Judicial Management in Malaysia: Court of Appeal Clarifies that Unsecured Creditors Have No Right to Intervene

Introduction

The Court of Appeal in Desa Tiasa Sdn Bhd v CME Group Bhd & Anor [2025] MLJU 4345 (“Desa Tiasa“) has clarified an important point of law on the standing of unsecured creditors in judicial management (“JM“) proceedings. It has confirmed that unsecured creditors have no right to intervene or to be heard in an application for a judicial management order (“JMO“), unless such right is expressly provided for by statute or subsidiary legislation.

Filed under:
Malaysia, Company & Commercial, Insolvency & Restructuring, Litigation, Rajah & Tann Asia, CME Group, Maybank
Authors:
Chua See Hua , John Mathew , Janice Ooi , Heng Yee Keat
Location:
Malaysia
Firm:
Christopher & Lee Ong
MF Global's missing money

As MF Global, Inc. declared bankruptcy on October 31st, the CFTC and SEC released a statement advising that MF Global had informed them of possible deficiencies in customer futures segregated accounts. CFTC-SEC Press Release. On November 1st, the Wall Street Journal reported that the FBI is investigating whether MF Global diverted customer funds.

Filed under:
USA, Capital Markets, Derivatives, Insolvency & Restructuring, Winston & Strawn LLP, Bankruptcy, Fraud, Futures contract, Subpoena, Severance package, US Securities and Exchange Commission, Commodity Futures Trading Commission (USA), FBI, The Wall Street Journal, CME Group, Trustee
Location:
USA
Firm:
Winston & Strawn LLP