DA HUI SHIPPING (PTE.) LTD. (IN CREDITORS' VOLUNTARY LIQUIDATION) v AN RONG SHIPPING PTE. LTD. (IN LIQUIDATION)

[2024] SGHC(A) 6 High Court (Appellate Division) 19 February 2024 • AD/OA 58/2023 • 8 min read

4 cases cited

Catchwords

Civil Procedure — Appeals — Leave Insolvency Law — Winding up — Company wound up — Whether permission is required to proceed with an appeal against the company where lower court previously granted permission to commence action or proceeding against the company — Section 133(1) Insolvency, Restructuring and Dissolution Act 2018 (2020 Rev Ed)

Practice Areas

Civil Procedure Insolvency Law

Judges (2)

Audrey Lim Delivered See Kee Oon Coram

Counsel (5)

Shook Lin & Bok LLP Firm Daniel Tan Shi Min (Daniel Chen Shimin) Counsel Applicant Ee Yong Chun Bernard Counsel Applicant Hoang Linh Trang Counsel Applicant Suresh Viswanath Counsel Applicant

Parties (2)

An Rong Shipping Pte Ltd (in liquidation) Respondent Da Hui Shipping (Pte) Ltd (in creditors' voluntary liquidation) Applicant

Case Significance

Da Hui Shipping (Pte) Ltd (in creditors' voluntary liquidation) v An Rong Shipping Pte Ltd (in liquidation) [2024] SGHC(A) 6 was a decision of the Appellate Division of the High Court in Originating Application No 58 of 2023, heard by See Kee Oon JAD and Audrey Lim J on 1 and 20 December 2023, with Audrey Lim J delivering the reserved judgment of the court on 19 February 2024. Da Hui Shipping sought permission to appeal against the dismissal of HC/OA 418/2023, which it had brought against An Rong Shipping. The application raised whether, under section 133(1) of the Insolvency, Restructuring and Dissolution Act 2018, permission is required to appeal a decision arising from an action or proceeding where permission to commence that action had previously been granted under section 133(1). The court answered in the negative and dismissed the application.

Summary

Da Hui Shipping (Pte) Ltd, in creditors' voluntary liquidation, applied to the Appellate Division of the High Court for permission to appeal against a decision dismissing its claim against An Rong Shipping Pte Ltd, which was in liquidation, in a dispute arising from a loan agreement under which the two companies were joint and several borrowers. The application raised the question of whether, under section 133(1) of the Insolvency, Restructuring and Dissolution Act 2018, further permission was required to appeal where permission to commence or continue the action had already been granted. The court answered that question in the negative and dismissed the application, while directing Da Hui to file any notice of appeal within 14 days and making no order as to costs.

Is fresh permission needed to appeal against a company in liquidation under section 133(1) IRDA?

In Da Hui Shipping v An Rong Shipping [2024] SGHC(A) 6, the Appellate Division held that where permission to commence an action against a company was previously granted under section 133(1) of the Insolvency, Restructuring and Dissolution Act 2018, no further permission is required to appeal that decision.