Sudha Natrajan v The Bank of East Asia Ltd: Deed of Assignment Forgery Dispute
Sudha Natrajan appealed to the Court of Appeal of the Republic of Singapore against the decision of the High Court in favor of The Bank of East Asia Limited. The core legal issue was whether Sudha Natrajan executed a Deed of Assignment of Proceeds. The Court of Appeal, after reviewing the evidence, found that the evidence did not support the finding that Sudha Natrajan signed the Deed and allowed the appeal.
1. Case Overview
1.1 Court
Court of Appeal of the Republic of Singapore1.2 Outcome
Appeal Allowed
1.3 Case Type
Civil
1.4 Judgment Type
Judgment
1.5 Jurisdiction
Singapore
1.6 Description
The Court of Appeal allowed Sudha Natrajan's appeal, finding insufficient evidence that she signed a Deed of Assignment, reversing the lower court's decision.
1.7 Decision Date
2. Parties and Outcomes
| Party Name | Role | Type | Outcome | Outcome Type | Counsels |
|---|---|---|---|---|---|
| Sudha Natrajan | Appellant | Individual | Appeal Allowed | Won | Tang Hang Wu, Ng Lip Chih, Tan Jieying |
| The Bank of East Asia Limited | Respondent | Corporation | Appeal Dismissed | Lost | Chua Beng Chye, Raelene Pereira, Cherie Tan |
3. Judges
| Judge Name | Title | Delivered Judgment |
|---|---|---|
| Sundaresh Menon | Chief Justice | Yes |
| Judith Prakash | Judge of Appeal | No |
| Tay Yong Kwang | Judge of Appeal | No |
4. Counsels
| Counsel Name | Organization |
|---|---|
| Tang Hang Wu | NLC Law Asia LLC |
| Ng Lip Chih | NLC Law Asia LLC |
| Tan Jieying | NLC Law Asia LLC |
| Chua Beng Chye | Rajah & Tan Singapore LLP |
| Raelene Pereira | Rajah & Tan Singapore LLP |
| Cherie Tan | Rajah & Tan Singapore LLP |
4. Facts
- The appellant's husband, Rajan Natrajan, was a guarantor for Tecnomic's banking facilities with the respondent.
- Tecnomic defaulted on its obligations, leading to discussions for repayment.
- The Deed was intended to provide collateral for Tecnomic's debts, with the appellant and Rajan as co-signatories.
- The appellant claimed she did not sign the Deed, alleging forgery.
- Tecnomic was wound up on the same day the Deed was allegedly signed.
- The respondent accepted the copies and lodged a caveat against the Property.
- The respondent commenced Suit No 751 of 2014 against the appellant for the amounts due under the Deed.
5. Formal Citations
- Sudha Natrajan v The Bank of East Asia Ltd, Civil Appeal No 7 of 2016, [2016] SGCA 66
- The Bank of East Asia Limited v Sudha Natrajan, , [2015] SGHC 328
6. Timeline
| Date | Event |
|---|---|
| Guarantee given in favour of the respondent | |
| Banking Facilities terminated | |
| Winding-up proceedings commenced against Tecnomic | |
| Application advertised in major newspapers and in the electronic edition of the Government Gazette | |
| Rajan produced a first set of what appeared to be signed copies of the Deed | |
| Rajan stated on oath in an affidavit filed in the winding-up proceedings that Tecnomic was indebted to the creditor seeking the winding-up order in the amount of $21.1m | |
| Tecnomic was wound up | |
| Rajan returned with two signed copies of the Deed | |
| Respondent lodged a caveat against the Property | |
| Respondent received notice of the liquidation from the liquidator of Tecnomic | |
| Respondent sent letter of demand to the appellant | |
| Rajan Natrajan was adjudicated a bankrupt | |
| Suit No 751 of 2014 commenced against the appellant | |
| Judgment reserved | |
| Judgment |
7. Legal Issues
- Forgery
- Outcome: The court found that the evidence did not support the finding that the appellant signed the Deed.
- Category: Substantive
- Adverse Inference
- Outcome: The court drew an adverse inference from the respondent's failure to disclose the call report.
- Category: Procedural
- Expert Evidence
- Outcome: The court found the expert evidence of the handwriting expert to be probative and unrebutted.
- Category: Procedural
- Undue Influence
- Outcome: The court did not rule on the issue of undue influence as it was not pleaded.
