KUALA LUMPUR, March 20 — Kepong MP Lim Lip Eng today applied for the High Court to defer his payment of RM2.25 million in damages and cost for a defamation lawsuit he lost, pending appeal.

Lim claimed this was needed as it would be difficult to recover the sum in the event of his successful appeal.

He was ordered by the High Court last Thursday to pay RM2 million in compensation and RM250,000 costs to MonSpace (M) Sdn Bhd and its founder, Datuk Seri Jessy Lai.

In court documents, Lim argued for a stay of execution by saying the compensation amount awarded against him was "excessive”, citing awards in similar cases over the last decade that did not exceed RM500,000.

He also said the RM250,000 in legal costs he was ordered to pay was possibly among the most ever in a defamation case.

Saying MonSpace was no longer carrying out business and has not filed any audited accounts after 2017, Lim said this could result in a huge risk if the RM2.25 million is paid to MonSpace and Lai "as I will face difficulties in getting back that sum from them if my appeal is allowed”.

He told the court that he had raised more than RM2.25 million through crowdfunding from members of the public from various races and religions, and instructed his lawyer to hold the funds in trust pending the appeal.

Lim further said the High Court decision that also ordered him to publish an apology within seven days would result in "irreversible damage and prejudice” if this were issued ahead of his appeal.

When contacted by Malay Mail, Lim’s lawyer Guok Ngek Seong confirmed that the stay application was filed in the High Court today.

Guok has applied for the High Court to urgently hear his client’s application for a stay order.

Guok said no court dates have been scheduled yet for both the stay application at the High Court and the appeal at the Court of Appeal.

In the lawsuit filed in June 2019, Lai had accused Lim of making allegedly defamatory remarks against the company and her by speaking to the media during a visit to MonSpace’s headquarters in Bukit Jalil on May 23, 2017, claiming that the remarks implied she was dishonest, not law-abiding, running an illegal business and had cheated its Chinese investors.

Lim and Sungai Pelek assemblyman Ronnie Liu Tian Khiew had gone with 19 Chinese nationals, who claimed they were victims of the MonSpace investment scheme, to the company headquarters to demand a refund or an explanation on why their investment had not materialised.

After the High Court ordered him last Thursday to pay RM2.25 million, Lim had last Friday noon launched the crowdfunding effort, with the donations that swiftly flowed in amounting to over half a million ringgit by Saturday noon and climbing to a total of over RM1.4 million by Sunday noon.

Before noon today, Lim announced on Facebook that he has hit the donation target of RM2.25 million and urged his supporters not to donate further, adding that a licenced auditor will be appointed to ensure transparency over the funds collected.

He had previously also promised to the donors to ensure the RM2.25 million goes to charities and education institutions that need help, if he succeeds in his appeal and recovers the sum.