JTrust Asia v Group Lease: Res Judicata & Issue Estoppel in Deceit & Conspiracy Claims

In JTrust Asia Pte Ltd v Group Lease Holdings Pte Ltd and others, the General Division of the High Court of Singapore heard Originating Summons No 780 of 2021 on 14 November 2022, 10 April 2023, and 16 June 2023. The plaintiff, JTrust Asia Pte Ltd, sought payment of US$124,474,854.00 from the defendants, Group Lease Holdings Pte Ltd, Mitsuji Konoshita, Adalene Limited, Bellaven Limited, Aref Holdings Limited, and Baguera Limited, based on claims of deceit and conspiracy related to an investment agreement. The court, presided over by Lee Seiu Kin J, found the defendants liable based on the doctrine of issue estoppel, relying on a previous Court of Appeal decision. The court allowed the claim.

1. Case Overview

1.1 Court

General Division of the High Court of the Republic of Singapore

1.2 Outcome

Judgment for Plaintiff

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

JTrust Asia sues Group Lease for US$124.5M. Court finds defendants liable for deceit and conspiracy based on prior judgment, applying issue estoppel.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
JTrust Asia Pte LtdPlaintiffCorporationJudgment for PlaintiffWon
Group Lease Holdings Pte LtdDefendantCorporationClaim AllowedLost
Mitsuji KonoshitaDefendantIndividualClaim AllowedLost
Adalene LimitedDefendantCorporationClaim AllowedLost
Bellaven LimitedDefendantCorporationClaim AllowedLost
Aref Holdings LimitedDefendantCorporationClaim AllowedLost
Baguera LimitedDefendantCorporationClaim AllowedLost

3. Judges

Judge NameTitleDelivered Judgment
Lee Seiu KinJudge of the High CourtYes

4. Counsels

Counsel NameOrganization
Colin LiewWong & Leow LLC
Chan Leng SunWong & Leow LLC
Chia Huai YuanDentons Rodyk & Davidson LLP
V SanthoshDentons Rodyk & Davidson LLP
Teh Kee Wee LawrenceDentons Rodyk & Davidson LLP
Pan Xingzheng EdricDentons Rodyk & Davidson LLP
Melvin See Hsien HueiDentons Rodyk & Davidson LLP
Clarence Cheang Wei MingDentons Rodyk & Davidson LLP
Philip Teh Ahn RenDentons Rodyk & Davidson LLP
Alexander Kamsany LeeDentons Rodyk & Davidson LLP

4. Facts

  1. JTA invested in GL Thailand through three investment agreements.
  2. GL Thailand issued sham loans to inflate operating results.
  3. The SEC of Thailand issued a news release about the sham loans.
  4. JTA commenced Suit 1212 against the defendants.
  5. The SGCA allowed JTA’s appeal for its claims in deceit and unlawful conspiracy in CA 21.
  6. GL Thailand did not pay JTA the principal sum under the 2IA upon maturity.
  7. JTA commenced OS 780 against the defendants to claim for loss and damage suffered as a result of entering into the 2IA.

5. Formal Citations

  1. JTrust Asia Pte Ltd v Group Lease Holdings Pte Ltd and others, Originating Summons No 780 of 2021, [2023] SGHC 167

6. Timeline

DateEvent
First Investment Agreement signed
JTA completed subscription under the first Investment Agreement
Second Investment Agreement signed
JTA subscribed for US$130m of GL Thailand’s convertible debentures
Third Investment Agreement signed
JTA subscribed for a further US$50m of GL Thailand’s convertible debentures
Securities and Exchange Commission of Thailand issued a news release
JTA issued a notice avoiding the 2IA
JTA commenced proceedings against the defendants and Cougar Pacific Pte Ltd in HC/S 1212/2017
JTA commenced Black Case No Por 83/2561 in Thailand
JTA filed rehabilitation proceedings against GL Thailand in Thailand
High Court dismissed SUM 148 and SUM 377 and allowed the Setting Aside Applications
SGCA allowed the appeal in CA/CA 46/2018
High Court dismissed JTA’s claims in Suit 1212
JTA appealed against the High Court’s decision in Suit 1212 under CA/CA 21/2020
SGCA gave its decision in CA/SUM 21/2020
JTA’s appeal in CA 21 was allowed by the SGCA
SGCA ordered that the Mareva injunctions be extended until GLH, Mr Konoshita and Cougar satisfied the judgment debt and costs
GL Thailand issued a notice purporting to terminate the 2IA
Maturity of the 2IA
JTA commenced OS 780 against the defendants
Appeal in HC/RA 18/2022 dismissed
JTA commenced Black Case No Aor 991/2565 in Thailand
JTA commenced Black Case Aor No 2201/2565 in Thailand
Claim in Black Case No Aor 6/2561 was dismissed in Thailand
Hearing date
Hearing date
Judgment date

