Aaron Loh Cheng Lee & Anor v HODLNAUT PTE. LTD.

[2024] SGHC 257 High Court (General Division) 11 October 2024 • HC/CWU 94/2023 ( HC/SUM 1917/2024 ) • 18 min read
6 cases cited

Catchwords

Practice Areas

Judges (1)

Counsel (4)

Parties (3)

Case Significance

In Loh Cheng Lee Aaron and another v Hodlnaut Pte Ltd (in compulsory liquidation) [2024] SGHC 257, the General Division of the High Court considered Companies Winding Up No 94 of 2023 (Summons No 1917 of 2024). The joint and several liquidators of Hodlnaut Pte Ltd, Aaron Loh Cheng Lee and Ee Meng Yen Angela, applied for authorisation under s 144(1)(e) of the Insolvency, Restructuring and Dissolution Act 2018 (2020 Rev Ed) to commence an originating application on behalf of the company for directions under s 145(3) of that Act. The company was a Singapore-incorporated private company whose main business was the provision of a cryptocurrency trading platform allowing users to deposit digital assets to earn interest.

Aidan Xu @ Aedit Abdullah J heard the matter on 17 September 2024 and issued grounds of decision on 11 October 2024, expressly publishing the decision to provide guidance on the relevant factors for the court's determination of whether to grant authorisation of a liquidator's exercise of powers under s 144(1)(e) of the IRDA. WongPartnership LLP, including Leo Zhen Wei Lionel, Li Yiling Eden and T Abirami, acted for the claimants.

Summary

In this General Division of the High Court matter, the joint and several liquidators of Hodlnaut Pte Ltd (in compulsory liquidation), a company that operated a cryptocurrency trading platform, applied under s 144(1)(e) of the Insolvency, Restructuring and Dissolution Act 2018 for authorisation to commence an originating application seeking directions on which digital assets belonged to the company and which users were its creditors. The decision was published to provide guidance on the relevant factors for the court's determination of whether to authorise a liquidator's exercise of such powers. The court, satisfied that authorisation was warranted in the circumstances, granted the authorisation as prayed for.

What did the liquidators apply for in Loh Cheng Lee Aaron v Hodlnaut Pte Ltd [2024] SGHC 257?

The joint and several liquidators of Hodlnaut Pte Ltd, Aaron Loh Cheng Lee and Ee Meng Yen Angela, applied for authorisation under s 144(1)(e) of the Insolvency, Restructuring and Dissolution Act 2018 to commence an originating application on the company's behalf for directions under s 145(3) of that Act.

Why was the decision in Hodlnaut Pte Ltd [2024] SGHC 257 published?

Aidan Xu @ Aedit Abdullah J published the decision to provide guidance on the relevant factors for the court's determination of whether to grant authorisation of a liquidator's exercise of powers under s 144(1)(e) of the IRDA. Hodlnaut operated a cryptocurrency trading platform before its compulsory liquidation.

Statutes Cited

Insolvency, Restructuring and Dissolution Act Cases on this Act →
Restructuring and Dissolution Act Cases on this Act →

Cases Cited (6)

SLR (5)
[2001] 2 SLR(R) 180 [2021] 3 SLR 1344 [2023] 5 SLR 1288 [2023] 5 SLR 635 [2024] 4 SLR 746

Referenced in

Judgment

Read the full judgment on the official Singapore Courts portal.

Read on eLitigation

Source: eLitigation ([2024] SGHC 257)