(The Star) - Former Malaysia Airlines (MAS) executive chairman Tan Sri Tajudin Ramli has failed in his bid to stay proceedings in the main suit filed by MAS and its two subsidiaries against him for breach of fiduciary duty.

High Court Judge Justice Rosilah Yop made the decision after meeting senior federal counsel Lailawati Ali, who appeared for the Government, counsel S.M. Shanmugam who acted for MAS and its directors, and lawyer Lim Kian Leong for Tajudin.

Following the ruling, the court also maintained Feb 27 to hear an application by the Government to strike out a counter-claim filed by Tajudin and two others against it.

Tajudin, who is the plaintiff in the counter-claim asking for damages, is the defendant in the main civil suit by MAS for breach of fiduciary duty.

Malaysia Airlines and its two subsidiaries MAS Golden Holidays Sdn Bhd and MAS Hotels & Boutiques Sdn Bhd filed the main suit in 2006 against Tajudin and four others.

The four are Naluri Corporation Bhd, Promet (Langkawi) Resorts Sdn Bhd, Kauthar Venture Capital Sdn Bhd and Pakatan Permai Sdn Bhd.

In the counter-claim, Tajudin, Promet (Langkawi) Resorts and Kauthar Venture Capital have named Malaysia Airlines, its 13 directors, two subsidiaries and the Government as defendants.

The suit is part of the proposed mega settlement involving Tajudin and government-linked companies (GLCs).

The media had reported last year that the Government and Tajudin were negotiating a settlement of all legal cases involving him and the GLCs.