7. Legal Issues

  1. Issue Estoppel
    • Outcome: The court held that issue estoppel applied to prevent the defendants from relitigating the issue of liability in deceit and conspiracy.
    • Category: Substantive
    • Related Cases:
      • [2020] 2 SLR 1256
  2. Res Judicata
    • Outcome: The court found that the defendants' liability in deceit and unlawful means conspiracy was res judicata.
    • Category: Substantive
    • Related Cases:
      • [2020] 2 SLR 1256
  3. Deceit
    • Outcome: The court found the defendants liable for the tort of deceit.
    • Category: Substantive
    • Related Cases:
      • [2020] 2 SLR 1256
  4. Conspiracy
    • Outcome: The court found the defendants liable for the tort of conspiracy.
    • Category: Substantive
    • Related Cases:
      • [2020] 2 SLR 1256
  5. Quantum of Damages
    • Outcome: The court determined the quantum of damages to be US$124,474,854.00.
    • Category: Substantive

8. Remedies Sought

  1. Monetary Damages
  2. Declaration of Joint and Several Liability
  3. Interest on Sums Due
  4. Costs

9. Cause of Actions

  • Deceit
  • Conspiracy

10. Practice Areas

  • Commercial Litigation

11. Industries

  • Investment

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
JTrust Asia Pte Ltd v Group Lease Holdings Pte Ltd and othersHigh CourtYes[2018] SGHC 38SingaporeCited for the dismissal of SUM 148 and SUM 377 and allowing the Setting Aside Applications.
JTrust Asia Pte Ltd v Group Lease Holdings Pte Ltd and othersCourt of AppealYes[2018] 2 SLR 159SingaporeCited for reinstating the domestic Mareva injunctions against GLH, Mr Konoshita and Cougar, and expanding the injunctions against GLH and Cougar to worldwide Mareva injunctions.
JTrust Asia Pte Ltd v Group Lease Holdings Pte Ltd and othersHigh CourtYes[2019] SGHC 21SingaporeCited for the unsuccessful application by GLH and Mr Konoshita to strike out Suit 1212.
JTrust Asia Pte Ltd v Group Lease Holdings Pte Ltd and othersHigh CourtYes[2020] SGHC 29SingaporeCited for the dismissal of JTA’s claims in the torts of deceit and conspiracy and discharge of the Mareva injunctions.
JTrust Asia Pte Ltd v Group Lease Holdings Pte Ltd and othersCourt of AppealYes[2020] 2 SLR 490SingaporeCited for reinstating the domestic Mareva injunction against Mr Konoshita and the worldwide injunction against GLH.
JTrust Asia Pte Ltd v Group Lease Holdings Pte Ltd and othersCourt of AppealYes[2020] 2 SLR 1256SingaporeCited for allowing JTA’s appeal for its claims in deceit and unlawful conspiracy.
JTrust Asia Pte Ltd v Group Lease Holdings Pte Ltd and othersCourt of AppealYes[2021] 1 SLR 1298SingaporeCited for ordering that the Mareva injunctions be extended until GLH, Mr Konoshita and Cougar satisfied the judgment debt and costs.
Henderson v HendersonN/AYes(1843) 3 Hare 100N/ACited for the rule in Henderson v Henderson regarding abuse of process.
The Royal Bank of Scotland NV (formerly known as ABN Amro Bank NV) and others v TT International Ltd (nTan Corporate Advisory Pte Ltd and others, other parties) and another appealN/AYes[2015] 5 SLR 1104SingaporeCited for the description of the doctrine of res judicata.
Turf Club Auto Emporium Pte Ltd and others v Yeo Boong Hua and others and another appeal and other mattersN/AYes[2017] 2 SLR 12SingaporeCited for the principles of res judicata.
Lee Tat Development Pte Ltd v MCST Plan No 301N/AYes[2005] 3 SLR(R) 157SingaporeCited for the requirements to establish an issue estoppel.
Beh Chew Boo v Public ProsecutorN/AYes[2021] 2 SLR 180SingaporeCited for the exception to issue estoppel where relevant evidence subsequently becomes available.
Arnold and others v National Westminster Bank plcHouse of LordsYes[1991] 2 AC 93United KingdomCited for the Arnold exception to issue estoppel.
Rex International Holding Ltd and another v Gulf Hibiscus LtdN/AYes[2019] 2 SLR 682SingaporeCited for case management concerns.
Merck Sharp & Dohme Corp (formerly known as Merck & Co, Inc) v Merck KGaA (formerly known as E Merck)N/AYes[2021] 1 SLR 1102SingaporeCited for the proposition that where there is a prior or subsequent local judgment that is inconsistent with a foreign judgment, the foreign judgment should not be recognised.

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
Thai Penal Code 1956Thailand
Thai Public Limited Companies Act 1992Thailand

15. Key Terms and Keywords

15.1 Key Terms

  • Issue Estoppel
  • Res Judicata
  • Investment Agreement
  • Convertible Debentures
  • Sham Loans
  • Mareva Injunction
  • Thai Civil Case
  • Avoidance Notice
  • SEC News Release
  • NPO

15.2 Keywords

  • JTrust
  • Group Lease
  • Deceit
  • Conspiracy
  • Issue Estoppel
  • Res Judicata
  • Singapore
  • Investment Agreement

17. Areas of Law

Area NameRelevance Score
Issue Estoppel85
Fraud and Deceit80
Res Judicata80
Conspiracy by Unlawful Means75
Civil Litigation70
Contract Law60
Mareva Injunction50
Estoppel50
Asset Recovery40
Jurisdiction40
Arbitration30
Appeal30

16. Subjects

  • Civil Litigation
  • Investment Law
  • Tort Law