Banque Cantonale Vaudoise v RBG Resources: Stay of Proceedings for Non-Existent Metal Cargoes

Banque Cantonale Vaudoise (BCV) sued RBG Resources Plc (RBG) and Fujitrans (Singapore) Pte Ltd (Fujitrans) for claims relating to metal cargoes. Fujitrans applied for a stay of proceedings regarding the Schedule 3 claim, alleging the cargoes never existed or were no longer in its warehouse. The High Court of Singapore, presided over by Judicial Commissioner Woo Bih Li, dismissed Fujitrans' application, holding that Fujitrans failed to demonstrate sufficient grounds for the stay and BCV was entitled to pursue its claim.

1. Case Overview

1.1 Court

High Court

1.2 Outcome

Application for stay of proceedings dismissed in respect of the Schedule 3 claim.

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

Application by Fujitrans for a stay of proceedings commenced by Banque Cantonale Vaudoise (BCV) was dismissed regarding non-existent metal cargoes.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Banque Cantonale VaudoisePlaintiffCorporationApplication for stay of proceedings dismissedWon
Fujitrans (Singapore) Pte LtdDefendant, ApplicantCorporationApplication for stay of proceedings dismissedLost
Credit LyonnaisOtherCorporationNeutralNeutral
RBG Resources plcDefendantCorporationWinding up orders madeLost
Banque Bruxelles LambertIntervenersCorporationNeutralNeutral
Lim Tau HeeThird PartiesIndividualNeutralNeutral
Lim Beng Heng t/a Outshine Services TradingThird PartiesIndividualNeutralNeutral
WMC Trading Pte LtdThird PartiesCorporationNeutralNeutral
ING Bank N VIntervenersCorporationNeutralNeutral

3. Judges

Judge NameTitleDelivered Judgment
Woo Bih LiJudicial CommissionerYes

4. Counsels

Counsel NameOrganization
Adrian TanRajah & Tann
Jainil BhandariRajah & Tann
Kenneth LieJoseph Tan Jude Benny
R DoraisamyJoseph Tan Jude Benny
Lawrence TehRodyk & Davidson
R SrinivathsanHaridass Ho & Partners
David KongShook Lin & Bok

4. Facts

  1. BCV financed RBG's purchases of metal commodities from September 1998 to April 2002.
  2. BCV claims it relied on warehouse documents from Fujitrans confirming metal cargoes were held to BCV's order.
  3. BCV alleges the Schedule 3 cargoes never existed or are no longer in Fujitrans' warehouse.
  4. RBG is subject to winding up orders in the United Kingdom and Singapore.
  5. RBG allegedly operated a fraudulent scheme involving financing for non-existent or double-financed metal cargoes.
  6. Fujitrans applied for interpleader relief due to multiple claims on metal cargoes in its warehouse.
  7. Lim Tau Hee, an employee of Fujitrans, stated that the Schedule 3 cargoes do not exist.

5. Formal Citations

  1. Banque Cantonale Vaudoise v RBG Resources Plc and Others, Suit 542/2002, SIC 2132/2002, [2002] SGHC 264

6. Timeline

DateEvent
BCV began financing metal commodity purchases by RBG.
BCV financed metal commodity purchases by RBG until this date.
Lim Tau Hee signed a statement regarding the Schedule 3 cargoes.
Fujitrans filed an application for interpleader relief.
Hearing of the stay application.
Decision date of the judgment.

7. Legal Issues

  1. Stay of Proceedings
    • Outcome: The court dismissed the application for a stay of proceedings.
    • Category: Procedural
    • Sub-Issues:
      • Multiplicity of proceedings
      • Risk of inconsistent decisions

8. Remedies Sought

  1. Monetary Damages

9. Cause of Actions

  • Breach of Contract
  • Fraud

10. Practice Areas

  • Commercial Litigation

11. Industries

  • Banking
  • Commodities Trading

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
No cited cases

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
No applicable statutes

15. Key Terms and Keywords

15.1 Key Terms

  • Metal cargoes
  • Stock releases
  • Schedule 3 cargoes
  • Interpleader relief
  • Winding up orders
  • Fraudulent scheme

15.2 Keywords

  • Banque Cantonale Vaudoise
  • RBG Resources
  • Fujitrans
  • Stay of Proceedings
  • Metal Cargoes
  • Fraud
  • Singapore High Court

17. Areas of Law

Area NameRelevance Score
Commercial Fraud85
Metal Commodities Trading75
Banking and Finance70
Commercial Disputes60
Contract Law50
Interpleader Relief45
Company Law40
Bankruptcy30
Business Formation20

16. Subjects

  • Civil Litigation
  • Banking
  • Commodities Trading