Appeals court cuts MP’s defamation damages from RM2mil to RM75,000

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Appeals court cuts MP’s defamation damages from RM2mil to RM75,000


Ho Kit Yen


Justice Collin Lawrence Sequerah says the award was 'excessive' and not in line with trends in defamation cases

Justice Collin Lawrence Sequerah said Kepong MP Lim Lip Eng acted in bad faith and was reckless in failing to verify his claims after alleging that businesswoman Jessy Lai ran an illegal business and had cheated Chinese investors.

PUTRAJAYA: The Court of Appeal today reduced Kepong MP Lim Lip Eng’s defamation damages from RM2 million to RM75,000 while upholding his liability in the suit filed by businesswoman Jessy Lai.

Lai, founder of e-commerce firm Monspace (M) Sdn Bhd, sued Lim in 2019 for accusing her and her company of running an illegal business and cheating Chinese investors.

In 2023, the High Court ruled in her favour and awarded RM2 million in damages.


Delivering the appellate court’s decision, Justice Collin Lawrence Sequerah said the award was “excessive” and not in line with trends in defamation cases.

The panel ordered Lim to pay RM50,000 to Lai and RM25,000 to Monspace.


The court also directed Lim to pay Lai costs of RM50,000.

Sequerah said Lim’s remarks were based on assumptions and conveyed that Lai had bribed government officers to avoid enforcement action.

“The defendant admitted that he did not verify his claims with her 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 the donations he had received and thanked his legal team for their commitment.

“A further announcement regarding the donations will be made in due course,” he said