contended that an application to overturn the arbitration ruling could constitute a legitimate challenge to the debt. They also argued that winding up should be “a drastic measure of last resort”, pursued only after all other recovery options had been exhausted.

However, Jana DCS countered that the appeal had no bearing on the winding-up proceedings and maintained that creditors were not legally required to exhaust alternative remedies before filing a winding-up petition.

Jana DCS was represented by Liew Teck Huat, Ong Kang Nyong, and Anisya Kaur, while TAR PH was defended by K. Gobinath and Kee Jing Min.

The winding-up petition noted that TAR PH’s financial statements indicated assets worth RM66.48 million, against liabilities amounting to RM183.76 million, inclusive of the debt owed to Jana DCS.

TAR PH owns the JEN Johor Puteri Harbour Hotel, a four-star establishment that was previously managed by the Shangri-La group before ceasing operations on May 9, 2023.  Located along Persiaran Puteri Selatan in the popular Puteri Harbour shopping and dining district, the hotel was previously known as Traders Hotel Puteri Harbour before being renamed. – February 8, 2025

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