The Kuala Lumpur High Court has ordered Rosmah Mansor to credit the RM67.46 million payout to Lebanese jeweller Global Royalty Trading SAL (GRTS) into a joint stakeholder account accessible to the parties’ solicitors.

Judicial commissioner Marianne Antoinette Ghani, in granting Rosmah a conditional stay of execution this morning, also ordered her to make the payment within one month from today.

The court referred her decision to a stakeholder mechanism decided in a Court of Appeal case, in which a judgment sum was paid to the appellant’s solicitors and stakeholders, finding it to be the appropriate solution while an appeal is pending.

The judge added that GRTS, being a foreign entity with no business presence or assets in Malaysia, may itself be a special circumstance in considering Rosmah’s application.

This, the court added, was because there is a real risk that Rosmah may not be able to recover the judgment sum, should the payout be credited directly to the plaintiffs, if she succeeds in her appeal later on.

“It is the finding of the court that a conditional stay, requiring the defendant (Rosmah) to pay the judgment sum into a stakeholder’s account of the parties, best balances the rights of the parties.

“This will ensure that the plaintiff, as the successful litigant, is assured the fruits of its successful litigation and avoid the prejudice caused by an unconditional stay if the appeal is dismissed.

“(Whilst) ensuring that the defendant’s rights of appeal shall not be rendered nugatory should her appeal be allowed, as the judgment funds shall remain within the jurisdiction and are easily, therefore, recoverable, preventing her appeal from being rendered nugatory.

“In the circumstances, the court orders that a conditional stay of execution be granted to the defendant pending her appeal to the Court of Appeal,” Marianne said.

However, the court added that GRTS is at liberty to proceed with execution if Rosmah fails to deposit the judgment sum as ordered today.

Consigned to Rosmah in 2018

Rosmah was ordered to pay the judgment sum in June after she failed to return 43 pieces of jewellery which the company consigned to her in 2018.

She then appealed against the decision and applied for a stay of execution, resulting in today’s decision.

Earlier, the court dismissed GRTS’ objection to Rosmah’s application, finding it defective and inadmissible as the company had affirmed its affidavits before a local notary in Beirut, Lebanon, which failed to comply with Order 41 Rule 12 of the Rules of Court 2012.

Order 41 Rule 12 governs the admissibility of affidavits sworn or taken outside of Malaysia.

Counsel Reza Rahim appeared for Rosmah today, while lawyer David Gurupatham appeared for GRTS.

Reza confirmed to the media that Rosmah will be appealing the High Court’s decision.

GRTS filed the suit against Rosmah in 2018, seeking the return of 44 pieces of jewellery, but later withdrew it and refiled the case in 2023. Only one piece of the jewellery had been returned to the company so far.

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