Maju Holdings Faces Potential Winding-Up After High Court Rejects Judicial Management Bid

KUALA LUMPUR (Nov 25) — Maju Holdings Sdn Bhd, the concessionaire behind the Maju Expressway (MEX), is now at risk of being wound up after the High Court dismissed its application for judicial management (JM). The court has instead allowed a creditor’s winding-up petition to proceed next month.

Judicial Commissioner (JC) Suhendran Sockanathan Saheran Abdullah delivered the ruling on Nov 17, with the decision made known on Monday. The court found that the company filed for JM without good faith and lacked a reasonable and viable rehabilitation plan to restructure its financial position.

The JM move had aimed to halt existing winding-up actions and appoint Datuk Dr V Shanmughanathan as judicial manager, but the court rejected the application and ordered Maju Holdings to pay RM30,000 in costs to the opposing creditor, Bridgex Sdn Bhd.

Winding-Up Petition Set for Hearing on Dec 16

The long-standing winding-up petition filed by Bridgex on April 20, 2023, will now be heard on Dec 16. Bridgex is seeking to recover RM67.99 million in outstanding payment for subcontract works on the stalled MEX II highway, the extension linking Putrajaya and Kuala Lumpur International Airport.

Bridgex had billed RM156.59 million for certified works completed, of which only RM88.59 million was paid, leaving nearly RM68 million unpaid.

Industry sources estimate Maju Holdings’ total outstanding liabilities could reach RM1.5 billion.

Background of the Dispute

Maju Holdings filed for judicial management in May 2023 — notably just weeks before the initial winding-up petition was to be heard. The application was made under Sections 404 and 405 of the Companies Act and sought to suspend all liquidation efforts.

Bridgex, represented by Wong Hok Mun, Ivanpal Singh Grewal and Keshvinder Kaur, opposed the JM on grounds of timing, financial opacity, and the absence of a credible rescue framework.

Counsel Ivanpal confirmed the court’s decision when contacted.

Key Individuals Facing Legal Scrutiny

The company has also been in the spotlight due to legal proceedings involving its owner, Tan Sri Abu Sahid Mohamed, and former director Datuk Yap Wee Leong. Both face charges related to criminal breach of trust and money laundering linked to the unfinished 16.8km MEX II project.

Meanwhile, Abu Sahid’s wife, Puan Sri Noor Azrina Mohd Azmi, has been charged with money laundering involving RM67.1 million allegedly received from her husband. All related cases are scheduled to be heard in Kuala Lumpur.

Market Context

The high-profile case has sparked concern among industry observers, particularly given the ripple effects stalled mega-projects can have on contractors, financiers and nearby growth corridors. Infrastructure progress often influences neighbouring districts and real estate sentiment — particularly areas experiencing strong activity such as:

• commercial property in KL

• transit-supported hubs offering office space in Bukit Jalil

• demand-heavy logistics corridors near factory in Puchong

• maturing industrial belts including industrial land in Selangor

• rising interest in industrial property in the Subang area

Ongoing issues surrounding MEX II may impact long-term infrastructure planning and private-sector involvement in major transport-linked developments.