Bijynath v Innovationz: Director Disqualification Relief Under Companies Act

In Bijynath s/o Ram Nawal v Innovationz Pte Ltd, the Singapore High Court addressed an application by Mr. Bijynath, a lawyer, for relief from director disqualification under s 344G(3) of the Companies Act. Mr. Bijynath had been disqualified under s 155A(1) after Innovationz Pte Ltd, where he served as a director, was struck off the register and later restored. The court, with Ang Cheng Hock J presiding, found it just to grant the relief, placing Mr. Bijynath in the same position as if Innovationz had never been struck off, and declared that he is not disqualified under s 155A of the Act.

1. Case Overview

1.1 Court

High Court of the Republic of Singapore

1.2 Outcome

Application granted; plaintiff relieved from disqualification under section 155A(1) of the Companies Act.

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

Singapore High Court case concerning director disqualification under s 155A of the Companies Act, granting relief to the plaintiff.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Bijynath s/o Ram NawalPlaintiffIndividualApplication GrantedWonGregory Vijayendran Ganesmoorthy SC, Leow Jiamin
Innovationz Pte LtdDefendantCorporationNeutralNeutral
Accounting and Corporate Regulatory AuthorityIntervenerGovernment AgencyLostLostLim Wei Wen, Gordon, Lee Yi Zan, David

3. Judges

Judge NameTitleDelivered Judgment
Ang Cheng HockJudgeYes

4. Counsels

Counsel NameOrganization
Gregory Vijayendran Ganesmoorthy SCRajah & Tann Singapore LLP
Leow JiaminRajah & Tann Singapore LLP
Lim Wei WenAttorney-General’s Chambers
GordonAttorney-General’s Chambers
Lee Yi Zan, DavidAttorney-General’s Chambers

4. Facts

  1. Bijynath was a director of Innovationz Pte Ltd, which was struck off the register and later restored.
  2. Bijynath was disqualified under s 155A(1) of the Companies Act due to the striking off of Innovationz and two other companies where he was a director.
  3. Bijynath was a nominee director and not involved in the day-to-day management of Innovationz.
  4. The corporate secretarial functions of Innovationz were under the charge of Mr S Natarajan.
  5. Innovationz was restored to the register after applications by Bijynath and two other directors.
  6. Bijynath sought relief from disqualification under s 344G(3) of the Companies Act.
  7. Bijynath was also a resident nominee director of Spartan Trading and Mango Games.

5. Formal Citations

  1. Bijynath s/o Ram Nawal v Innovationz Pte Ltd, Originating Summons No 1498 of 2018, [2019] SGHC 218

6. Timeline

DateEvent
Bijynath s/o Ram Nawal appointed as nominee resident director of Innovationz Pte Ltd.
Spartan Trading Pte Ltd struck off the register.
Mango Games Pte Ltd struck off the register.
Bijynath s/o Ram Nawal left Camford Law Corporation.
Innovationz Pte Ltd struck off the register.
Applications for administrative restoration of Innovationz Pte Ltd taken out jointly by Bijynath s/o Ram Nawal, Sriwastawa Sharad Kumar and Bhatia Vinod Kumar.
Bijynath s/o Ram Nawal notified of disqualification pursuant to s 155A of the Act.
Bijynath s/o Ram Nawal wrote to ACRA to enquire as to the status of Innovationz Pte Ltd’s restoration.
Innovationz Pte Ltd restored to the register under s 344E(2) of the Act.
Bijynath s/o Ram Nawal wrote to ACRA to enquire as to the status of his disqualification under s 155A of the Act.
Bijynath s/o Ram Nawal filed originating summons seeking relief from disqualification.
Hearing date.
Hearing date.
Judgment date.

7. Legal Issues

  1. Disqualification of Director
    • Outcome: The court granted relief from disqualification, placing the director in the position as if the company had not been struck off the register.
    • Category: Substantive
  2. Interpretation of Section 344G(3) of the Companies Act
    • Outcome: The court held that the discretion under s 344G(3) is broad but not unlimited, and should be exercised to place the applicant in the same position as if the company had not been struck off, provided it seems just to do so.
    • Category: Substantive
    • Related Cases:
      • [2013] 1 WLR 784
      • [2017] All ER (D) 104

8. Remedies Sought

  1. Declaration that Bijynath is not disqualified under s 155A of the Companies Act
  2. Order placing Bijynath in the same position as director as if Innovationz had not been struck off

9. Cause of Actions

  • Application for relief from director disqualification

10. Practice Areas

  • Corporate Law
  • Litigation

11. Industries

  • Legal Services

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Joddrell v Peaktone LimitedEnglish Court of AppealYes[2013] 1 WLR 784England and WalesCited to support the interpretation and application of s 1032 of the Companies Act 2006 (UK), which is similar to s 344G of the Singapore Companies Act, regarding the effect of restoration of a company to the register.
Davy v Pickering and othersEnglish Court of AppealYes[2017] All ER (D) 104England and WalesCited to emphasize that the discretion conferred by section 1032(3) is not unlimited but must be exercised only for its stated purpose.
Ong Chow Hong (alias Ong Chaw Ping) v Public Prosecutor and another appealCourt of AppealNo[2011] 3 SLR 1093SingaporeCited by the intervener for the proposition that the disqualification regime under the Act is “essentially protective in nature”. The court rejected the applicability of the thick definition of protection in this case.

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
Section 344G Companies Act (Cap 50, 2006 Rev Ed)Singapore
Section 155A Companies Act (Cap 50, 2006 Rev Ed)Singapore
Section 344 Companies ActSingapore
Section 344D of the ActSingapore
Section 344E(2) of the ActSingapore
Section 197(6) of the ActSingapore
Section 145(1) of ActSingapore

15. Key Terms and Keywords

15.1 Key Terms

  • Director disqualification
  • Nominee director
  • Striking off
  • Restoration
  • Section 155A Companies Act
  • Section 344G Companies Act
  • Companies Act
  • Resident director
  • ACRA
  • Companies (Amendment) Act 2014

15.2 Keywords

  • Director disqualification
  • Companies Act
  • Singapore
  • Corporate law
  • Nominee director
  • Striking off
  • Restoration

16. Subjects

  • Company Law
  • Corporate Governance
  • Civil Procedure

17. Areas of Law

  • Company Law
  • Directors' Duties
  • Disqualification of Directors