IN THE MOOT COURT OF UiTM

CRIMINAL APPEAL

BETWEEN

DIME BANK APPELLANT

AND

TAN AH GUA RESPONDENT

FACTS:

The Appellants, as chargees, upon exercising their rights as such, had conveyed a
piece of land to Tan Ah Gua through a successful bid in an auction. It subsequently
surfaced that, the original charge to the Appellants was executed under a forged
document of charge. Therefore the charge and subsequently the conveyance of the land to
Tan Ah Gua was set aside. Tan Ah Gua brought an action to recover the part payment of
the purchase price that he had made to the Appellants and other incidental costs accrued
therefrom.
The trial judge gave judgement for the Respondent and held that, there had been a
total failure of consideration when the transfer of title to the land cannot be effected.

Dime Bank appeals on the ground that:

1. This was a sale by a chargee and therefore, there was not the usual covenants
for title; and
2. Under the conditions of sale, which forms part of the contract, the purchaser
had accepted the risks involved, that the document of charge under which the
charge to the Appellants was executed may not be valid and subsisting.