The Secrets in Debt Recovery & Collection In Kuala Lumpur Malaysia
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If you want to get your money back quick, read on.
The first half is recovery against a Company and the other part is when your debtor is NOT a Company.
WHAT IS THE FASTEST METHOD IN DEBT RECOVERY AGAINST A COMPANY?
File a companies winding up petition WITHOUT getting a judgment (going the long process of trial).
Winding Up Without a Judgment Petition Malaysia
Filing a Companies Winding Up Petition against your debtors (who are a company, in Malaysia they are BERHAD, BHD, or a Private Limited Company, SENDIRIAN BERHAD, Sdn Bhd), is the fastest method of recovery.
What is the Alternative
The alternative will be a filing of a Writ of Summons to get a judgment then file a winding up petition AFTER getting a judgment.
HOW SOON: USUALY WITHIN 6 MONTHS
From our experience it takes about 6 months from the time we issue a letter of demand till the recovery of the debts.
WHY MUST I ACT NOW: WHY NOT LET OTHER CREDITORS START THE PROCESS FIRST
In this debt recovery game the sooner you start your recovery process the sooner you will be paid. The reason is simple, we have experienced a matter where there are about 60 creditors taking legal actions at the same time, only less than 5 received payment.
HOW & WHY- FREEZING OF ASSETS
Once we have filed a companies winding up petition against the debtors, we will usually proceed to take legal action to freeze the assets of the company, all these will take place within two months of filing the action in court, once that is achieved, when the winding up order is finally made, the monies in their bank accounts and the assets are intact for the Liquidator to collect and distribute to the creditors.
MY DEBTOR IS NOT A COMPANY
SUMMARY JUDGMENT FOR THE INDIVIDUAL DEBTORS
In Malaysia, once a matter is filed in Court, generally it takes about a year for the matter to be concluded. For the various procedures in the Malaysian Court, click here. After the hearing, the Court may grant you a Judgment,
after getting a judgment, you need to execute the judgment.
To understand how to recover your debts you must understand the entire procedure in order to effectively collect your outstanding debts from the beginning till the time your debt is collected.
JUDGMENTS DO NOT EQUAL RECOVERY OF YOUR MONEY
After you have gone through the lengthy process of completing the entire proceedings (at times including a trial) and then getting a judgment against your debtors, it does not automatically means that the debtors will automatically pay the debts automatically.
You will have to commence execution proceedings such as a companies winding up petition (after judgment), Bankruptcy Petition or a Writ of Seizure and Sale.
There is faster way of obtaining a judgment rather than going for a trial, the process is called summary judgment and we have written an article please click on the article below.
Fastest Way to Get a Judgment in Debt Recovery Summary Judgment
HOW TO SEIZE THE ASSETS OF THE DEBTOR WITH A JUDGMENT
Send in the SEAL Team To Extract Your Lost Funds
Frequently Asked Question: How can an unsecured creditor recover their debts?
The perception on this is that only bankers and secured creditors may recover their debts. This is generally true.
Can unsecured Creditors get paid ahead of the Bankers?
The short answer is YES, click here to read more.
How Do I Submit My Debt Recovery Query
Please click here for the guideline or checklist OR If you would like to submit a Debt Recovery Query Form directly to us.
WHO MOVED MY MONEY? Your debtors…
In one the following cases you will find that in FW V Suitech the Provisional Liquidator was appointed in November 2007 and the Company was wound up in January 2008 (see also Pay up or Wind Up) the whole process took about 3 months:
These are the brand new cases published in 2008 (reported Back to Back):
FW Industries v Suitech (the Original grounds written by the learned Judge Hishamudin, who was later elevated to the Court of Appeal and retired in the year 2015, published in the Current Law Journal: [2008] 3 CLJ 210
PECD V FREEHOLD (the original grounds written by the learned Judge, now Judge of the Court of Appeal Dato Vincent Ng, published in the Current Law Journal:
[2008] 3 CLJ 215
Visit Current Law Journal www.cljlaw.com to download a copy of the actual report.
Dear Alex
I have Done a business agreement with A Sdn Bhd company.
once the supplier couldn’t fulfill his promises by delivering the goods of RM 1xxk, i requested a full refund but he kept delaying and avoiding till I pressured him to write me a cheque.
However, he told me he doesn’t have balance and i should wait till he inform me when to deposit it.
What shall i do?
Dear Sam
Whenever a debtor asks the creditors to wait, you have a choice to wait for a while then after your patience run out then you can decide to take legal action. Usually (in the absence of special circumstances) we will perhaps wait for two to four weeks.
Thanks again.
Best Regards
Alex Chang
Alex CHANG & Co
Cell/ Whatsapp/ Viber +60122273289
HK: +852-8170-3389
http://www.AlexChangLaw.com
http://alexchanglaw.com/index.php/disclaimer-terms-conditions-website-electronic-communications/
Dear Mr Alex Chang
I am exporter of Agri Commodity in India.I have export cumin Seed in Malaysia. Total Value of Payment is around US$35,000/- but this company did not send the payment in last week.
They have given TT copy but the TT copy is not aunthicated so it cannot be cashed.
so i am what type of Legal action taken for This company.pl help for recovery of payment and next week i am going to malaysia.
Company Information :
Axxxxxxxxx Trading SDN BHD
Peatling Jaya Selangor, Malaysia.
Mr azan- +6014 xxxxxxxx (senior manager)
Mr danny- +6014 xxxxxxxx (import manager)
Mr Bharat -+6011 xxxxxxxx (Boss)
so please suggest what type of legal action can be taken for this company and how much will be the charges for debt recovery.
Dear Sir
Thank you for your mail.
Our recommendation would be to:
Make a company search to find out the details of the company and their directors and shareholders;
File a writ of summons followed by
http://alexchanglaw.com/index.php/court-procedures-receive-malaysian-writ-summons/
Summary judgment application.
http://alexchanglaw.com/index.php/summary-judgment/
Lastly winding up actions
http://alexchanglaw.com/index.php/services/debt-recovery-collection-in-malaysia/
If you are agreeable, we will send you the quotation.
Thanks
Best Regards
Alex Chang
Cell/ Whatsapp/ Viber +60122273289
HK: +852-8170-3389
http://www.AlexChangLaw.com
http://alexchanglaw.com/index.php/disclaimer-terms-conditions-website-electronic-communications/
We are a company work under S********. However, we are not dealing directly with the company as we are only one of the sub-contractors of the principal/ owner of the project. S******** claimed that they have made the payment to the company (principal) but the principal owed us up to RM 100,000 (around 3 months payment) and now we are still unable to recover the outstanding debts/ sum. What actions can we take? Thank You.
It’s a relief to find sooemne who can explain things so well
Thank you so much. We are trying our best to share some information that we have acquired over the years.
Alex
Dear Mr Ung
Thank you for your mail.
We will normally advise you to take legal action immediately while the debtor is still in operation.
Pls call us to make an appointment so that we can tell you in greater details.
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