
The Court of Appeal today upheld Kepong MP Lim Lip Eng’s liability in a defamation suit filed by businesswoman Jessy Lai but reduced the damages from RM2 million to RM75,000.
Lai, founder of e-commerce company Monspace (M) Sdn Bhd, sued Lim in 2019 for accusing her and the firm of running an illegal business and cheating Chinese investors.
In 2023, the High Court ruled in Lai’s favour and awarded RM2 million in damages.
Delivering the appellate court’s decision, Justice Collin Lawrence Sequerah described the award as “excessive” and inconsistent with prevailing defamation trends. The panel ordered Lim to pay RM50,000 to Lai and RM25,000 to Monspace, in addition to RM50,000 in costs.
Sequerah said Lim’s remarks were speculative and conveyed that Lai had bribed government officers to avoid enforcement action. “The defendant admitted he did not verify his claims before making the statements. His conduct showed bad faith and recklessness,” he said.
Justices Ahmad Zaidi Ibrahim and Faizah Jamaludin sat with Sequerah on the panel. Lim was represented by SN Nair and Guok Ngek Seong, while Lai was represented by Ivanpal Singh Grewal.
In a statement, Lim expressed gratitude for donations he had received and thanked his legal team, adding that further announcements would be made in due course.