Shinhan Investment Corp v Yap Shi Wen: Mareva Injunction for Fraudulent WeWork Shares

In Shinhan Investment Corp v Yap Shi Wen and others, the High Court of Singapore heard the plaintiff's application for a worldwide Mareva Injunction against Yap Shi Wen, Crystal Cove Holdings Private Limited, and Elumi Events Pte Ltd, alleging fraud in the acquisition of WeWork shares. The plaintiff claimed that Yap, through a complex web of companies, dissipated funds after the plaintiff remitted US$13,625,172 for the shares, which were never transferred. The court, finding a good arguable case and a real risk of asset dissipation, granted the Mareva Injunction.

1. Case Overview

1.1 Court

General Division of the High Court

1.2 Outcome

Plaintiff's application for a worldwide Mareva Injunction against the first to third defendants granted.

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

Shinhan Investment Corp seeks a Mareva Injunction against Yap Shi Wen and others for allegedly defrauding them in a WeWork shares transaction. The court granted the injunction due to a good arguable case and risk of asset dissipation.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Shinhan Investment CorporationPlaintiffCorporationApplication grantedWon
Yap Shi WenDefendantIndividualInjunction granted against defendantLost
Crystal Cove Holdings Private LimitedDefendantCorporationInjunction granted against defendantLost
Elumi Events Pte LtdDefendantCorporationInjunction granted against defendantLost
Fundnel Pte LtdDefendantCorporationNeutral
Aurora Grand LimitedDefendantCorporationNeutral

3. Judges

Judge NameTitleDelivered Judgment
Choo Han TeckJudge of the High CourtYes

4. Counsels

Counsel NameOrganization
Suresh ViswanathShook Lin & Bok LLP
Daniel Tan Shi MinShook Lin & Bok LLP
Jason Leong Woon HoShook Lin & Bok LLP
Zhang JunSolitaire LLP
Qua Bi QiSolitaire LLP
Nichol Yeo Lai HockSolitaire LLP

4. Facts

  1. Plaintiff acquired WeWork shares purportedly held by Oasis Buona Limited.
  2. Fundnel brokered the acquisition.
  3. South China was used as an intermediary to purchase the shares.
  4. Plaintiff remitted US$13,625,172 to Aurora BVI for the purchase.
  5. Aurora BVI refused to register the transfer of Oasis shares.
  6. WeWork Shares were not in fact owned by Oasis.
  7. Funds were transferred to the second and third defendants.

5. Formal Citations

  1. Shinhan Investment Corp v Yap Shi Wen and others, Suit No 86 of 2022(Summons No 416 of 2022), [2022] SGHC 63

6. Timeline

DateEvent
Plaintiff entered into transactions to acquire WeWork Shares.
Plaintiff entered into transactions to acquire WeWork Shares.
South China commenced legal proceedings in the Cayman Court.
South China entered into an Assignment Agreement with the plaintiff.
Hearing date.
Judgment date.

7. Legal Issues

  1. Mareva Injunction
    • Outcome: The court granted the Mareva Injunction.
    • Category: Procedural
  2. Fraud
    • Outcome: The court found that the facts suggested fraud had been perpetrated against the plaintiff.
    • Category: Substantive
  3. Standing to Sue
    • Outcome: The court held that the plaintiff had standing to sue.
    • Category: Procedural

8. Remedies Sought

  1. Worldwide Mareva Injunction

9. Cause of Actions

  • Fraud

10. Practice Areas

  • Commercial Litigation
  • Injunctions

11. Industries

  • Investment

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
No cited 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

  • Mareva Injunction
  • WeWork Shares
  • Dissipation of Assets
  • Fraudulent Transactions
  • Nominee Shareholder

15.2 Keywords

  • Mareva Injunction
  • Fraud
  • WeWork
  • Shares
  • Singapore
  • Investment

17. Areas of Law

Area NameRelevance Score
Mareva Injunctions95
Fraud and Deceit90
Commercial Fraud85
Civil Litigation70
Commercial Law60
Company Law60
Corporate Litigation50
Contract Law40
Banking and Finance30

16. Subjects

  • Injunctions
  • Fraud
  • Civil Procedure