Raiyan is a promoter of Alfa Bena Sdn. Bhd., a construction company. He had sold a piece of land to the company which he bought earlier with the intention to sell it to the company after the company is incorporated. He had made profit from the sale by selling the land that he purchased at RM100,000 at the sale price of RM130,000. The sale was approved by the board of directors who had been appointed by Raiyan. The newly appointed board of directors had only discovered the fact after the completion of the transaction and decided to sue Raiyan for the recovery of the profit made by him.

Advise Alfa Bena Sdn. Bhd. on whether they can sue Raiyan