UCO Bank v Green Mint: Judgment on Merits Against Gupta Vaibhav for Personal Guarantee
In UCO Bank, Singapore Branch v Green Mint Pte Ltd and others, the General Division of the High Court of Singapore heard the plaintiff's application for a judgment on the merits of the claim against the second defendant, Mr. Gupta Vaibhav, based on a personal guarantee for funds extended to the first defendant, Green Mint Pte Ltd. Despite initially failing to appear, Mr. Gupta Vaibhav later decided not to contest the claim. The court, finding that it had the inherent power to consider the claim on its merits, granted judgment in favor of the plaintiff, UCO Bank.
1. Case Overview
1.1 Court
General Division of the High Court1.2 Outcome
Judgment for Plaintiff
1.3 Case Type
Civil
1.4 Judgment Type
Ex Tempore Judgment
1.5 Jurisdiction
Singapore
1.6 Description
UCO Bank's claim against Gupta Vaibhav for a personal guarantee was granted on its merits after he failed to file a defense.
1.7 Decision Date
2. Parties and Outcomes
| Party Name | Role | Type | Outcome | Outcome Type | Counsels |
|---|---|---|---|---|---|
| UCO Bank, Singapore Branch | Plaintiff | Corporation | Judgment for Plaintiff | Won | |
| Green Mint Pte Ltd | Defendant | Corporation | Judgment in default of appearance | Lost | |
| Gupta Vaibhav | Defendant | Individual | Judgment for Plaintiff | Lost | |
| Arvind Sharma | Defendant | Individual | Bankrupt | Lost |
3. Judges
| Judge Name | Title | Delivered Judgment |
|---|---|---|
| Goh Yihan | Judicial Commissioner | Yes |
4. Counsels
4. Facts
- UCO Bank extended a credit facility of US$2,900,000 to Green Mint Pte Ltd.
- Gupta Vaibhav provided a personal guarantee for the credit facility.
- Green Mint Pte Ltd failed to make payment of the Outstanding Facilities.
- UCO Bank demanded payment from Green Mint Pte Ltd and Gupta Vaibhav.
- Gupta Vaibhav initially failed to enter an appearance in court.
- Gupta Vaibhav later decided not to file a defence to contest the claim.
5. Formal Citations
- UCO Bank, Singapore Branch v Green Mint Pte Ltd and others, Suit No 153 of 2022 (Summons No 4463 of 2022), [2023] SGHC 72
6. Timeline
| Date | Event |
|---|---|
| Facility Letter dated | |
| Facility Agreement dated | |
| Plaintiff issued letters recalling the Outstanding Facilities and demanding payment | |
| Plaintiff sent statutory demands to the second and third defendants | |
| Sum payable by the defendants determined | |
| Plaintiff obtained judgment in default of appearance against the first defendant | |
| Third defendant was made a bankrupt | |
| Cause papers served on second defendant by substituted service | |
| Second defendant filed a Memorandum of Appearance | |
| Hearing | |
| Pre-trial conference held | |
| Judgment delivered |
7. Legal Issues
- Enforcement of Personal Guarantee
- Outcome: The court granted judgment on the merits in favor of the plaintiff, enforcing the personal guarantee against the second defendant.
- Category: Substantive
- Inherent Powers of the Court
- Outcome: The court held that it has the inherent power to consider a claim on its merits even where the defendant is in default of defence.
- Category: Procedural
8. Remedies Sought
- Monetary Damages
9. Cause of Actions
- Breach of Contract
- Enforcement of Guarantee
10. Practice Areas
- Commercial Litigation
- Banking Litigation
11. Industries
- Banking
12. Cited Cases
| Case Name | Court | Affirmed | Citation | Jurisdiction | Significance |
|---|---|---|---|---|---|
| Re Nalpon Zero Geraldo Mario | Court of Appeal | Yes | [2013] 3 SLR 258 | Singapore | Cited for the distinction between the inherent jurisdiction of the court and its inherent powers. |
| Transasia Private Capital Ltd (in its capacity as manager, for and on behalf of Asian Trade Finance Fund, a sub-fund of TA Asian Multi-Finance Fund) v Todi Ashish | High Court | Yes | [2021] 4 SLR 1121 | Singapore | Cited for the principle that the court has inherent power to consider a claim on its merits where the defendant is in default of appearance. |
| Singapore Telecommunications Ltd v APM Infotech Pte Ltd | High Court | Yes | [2011] SGHC 147 | Singapore | Cited as evidence that Singapore courts have held that the court has inherent power to consider a claim on its merits where the defendant is in default of appearance. |
| Indian Overseas Bank v Svil Agro Pte Ltd and others | High Court | Yes | [2014] 3 SLR 892 | Singapore | Cited as evidence that Singapore courts have held that the court has inherent power to consider a claim on its merits where the defendant is in default of appearance. |
| Seagate Technology International v Vikas Goel | High Court | Yes | [2016] SGHC 12 | Singapore | Cited as evidence that Singapore courts have held that the court has inherent power to consider a claim on its merits where the defendant is in default of appearance. |
| Panwell Investments Pte Ltd v Lau Ee Theow | Unknown | Yes | [1996] 3 SLR(R) 73 | Singapore | Cited for the reasoning that the court's ability to consider a claim on the merits is founded on its inherent powers. |
| Berliner Bank AG v Karageorgis and another | English High Court | Yes | [1996] 1 Lloyd’s Rep 426 | England | Cited for the principle that the English High Court has the inherent power to order a full trial of the claim where a defendant is in default of appearance or in default of defence. |
| Eurasia Sports Ltd v Tsai and others | English High Court | Yes | [2020] EWHC 81 (QB) | England | Cited for the principle that the court has the option of giving either a judgment in default or a reasoned judgment on the merits where one or more of the defendants has served no defence and has not appeared at the trial. |
13. Applicable Rules
| Rule Name |
|---|
| Rules of Court (2014 Rev Ed) |
14. Applicable Statutes
| Statute Name | Jurisdiction |
|---|---|
| Code of Civil Procedure 1908 (Act No 5 of 1908) (India) | India |
15. Key Terms and Keywords
15.1 Key Terms
- Personal Guarantee
- Credit Facility
- Facility Agreement
- Facility Letter
- Judgment on the merits
- Inherent powers
- Outstanding Facilities
- Memorandum of Appearance
15.2 Keywords
- personal guarantee
- uco bank
- green mint
- gupta vaibhav
- judgment on merits
- singapore
- banking
- credit facility
17. Areas of Law
| Area Name | Relevance Score |
|---|---|
| Personal Guarantee | 80 |
| Guarantee | 75 |
| Civil Procedure | 70 |
| Inherent powers | 65 |
| Contract Law | 60 |
| Banking and Finance | 50 |
16. Subjects
- Banking
- Civil Procedure
- Contract Law