{
  "id": 17947984,
  "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",
  "topic": "culture",
  "section": "Culture",
  "published": "2026-11-03T10:37:27.000Z",
  "source": {
    "name": "Malay Mail",
    "slug": "malay-mail",
    "url": "https://www.malaymail.com/news/malaysia/2026/11/03/fashion-valet-trial-investment-funds-cannot-be-used-to-pay-dividends-court-told/241854"
  },
  "original_language": "en",
  "account": "Corporate lawyer Anne Wong Wai Yee testified that investment funds could not be used to pay dividends or any other purpose beyond the agreed-upon uses, which included technology development, store and warehouse expansion, and product and brand acquisition. The court heard that Fashion Valet was required to submit quarterly and annual summaries of investment fund utilization to the board of directors. Wong confirmed that she had no involvement in the distribution of dividends or the transfer of investment funds, as her role was limited to drafting and coordinating contractual agreements. The founders, Datin Vivy Sofinas Yusof and Datuk Fadzarudin Shah Anuar, are accused of criminal breach of trust involving RM8 million in investment funds from Khazanah Nasional Berhad and Permodalan Nasional Berhad. They are alleged to have approved payments to a company called 30 Maple without obtaining board approval. The trial continues on November 20.",
  "summary": "KUALA LUMPUR, Nov 3 — The Sessions Court hearing the case involving Fashion Valet Sdn Bhd (Fashion Valet) fo...",
  "key_points": [
    "Investment funds cannot be used for dividends, court instructed",
    "Fashion Valet must report fund use quarterly and annually",
    "Datin Vivy and Datuk Fadzarudin accused of criminal breach of trust"
  ],
  "editors_take": "The legal argument centers on strict contractual limitations that prevent founders from diverting capital intended for business growth into unauthorized payouts or unapproved third-party transfers.",
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "Free Malaysia Today",
        "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",
        "published": "2026-11-03T09:24:00.000Z"
      }
    ]
  },
  "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."
}