- Category: Substantive
8. Remedies Sought
- Monetary Damages
- Enforcement of Guarantee
9. Cause of Actions
- Breach of Contract
- Enforcement of Deed of Assignment
10. Practice Areas
- Commercial Litigation
- Appeals
- Banking Litigation
11. Industries
- Banking
- Finance
12. Cited Cases
| Case Name | Court | Affirmed | Citation | Jurisdiction | Significance |
|---|---|---|---|---|---|
| The Bank of East Asia Limited v Sudha Natrajan | High Court | Yes | [2015] SGHC 328 | Singapore | The decision of the learned judicial commissioner which was appealed against. |
| Royal Bank of Scotland v Etridge (No 2) | House of Lords | Yes | [2002] 2 AC 773 | England and Wales | Cited in relation to the possibility of undue influence being found. |
| Wisniewski v Central Manchester Health Authority | Unknown | Yes | [1998] PIQR P324 | Unknown | Cited for broad principles governing the drawing of an adverse inference. |
| Thio Keng Poon v Thio Syn Pyn and others and another appeal | Court of Appeal | Yes | [2010] 3 SLR 143 | Singapore | Endorsed the principles set out in Wisniewski v Central Manchester Health Authority regarding adverse inference. |
| Jones v Dunkel and another | Unknown | Yes | (1958-1959) 101 CLR 298 | Australia | Cited for the natural inference from a party’s failure to produce evidence. |
| Flack v Chairperson, National Crime Authority and another | Unknown | Yes | (1997) 150 ALR 153 | Australia | Cited regarding inferences when a witness does not give evidence. |
| Buksh v Miles | British Columbia Court of Appeal | Yes | 296 DLR (4th) 608 | Canada | Cited regarding the link between adverse inference and the best evidence rule. |
| Teo Wai Cheong v Crédit Industriel et Commercial and another appeal | Court of Appeal | Yes | [2013] 3 SLR 573 | Singapore | Cited regarding the right and opportunity to cross-examine. |
| Nat Gordon Fraser v Her Majesty’s Advocate | Supreme Court | Yes | 2011 SCCR 396 | Scotland | Cited regarding the effect of deprivation of an opportunity to cross-examine a witness on an undisclosed document. |
| Alvin Lee Sinclair v Her Majesty’s Advocate | Privy Council | Yes | 2005 SCCR 446 | Scotland | Cited regarding the effect of deprivation of an opportunity to cross-examine a witness on an undisclosed document. |
| O’Donnel v Reichard | Supreme Court of Victoria | Yes | [1975] VR 916 | Australia | Cited regarding the effect of deprivation of an opportunity to cross-examine a witness on an undisclosed document. |
| Yogambikai Nagarajah v Indian Overseas Bank and another appeal | Court of Appeal | Yes | [1996] 2 SLR(R) 774 | Singapore | Cited for the proposition that the “bar to proving forgery is high”. |
| Alwie Handoyo v Tjong Very Sumito and another and another appeal | Court of Appeal | Yes | [2013] 4 SLR 308 | Singapore | Cited regarding the standard of proof for allegations of fraud or forgery. |
| Chua Kwee Chen v Koh Choon Chin | Unknown | Yes | [2006] 3 SLR(R) 469 | Singapore | Cited regarding the standard of proof for allegations of fraud or forgery. |
| Seng Swee Leng v Wong Chong Weng | Court of Appeal | Yes | [2011] SGCA 64 | Singapore | Cited regarding the burden of proof in cases of forgery. |
| R Mahendran and another v R Arumuganathan | Court of Appeal | Yes | [1999] 2 SLR(R) 166 | Singapore | Cited regarding the caution with which opinions of handwriting experts should be approached. |
| Saeng-Un Udom v Public Prosecutor | Unknown | Yes | [2001] 2 SLR(R) 1 | Singapore | Cited regarding the court's approach to unopposed expert evidence. |
| Mohd Ghalib s/o Sadruddin v Public Prosecutor | Unknown | Yes | [2002] 2 SLR(R) 809 | Singapore | Applied Saeng-Un Udom in the context of handwriting analysis. |
| Browne v Dunn | Unknown | Yes | (1893) 6 R 67 | United Kingdom | Cited regarding the rule that submissions should be put to witnesses. |
| Hong Leong Singapore Finance Ltd v United Overseas Bank Ltd | Unknown | Yes | [2007] 1 SLR(R) 292 | Singapore | Cited regarding the rule that submissions should be put to witnesses. |
| Credit Lyonnais Bank Nederland NV v Burch | Unknown | Yes | [1997] 1 All ER 144 | England and Wales | Cited regarding a substantive doctrine of unconscionability. |
| Wee Chiaw Sek Anna v Ng Li-Ann Genevieve (sole executrix of the estate of Ng Hock Seng, deceased) and another | Unknown | Yes | [2013] 3 SLR 801 | Singapore | Cited regarding the unsettled state of the law on unconscionability. |
| Law Society of Singapore v Wan Hui Hong James | Court of Three Judges | Yes | [2013] 3 SLR 221 | Singapore | Cited regarding the steps a bank should take in an Etridge situation. |
| Le Neve Ann Groves v Edmund Stuart Groves | Queensland Supreme Court | Yes | [2011] QSC 411 | Australia | Cited regarding the independence of forgery and undue influence claims. |
| Ng Chee Weng v Lim Jit Ming Bryan and another and another appeal | Court of Appeal | Yes | [2015] 3 SLR 92 | Singapore | Cited regarding the independence of forgery and undue influence claims. |
| In re Oatway; Hertslet v Oatway | Unknown | Yes | [1903] 2 Ch 356 | England and Wales | Cited regarding the maxim omnia praesumuntur contra spoliatorem. |
| In re Hallett’s Estate; Knatchbull v Hallett | Unknown | Yes | (1880) 13 Ch D 696 | England and Wales | Cited regarding the maxim omnia praesumuntur contra spoliatorem. |
| Shalson and others v Russo and others | Unknown | Yes | [2005] Ch 281 | England and Wales | Cited regarding the maxim omnia praesumuntur contra spoliatorem. |
13. Applicable Rules
| Rule Name |
|---|
| No applicable rules |
14. Applicable Statutes
| Statute Name | Jurisdiction |
|---|---|
| Evidence Act (Cap 97, 1997 Rev Ed) | Singapore |
| Supreme Court of Judicature Act (Cap 322, 2007 Rev Ed) | Singapore |
15. Key Terms and Keywords
15.1 Key Terms
- Deed of Assignment
- Forgery
- Guarantee
- Banking Facilities
- Winding-up
- Caveat
- Adverse Inference
- Expert Evidence
- Undue Influence
15.2 Keywords
- forgery
- deed of assignment
- banking
- guarantee
- evidence
- Singapore
- appeal
16. Subjects
- Contract Law
- Evidence Law
- Banking Law
- Civil Procedure
17. Areas of Law
- Deeds and Other Instruments
- Contract Law
- Civil Procedure
- Evidence Law
- Banking Law
- Equity