Union Bank of Taiwan v Sin Chuen No 112: Master's Wage Claim Dismissed for Fraudulent Contracts

In the High Court of Singapore, the case of *Sin Chuen No 112*, between the plaintiff, the fishing master of a vessel, and the intervener, Union Bank of Taiwan, concerned a claim by the master for unpaid wages and bonuses. The Bank, holding a mortgage on the vessel, intervened after the vessel was arrested and sold due to the owners' default. The court, presided over by Assistant Registrar Tammy Low Wan Jun, dismissed the master's claim, finding it to be based on fraudulent employment contracts and an abuse of process. The judgment was delivered on 2007-04-09.

1. Case Overview

1.1 Court

High Court

1.2 Outcome

The Bank's application to strike out the Master's Statement of Claim was allowed.

1.3 Case Type

Admiralty

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

The High Court dismissed a master's claim for unpaid wages due to fraudulent employment contracts. The intervener, Union Bank of Taiwan, successfully struck out the claim.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Fishing master of Sin Chuen No 112PlaintiffIndividualClaim Struck OutDismissed
Union Bank of TaiwanIntervenerCorporationApplication AllowedWon
Owners of Sin Chuen No 112DefendantOtherJudgment in DefaultDefault

3. Judges

Judge NameTitleDelivered Judgment
Low Wan Jun TammyAssistant RegistrarYes

4. Counsels

4. Facts

  1. The plaintiff, a fishing master, claimed unpaid wages and bonuses.
  2. The Union Bank of Taiwan held a mortgage on the vessel.
  3. The vessel was arrested and sold due to the owners' default.
  4. The Bank intervened in the action due to its interest in the sale proceeds.
  5. The Master's claim was based on employment contracts.
  6. The Bank alleged the employment contracts were not authentic.
  7. The Master admitted to creating the contracts after the vessel's arrest.

5. Formal Citations

  1. Sin Chuen No 112, Adm in Rem 175/2005, SUM 979/2007, [2007] SGHC 72

6. Timeline

DateEvent
Unpaid wages and bonuses allegedly began accruing.
Master filed initial Statement of Claim.
Bank filed amended Defence stating that the employment contracts were not authentic.
Master brought a motion for judgment in default of appearance by the owners.
Master made an oral application for leave to amend the quantum claimed in his Statement of Claim.
Amended Statement of Claim was filed.
Formal application to amend the Statement of Claim was filed.
Judgment reserved.

7. Legal Issues

  1. Abuse of Process
    • Outcome: The court found that allowing the Master to proceed with his claim based on fraudulent contracts would be an abuse of process.
    • Category: Procedural
    • Sub-Issues:
      • Sham claim
      • Deception on the court
      • Improper purpose
    • Related Cases:
      • [2005] SGHC 216
  2. Authenticity of Employment Contracts
    • Outcome: The court determined that the employment contracts presented by the Master were fraudulent.
    • Category: Substantive
  3. Intervention in Action in Rem
    • Outcome: The court clarified the rights and limitations of an intervener in an action in rem.
    • Category: Procedural
    • Related Cases:
      • [1992] 1 SLR 33

8. Remedies Sought

  1. Monetary compensation for unpaid wages and bonuses

9. Cause of Actions

  • Claim for unpaid wages and bonuses

10. Practice Areas

  • Admiralty
  • Commercial Litigation

11. Industries

  • Banking
  • Fishing

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
The Soeraya EmasHigh CourtYes[1992] 1 SLR 33SingaporeCited for the principle that an intervener can set up defenses that the ship owners could have set up.
Chee Siok Chin and ors v Minister for Home Affairs and anorHigh CourtYes[2005] SGHC 216SingaporeCited for the definition of 'abuse of process'.

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
Order 70 rule 16 of the Rules of CourtSingapore
Order 18 rule 19 of the Rules of CourtSingapore
Order 21 rule 3 of the Rules of CourtSingapore

15. Key Terms and Keywords

15.1 Key Terms

  • Action in rem
  • Intervener
  • Fraudulent contracts
  • Abuse of process
  • Statement of Claim
  • Summary judgment
  • Striking out

15.2 Keywords

  • Admiralty
  • Shipping
  • Employment contracts
  • Wages
  • Intervention
  • Fraud
  • Singapore
  • High Court

17. Areas of Law

16. Subjects

  • Admiralty
  • Civil Procedure
  • Contract Law
  • Shipping Law