SAJ Ranhill Sdn Bhd filed a lawsuit against SWM Greentech Sdn Bhd and SWM Environment Sdn Bhd over eight incidents of leachate spillage originating from their landfill between 2016 and 2018.

The spillage caused pollution in Sungai Benut, where SAJ Ranhill extracts raw water for treatment at its plant.

The treatment plant had to be closed because of pollution caused by the spillage.

The Court of Appeal panel, led by Justice Has Zanah Mehat, allowed SAJ Ranhill’s appeal against a decision of the High Court which dismissed their claim in 2021.

Also on the panel were Justices Che Ruzima Ghazali and See Mee Chun.

In a written judgment, See said the landfill operators were found to be negligent after expert witness Maketab Mohamed testified that the water pollution had been caused by effluent discharged from their disposal site.

The judge said Maketab’s testimony was also corroborated by the testimony of Riduan Mohd Ali, an officer at the state’s water regulatory body.

Riduan had told the court his department had conducted checks on one of the eight occasions to trace the source of pollution.

He said his investigation found that there were overflows into Sungai Benut from two effluent retention ponds at the disposal site.

“Also, the respondents (SWM Greentech and SWM Environment), through their solicitor’s letter dated April 27, 2018, admitted to incidents of leachate spillage into Sungai Benut in 2016, 2017 and 2018.

“The dates mentioned (in the letter) overlap with the eight occasions of shutdown. It also went on to state these were primarily due to very heavy rainfall and (upgrading of) the existing leachate treatment plant,” said See.

On damages, the court noted that SAJ Ranhill wanted more than RM1.6 million as compensation for the shutdowns, which included pure economic loss, which the court rejected.

Instead, it awarded RM100,000 for physical or property damage suffered.