The High Court in Kuala Lumpur has ordered MYAirline co-founder Goh Hwan Hua and several entities linked to him to repay RM67.56 million to 206 investors, after ruling that an investment scheme they operated was an illegal deposit-taking and Ponzi-style scheme.
In a statement, law firm Zharif Nizamuddin, which represented the investors, said Justice Leong Wai Hong entered a default judgment on July 16 after the defendants failed to enter an appearance or file a defence despite being served with the lawsuit.
The court found that Goh and the companies operated as a single “ecosystem scheme” and economic unit, with Goh identified as the controlling mind behind the operation.
It also ruled that the investment agreements signed by the investors were void from the outset, and that products marketed as Shariah-compliant did not meet Shariah requirements. The court further found that the defendants had lied to or misled the investors.
Goh and the companies were ordered to jointly and severally repay the RM67,556,087 invested by the 206 investors, together with pre-judgment interest at the fixed deposit rate and post-judgment interest of 5% per annum.
The court also ordered the defendants to disclose full details of their bank accounts and financial transactions to assist the investors in tracing and recovering the funds.
In addition, the court awarded RM80,000 in legal costs to the investors.
The lawsuit stemmed from investments made between 2018 and 2023, during which the plaintiffs alleged they were persuaded to invest through various instruments, including letters of participation, partner financing agreements and share subscription agreements for redeemable preference shares.
The investors claimed they had been promised guaranteed monthly returns.
On Feb 28, 2025, the group filed a fresh lawsuit against Goh and 30 other defendants, including individuals, companies, a law firm and a Shariah consultancy firm.
Among the entities named are I-Serve Technology and Vacations Sdn Bhd, I-Serve Travels & Tours Sdn Bhd, I-Serve Online Mall Sdn Bhd, Tawafuq Consultancy Sdn Bhd, Bright Moon Venture PLT, MM2217 PLT and QA Smart Partnership PLT.
