Court orders company to pay RM200,000 for false info to CTOS

Court orders company to pay RM200,000 for false info to CTOS

A Sabah metal roofing company had sued a timber firm for defamation for claiming that it owed RM85,000 for more than six months.

The Sungai Petani sessions court concurred that the publication of the information on the CTOS system had tarnished the claimant’s reputation.
PETALING JAYA:
The Sungai Petani sessions court today ordered a timber company and its director to pay RM200,000 to a Sabah metal roofing company for defaming it in 2018.

According to the judgment, Teh Brother Timber Sdn Bhd gave the wrong information to credit reporting agency CTOS Data Systems Sdn Bhd on July 17, 2018 that Cooldec Industries Sdn Bhd had “owed” it RM85,000 for more than six months.

Cooldec, a company that provides metal roofing systems, said the incorrect information supplied to CTOS tarnished its business reputation.

Judge Roslan Hamid, who ruled in Cooldec’s favour, said Cooldec and Teh Brother Timber had no business links.

He said another company, Teh Brother Trading, had done business with Cooldec.

“The information provided to CTOS by the defendant (company director Teh Cheow Hoe), was wrong.

“The defendant admitted that he ordered Cooldec’s name to be inserted into the CTOS system,” he said.

Roslan noted that CTOS had deleted the information on the alleged debt in March 2019 after it had been informed by Cooldec.

“The publication (on the CTOS system) tarnished the claimant’s reputation and the defendant did not take steps to rectify the fact,” he said.

The court ordered Teh Brother Timber and Cheow Hoe to pay RM150,000 in general damages, RM20,000 in aggravated damages and RM30,000 in exemplary damages, plus RM9,325 in costs.

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