PUTRAJAYA, March 19 — The Court of Appeal (COA) has upheld the Kuala Lumpur High Court’s decision to annul the RM86.77 million fine proposed by the Malaysia Competition Commission (MyCC) against Grab Holdings Inc and its subsidiaries, GrabCar Sdn Bhd and MyTeksi Sdn Bhd, in 2019.
According to a report in The Edge, a three-member panel led by Justice Datuk ES Nantha Balan, along with Datuk Dr Lim Chong Fong and Datuk Ahmad Kamal Md Shahid, also ordered MyCC to pay RM50,000 in costs to Grab.
Delivering the unanimous decision, Lim said MyCC had been “cavalier” in its investigations, which the court found to be procedurally improper, justifying the judicial review. He noted that MyCC should have notified Grab and its subsidiaries of the request for information under Section 18 of the Competition Act 2010, as investigations must be based on a third-party complaint.
Lim also highlighted that MyCC’s letter to the respondents was ambiguous, depriving them of details regarding the complaint, which led to their request for more information.
He further explained that Sections 35 to 40 of the Competition Act, which deal with interim measures and findings of infringement, do not provide a mechanism to challenge a proposed decision. Since no internal appeal process exists for MyCC’s proposed decision, the court found that Grab was justified in seeking judicial review.
The COA had previously overturned a High Court ruling that denied Grab leave to file for judicial review. Lim cited a past decision by then-COA judge Datuk Hanipah Farikullah, now a Federal Court judge, who ruled that judicial review should proceed if there was initial evidence of procedural impropriety. He added that Hanipah had observed the lack of provisions in the Competition Act for an automatic avenue to challenge a proposed decision, reinforcing the need for judicial review.
MyCC was represented by Tan Sri Tommy Thomas and Mervyn Lai, while Grab and the other respondents were represented by Datuk Malik Imtiaz Sarwar, Yvonne Lim, and Shanthi Kandiah. On July 6, 2023, the High Court allowed Grab’s judicial review, with then-High Court judge Datuk Wan Ahmad Farid Wan Salleh ruling that MyCC’s announcement of the proposed fine was procedurally flawed and violated natural justice.
