{
  "id": 17943270,
  "title": "Fashion Valet deal required board approval for dividends, court told",
  "url": "https://urgent.news/2026/11/03/fashion-valet-deal-required-board-approval-for-dividends-court-told-17943270",
  "topic": "world",
  "section": "World",
  "published": "2026-11-03T09:24:00.000Z",
  "source": {
    "name": "Free Malaysia Today",
    "slug": "free-malaysia-today",
    "url": "https://www.freemalaysiatoday.com/category/nation/2026/11/03/fashion-valet-deal-required-board-approval-for-dividends-court-told"
  },
  "original_language": "en",
  "account": "Fashion Valet Sdn Bhd's shareholders agreement necessitated board approval before the company could pay dividends, as heard in the sessions court today. According to corporate lawyer Anne Wong, 49, who drafted the agreement in March 2018, a majority of directors, including those appointed by Pulau Tiga Ventures Sdn Bhd, a subsidiary of Khazanah Nasional Bhd, had to approve any dividend declaration. This clause stipulated that dividends could not be declared if the company lacked profits, in compliance with the Companies Act 2016. Furthermore, Fashion Valet was barred from granting loans or credit facilities to its directors, shareholders, related companies, or other parties without majority board endorsement. The lawyer emphasized that the company was obligated to present a summary of investment fund utilization to the board every three months and annually until the funds were fully utilized. The couple, Vivy Yusof and Fadzarudin Shah Anuar, both 38, were jointly charged on December 5, 2024, with criminal breach of trust involving investment funds from Khazanah Nasional Bhd and Permodalan Nasional Bhd. They are alleged to have authorized a RM8 million payment to 30 Maple Sdn Bhd without board approval on August 21, 2018. They pleaded not guilty to the charges under Sections 409 and 403 of the Penal Code, which carry penalties of up to 20 years' imprisonment, whipping, and a fine, or between six months and five years' imprisonment, whipping, and a fine, respectively. Their trial, presided over by judge Rosli Ahmad, is ongoing.",
  "summary": "The agreement also prohibited the company from extending loans or credit facilities to directors, shareholders, related companies or other parties without board approval.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "Malay Mail",
        "title": "Fashion Valet trial: Investment funds cannot be used to pay dividends, court told",
        "url": "https://urgent.news/2026/11/03/fashion-valet-trial-investment-funds-cannot-be-used-to-pay-dividends",
        "published": "2026-11-03T10:37:27.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}