Xingang Investment v Tengah Engineering: Summary Judgment & Striking Out Counterclaim

In Xingang Investment Pte Ltd v Tengah Engineering & Hardware Pte Ltd, the High Court of Singapore heard appeals against decisions granting summary judgment to Xingang Investment for repayment of loans and striking out Tengah Engineering's counterclaim. The court dismissed both appeals, affirming the original decisions. The primary legal issue was whether summary judgment should be granted for the loan repayment claim and whether the counterclaim should be struck out. The court found no bona fide defense against the loan claim and deemed the counterclaim unsustainable.

1. Case Overview

1.1 Court

General Division of the High Court

1.2 Outcome

Appeal dismissed; summary judgment granted to the plaintiff and counterclaim struck out.

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

The High Court granted summary judgment to Xingang Investment against Tengah Engineering for loan repayment and struck out Tengah's counterclaim.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Xingang Investment Pte LtdPlaintiff, RespondentCorporationJudgment for PlaintiffWon
Tengah Engineering & Hardware Pte LtdDefendant, AppellantCorporationAppeal DismissedLost
Ong Bok ChengDefendant, AppellantIndividualAppeal DismissedLost
Ng Boon ChweeDefendant, AppellantIndividualAppeal DismissedLost

3. Judges

Judge NameTitleDelivered Judgment
See Kee OonJudgeYes

4. Counsels

4. Facts

  1. Xingang Investment provided loans to Tengah Engineering.
  2. Two supplementary loan agreements were concluded between the parties.
  3. Ong Bok Cheng and Ng Boon Chwee provided personal guarantees for the loans.
  4. Tengah Engineering failed to make full payments under the loan agreements.
  5. Xingang Investment applied for summary judgment.
  6. Tengah Engineering filed a counterclaim, alleging losses due to Xingang's actions.
  7. The first defendant is the owner of a property located at 37 Kallang Pudding Road #08-05 Tong Lee Building Blk B, Singapore 349315

5. Formal Citations

  1. Xingang Investment Pte Ltd v Tengah Engineering & Hardware Pte Ltd and others, Suit No 1048 of 2021 (Registrar’s Appeal Nos 187 and 282 of 2022), [2022] SGHC 284

6. Timeline

DateEvent
Loan agreement signed
First supplementary loan agreement concluded
Second supplementary loan agreement concluded
Plaintiff presented post-dated cheques
Summary judgment granted in favour of the plaintiff
Appeal against summary judgment dismissed
Counterclaim struck out
Appeal against striking out of counterclaim dismissed
Grounds of decision issued

7. Legal Issues

  1. Summary Judgment
    • Outcome: Summary judgment granted to the plaintiff.
    • Category: Procedural
    • Related Cases:
      • [2022] SGHC 190
      • [2003] 3 SLR(R) 32
      • [2014] 2 SLR 1342
  2. Breach of Contract
    • Outcome: Defendants failed to repay the sums due under the loan agreements.
    • Category: Substantive
  3. Striking Out
    • Outcome: Counterclaim struck out.
    • Category: Procedural

8. Remedies Sought

  1. Repayment of moneys pursuant to loan agreements
  2. Interest
  3. Late interest
  4. Late payment fees

9. Cause of Actions

  • Breach of Contract
  • Debt Recovery

10. Practice Areas

  • Commercial Litigation

11. Industries

  • Finance
  • Construction

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Panircelvan s/o Kaliannan and others v Ee Hoong LiangHigh CourtYes[2022] SGHC 190SingaporeCited for the legal principles concerning the grant of summary judgment under Order 14 of the Rules of Court.
Goh Chok Tong v Chee Soon JuanUnknownYes[2003] 3 SLR(R) 32SingaporeCited for the defendant's burden of raising an issue or question in dispute which ought to be tried.
Ritzland Investment Pte Ltd v Grace Management & Consultancy Services Pte LtdUnknownYes[2014] 2 SLR 1342SingaporeCited for the court entering judgment against the defendant only if the plaintiff has satisfied the court that there is no reasonable probability that the defendant has a real or bona fide defence and there is no other reason why there ought to be a trial.
Kim Seng Orchid Pte Ltd v Lim Kah Hin (trading as Yik Zhuan Orchid Garden)High CourtYes[2018] 3 SLR 34SingaporeCited for the practical framework to guide the court’s determination on when summary judgment ought to be ordered where there is a subsisting counterclaim.

13. Applicable Rules

Rule Name
Order 14 Rule 1 of the Rules of Court
Order 18 Rule 19 of the Rules of Court

14. Applicable Statutes

Statute NameJurisdiction
Moneylenders Act (Cap 188, 2010 Rev Ed)Singapore
Rules of Court (Cap 322, R 5, 2014 Rev Ed)Singapore
Bills of Exchange Act (Cap 23, 2004 Rev Ed)Singapore

15. Key Terms and Keywords

15.1 Key Terms

  • Loan Agreement
  • Supplementary Loan Agreement
  • Personal Guarantee
  • Summary Judgment
  • Counterclaim
  • Late Payment Fee
  • Late Interest
  • Post-dated Cheques

15.2 Keywords

  • loan
  • summary judgment
  • counterclaim
  • singapore
  • contract
  • debt

17. Areas of Law

16. Subjects

  • Civil Procedure
  • Contract Law
  • Banking Law