Asia Media Annual Report 2017

ASIA MEDIA GROUP BERHAD Annual Report 2017 139 33. Material Litigation (cont’d) By the Defence and Counterclaim dated 14 May 2015, the Defendant counter claimed against the Plaintiff for breach of the License Agreement and pleaded the defence of set-off. Trial took place on 14 June 2016, and 11 to 13 July 2016. After trial concluded, the Defendant filed an application to amend its Counterclaim in July 2016, but the same was dismissed with costs of RM2,500. The Defendant filed an appeal against the decision to the Court of Appeal in October 2016. The hearing for the same took place on 10 July 2017, and our appeal was allowed, where costs was ordered to be in the cause. Rapid Rail then filed an application to call a further witness in September 2017. All relevant documents have been filed in relation to this application and it is pending the decision of the same. The Defendant filed an application for extension of time to file its Amended Defence and Counterclaim in February 2018. This application was dismissed by the Court with costs of RM4,500 on 29 March and the Defendant has filed an appeal on 2 April 2018. An application was also filed for the appeal to be heard on an urgent basis. The High Court also set 24 April 2018 for parties’ oral submissions on the main suit. The Defendant has requested from the High Court Judge for a stay of the same pending the hearing of its appeal regarding its application for extension of time to file its Amended Defence and Counterclaim, and will be filing a formal application in this regard. Our lawyer is of the view that the Group has a high likelihood of success in defending itself against the Rapid Rail’s claim and establishing its counterclaim against Rapid Rail. 34. Comparative Figures (a) The financial statements of the Group and of the Company for the financial year ended 31 December 2016 were audited by another auditor who expressed an unmodified opinion on those statements on 24 March 2017. NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2017 (cont’d)