Tang Kheok Hwa Rosemary v Jaldhi Overseas: Secret Profits, Over-Invoicing, and Agency in Shipping Transactions

Tang Kheok Hwa Rosemary (trading as R M Martin Supplies and Services) appealed to the High Court of Singapore against the decision of the assistant registrar regarding TA3 of 2008. The court, presided over by Justice Lee Seiu Kin, dismissed the appeal, upholding the assistant registrar's decision that the plaintiff was liable for over-invoiced sums amounting to US$638,978.97 and was not entitled to deduct demurrage/despatch monies amounting to US$191,664.23. The court found that the plaintiff failed to prove entitlement to the over-invoiced money and improperly deducted demurrage/despatch monies without the defendant's consent.

1. Case Overview

1.1 Court

High Court

1.2 Outcome

Appeal dismissed with costs.

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

Appeal regarding over-invoicing and demurrage deductions. The court dismissed the appeal, finding the plaintiff liable for secret profits and improper deductions.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Tang Kheok Hwa Rosemary (trading as R M Martin Supplies and Services)Plaintiff, AppellantIndividualAppeal DismissedLost
Jaldhi Overseas Pte LtdDefendant, RespondentCorporationJudgment in favour of DefendantWon

3. Judges

Judge NameTitleDelivered Judgment
Lee Seiu KinJudgeYes

4. Counsels

Counsel NameOrganization
K RavintheranK Ravi Law Corporation
R SrivathsanHaridass Ho & Partners

4. Facts

  1. The plaintiff was the defendant's agent for collecting payment for invoices.
  2. The plaintiff deducted US$191,664.23 from payments due to the defendant.
  3. The deduction was made on the instruction of Shandong without the defendant's consent.
  4. US$138,660.42 was owed by the defendant to Shandong.
  5. US$38,202.09 represented a despatch claim by Shandong Wanbao Trading.
  6. US$100,458.33 was a claim by Shandong in relation to a different vessel.
  7. The AR found the plaintiff's witness, Xin Weihua, to be a difficult and evasive witness.

5. Formal Citations

  1. Tang Kheok Hwa Rosemary (trading as R M Martin Supplies and Services) v Jaldhi Overseas Pte Ltd, Suit No 580 of 2007 (Registrar's Appeal Nos 333 and 334 of 2009), [2010] SGHC 25

6. Timeline

DateEvent
Suit filed (Suit No 580 of 2007)
Interest accrues from this date on US$868,976.54
Taking of Accounts (TA3 of 2008)
Interest accrues from this date on US$230,006.63
Assistant Registrar's decision in TA3 of 2008
Registrar's Appeal Nos 333 and 334 of 2009
High Court decision

7. Legal Issues

  1. Excessive Judicial Interference
    • Outcome: The court found that there was no excessive judicial interference.
    • Category: Procedural
  2. Secret Profits
    • Outcome: The court upheld the AR's finding that the over-invoiced sums were secret profits earned by the plaintiff.
    • Category: Substantive
  3. Entitlement to Deduct Demurrage/Despatch Monies
    • Outcome: The court upheld the AR's finding that the plaintiff was not entitled to deduct demurrage/despatch monies.
    • Category: Substantive
  4. Piercing the Corporate Veil
    • Outcome: The court found insufficient evidence to pierce the corporate veil.
    • Category: Substantive
  5. Right to Set-Off Freight Payable
    • Outcome: The court held that freight payable for cargo carried on a vessel is payable without deduction or set-off.
    • Category: Substantive

8. Remedies Sought

  1. Reversal of Assistant Registrar's Decision
  2. Dismissal of Taking of Accounts

9. Cause of Actions

  • Breach of Agency Agreement
  • Taking of Accounts

10. Practice Areas

  • Commercial Litigation

11. Industries

  • Shipping
  • Commodities Trading

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Mohammed Ali bin Johari v Public ProsecutorCourt of AppealYes[2008] 4 SLR(R) 1058SingaporeCited for the principle that judicial interference should only be invoked in the most egregious 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

  • Over-invoicing
  • Secret profit
  • Demurrage
  • Despatch monies
  • Taking of Accounts
  • Judicial interference
  • Piercing the corporate veil
  • Freight payable
  • Set-off
  • Agency

15.2 Keywords

  • agency
  • shipping
  • over-invoicing
  • secret profit
  • demurrage
  • despatch
  • Singapore
  • High Court
  • appeal

17. Areas of Law

Area NameRelevance Score
Agency Law60
Contract Law50
Evidence Law40
Civil Procedure40
Taking of Accounts30

16. Subjects

  • Agency
  • Shipping
  • Civil Procedure
  • Contract Law