Overview Financial Information Stock Information News & Events Resources Contact
Back to previous page

Material Litigation

11 February 2011

Type Announcement
Subject MATERIAL LITIGATION
Description KUALA LUMPUR HIGH COURT (COMMERCIAL DIVISION) SUIT NO. D-22-1268-2009
NETWORK GUIDANCE (M) SDN BHD V TELEKOM MALAYSIA BERHAD AND TM NET SDN BHD
Telekom Malaysia Berhad (“TM”) refers to its previous announcement dated 11 January 2011 (TM - 110111-62973).
We wish to inform that Network Guidance Sdn Bhd’s (“NGSB”) solicitors has today served on TM and TM Net Sdn Bhd’s (“TM Net”) solicitors with an Amended Writ and Re-amended Statement of Claim (“Re-amended Claim”).

In the Re-amended Claim, NGSB has withdrawn its claims for Aggravated Damages of RM200,000,000.00 and Exemplary Damages of RM200,000,000.00 They have also abandoned their claim for loss of profit of RM500,000,000.00.

The reliefs sought by NGSB against TM and TM Net in the Re-amended Claim are as follows:-

a) a declaration that –
    i. NGSB and TM entered into an agreement whereby it was agreed that NGSB and TM will commence with the Fine TV project on a joint venture basis ( “the Agreement”);
    ii. TM breached the Agreement;
    iii as a result of the breach of the Agreement, NGSB suffered loss and damages.
b) an order that TM and TM Net pay NGSB the following special damages -
i. RM150,000.00 for the services of Fiberail Sdn. Bhd.;
    ii. RM300,000.00 for the services of “MYLOCA” and/or the rental space of TM Net;
    iii. RM1 million for the cost of the tests conducted;
    iv. RM5 million for equipment such as the server, the router, Digital Video Encoder, Set Top Box and Digital Video Editing;
    v. RM3 million for license fees for the use of software;
    vi. RM3 million for license fees for the use of content;
    vii. RM500,000.00 for legal fees;
    viii. RM4 million for overheads;
    ix. loan of RM7 million from Eurofine Sdn Bhd.
c) interest at the rate of 8% per annum on the special damages from the date of judgment to the date of full and final settlement of the special damages;

d) an order that TM and TM Net pay general damages;

e) an order that the general damages be assessed by the court;

f) interest of 8% per annum on the general damages from the date of judgment to the date of full and final settlement of the general damages;

g) cost; and

h) any other relief which the court deems fit.

In the Re-amended Claim, NGSB has also reflected the change of NGSB’s name to Fine TV Network Sdn Bhd.

TM will make further announcement on any material development.

This announcement is dated 11 February 2011.

Announcement Info

Company Name TELEKOM MALAYSIA BERHAD
Stock Name TM
Date Announced 11 Feb 2011
Category General Announcement
Reference No TM-110211-64386