Court grants JAKS interim order

PETALING JAYA: The High Court has granted JAKS Resources Bhd (JRB) an interim order to restrain the banks from issuing a RM50 million bank guarantee to Star Media Group Bhd.
JRB told the stock exchange the ad interim stay granted following a case management held today, would last until the inter-parte injunction applications scheduled for hearing on July 23.
In a separate announcement, Star Media said that JRB’s lawyers had withdrawn their application for stay of execution.
Last Thursday, the court dismissed JRB’s injunction to stop Star Media from claiming a bank guarantee of RM50 million provided for a joint development project in Section 13, Petaling Jaya.
The court had also ordered the financial institutions to release the bank guarantees to the group within five working days from the said dismissal.
JRB had then instructed its solicitors to file a notice of appeal at the Court of Appeal and further file applications for stay of execution of the High Court order as well as for an Erinford Injunction on the issuing financial institutions and Star Media pending the hearings of the appeals.
Shares of Star Media and JAKS closed unchanged at RM1.12 and RM1.20 today.