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- In his ruling, Judge Akhtar Tahir said KL Landmark and City Properties “blatantly” ran afoul of “the Strata Management Regime". Akhtar added that they could not rely on their own failure to convene the first annual general meeting (AGM) as justification for the interim financial manoeuvres.
KUALA LUMPUR (Dec 11): The Kuala Lumpur High Court ruled in favour of K Residence’s joint management body (JMB), cancelling five “contra arrangements” made by developer KL Landmark Sdn Bhd and landowner City Properties Sdn Bhd before the management body was formed, in a landmark ruling. These arrangements tried to offset maintenance fees with services instead of paying cash.
Judge Akhtar Tahir in his decision on Dec 3, ruled that KL Landmark and City Properties must pay outstanding charges and sinking funds, which amounted to RM72.8 million from between 2009 and 2018, like any other unit owner.
K Residence is a 50-storey luxury condominium located on Jalan Ampang. KL Landmark and City Properties are both run by Dutaland Bhd’s (KL:DUTALND) group managing director Tan Sri Yap Yong Seong’s family.
In his ruling, he said KL Landmark and City Properties “blatantly” ran afoul of “the Strata Management Regime". Akhtar added that they could not rely on their own failure to convene the first annual general meeting (AGM) as justification for the interim financial manoeuvres.
The first AGM is important because it marks the official handover of management power to the JMB. The developer manages the building until the first AGM is held.
Akhtar found Yong Seong’s son Datuk Seri Yap Wee Keat, who is director of both KL Landmark and City Properties, personally liable for the offence, stating he could not "hide behind the corporate veil" as he was aware of the unlawful acts committed. Wee Keat was asked to pay RM200,000 in costs.
Wee Keat retired as a director in Dutaland on Nov 27, 2025.
The JMB initiated its suit in 2019, seeking outstanding payments for charges and sinking funds for unsold parcels and the provisional block, partly because the developer failed to hold the first AGM within 12 months.
The ruling clarifies key aspects of Malaysian strata management law, emphasising strict adherence to statutory timelines and preventing developers from leveraging procedural failures for financial advantage.
The court ruled that City Properties broke the Strata Titles Act 1985 by not issuing strata titles on time. It also found that the auditor was not responsible to the JMB, as their audit relied only on documents from the developer.
The JMB was represented by Lai Chee Hoe, Deyvinah Ganesalingam, Chris Low Yen Hau and Jonathan Tan.
KL Landmark was represented by Alex Tan Chie Sian and Hing Hong Shen, while Yap was represented by Nur Sabreena.
City Properties was represented by Porres Royan, Kamraj Nayagam, Aimee Liew, Maya Gayathri, Fang Kai Loon and Wong Guo Bin, while the auditor was represented by Kirthika Padmanapan.
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