Industrial Floor & Systems Pte Ltd v Civil Tech Pte Ltd: Winding Up Application & Stay of Proceedings
Industrial Floor & Systems Pte Ltd applied to the High Court of Singapore on 8 November 2018 for a winding-up order against Civil Tech Pte Ltd, for an undisputed debt of S$292,568.91. Ang Cheng Hock JC ordered Civil Tech Pte Ltd to be wound up on 8 February 2019, rejecting Civil Tech's application for a stay of proceedings. The court reasoned that Civil Tech was in dire financial straits, facing multiple claims and winding-up applications, and had not provided sufficient grounds for an adjournment.
1. Case Overview
1.1 Court
High Court of the Republic of Singapore1.2 Outcome
Order for the defendant to be wound up
1.3 Case Type
Insolvency
1.4 Judgment Type
Grounds of Decision
1.5 Jurisdiction
Singapore
1.6 Description
Winding-up application against Civil Tech Pte Ltd for an undisputed debt. The court ordered Civil Tech to be wound up, rejecting a stay application.
1.7 Decision Date
2. Parties and Outcomes
| Party Name | Role | Type | Outcome | Outcome Type | Counsels |
|---|---|---|---|---|---|
| Civil Tech Pte Ltd | Defendant | Corporation | Winding-up order granted | Lost | |
| Industrial Floor & Systems Pte Ltd | Plaintiff | Corporation | Winding-up order granted | Won |
3. Judges
| Judge Name | Title | Delivered Judgment |
|---|---|---|
| Ang Cheng Hock | Judicial Commissioner | Yes |
4. Counsels
| Counsel Name | Organization |
|---|---|
| Ashok Kumar Rai | Eversheds Harry Elias LLP |
| John Ng | AsiaLegal LLC |
4. Facts
- The plaintiff supplied construction materials to the defendant.
- The defendant awarded a contract to the plaintiff in May 2018.
- The plaintiff issued four invoices totaling S$399,568.91.
- The defendant only paid the first invoice of S$107,000.00.
- The plaintiff served a statutory demand on the defendant on 9 October 2018.
- The defendant proposed to pay 50% of the debt to its creditors.
- The defendant claimed it was facing tight cash flow and looking for a third-party investor.
5. Formal Citations
- Industrial Floor & Systems Pte Ltd v Civil Tech Pte Ltd, Companies Winding Up No 270 of 2018, [2019] SGHC 50
6. Timeline
| Date | Event |
|---|---|
| Contract awarded to the plaintiff for supply of materials and labour. | |
| Plaintiff demanded payment and stopped work. | |
| Letter of demand from plaintiff's solicitors. | |
| Statutory demand served on the defendant. | |
| Defendant held a meeting with its creditors. | |
| Defendant sent letter to creditors explaining tight cash flow. | |
| Defendant offered to pay 50% of debt within two to three months. | |
| Plaintiff filed winding-up application. | |
| Defendant served a payment claim on Penta-Ocean on behalf of POC-CT JV. | |
| Defendant filed applications to stay all further proceedings in the CWU applications. | |
| Court ordered the defendant to be wound up. | |
| Other winding-up applications adjourned. | |
| Reasons for the order issued. |
7. Legal Issues
- Winding Up
- Outcome: The court ordered the defendant to be wound up.
- Category: Substantive
- Stay of Proceedings
- Outcome: The court rejected the defendant's application for a stay of proceedings.
- Category: Procedural
8. Remedies Sought
- Winding-up order
9. Cause of Actions
- Winding up application
10. Practice Areas
- Winding Up
- Commercial Litigation
11. Industries
- Construction
12. Cited Cases
| Case Name | Court | Affirmed | Citation | Jurisdiction | Significance |
|---|---|---|---|---|---|
| Industrial Floor & Systems Pte Ltd v Civil Tech Pte Ltd | High Court | Yes | [2019] SGHC 50 | Singapore | This is the current case. |
13. Applicable Rules
| Rule Name |
|---|
| No applicable rules |
14. Applicable Statutes
| Statute Name | Jurisdiction |
|---|---|
| Companies Act (Cap 50, 2006 Rev Ed) | Singapore |
| Building and Construction Industry Security of Payment Act (Cap 30B, 2006 Rev Ed) | Singapore |
15. Key Terms and Keywords
15.1 Key Terms
- Winding up
- Statutory demand
- Stay of proceedings
- Insolvency
- Payment claim
- Adjudication
- Joint venture
- Liquidator
15.2 Keywords
- Winding up
- Insolvency
- Construction
- Singapore
- Civil Tech
- Industrial Floor & Systems
17. Areas of Law
| Area Name | Relevance Score |
|---|---|
| Winding Up | 95 |
| Insolvency Law | 80 |
| Company Law | 70 |
| Civil Procedure | 60 |
| Building and Construction Contracts | 30 |
16. Subjects
- Insolvency
- Winding Up
- Civil Procedure