Wang Xiaopu v Koh Mui Lee: Fraudulent Asset Disposal & Constructive Trusts
In Wang Xiaopu v Koh Mui Lee, the plaintiff, Wang Xiaopu, sued the defendants, Koh Mui Lee, Melissa Goh, and Jeremy Goh, in the General Division of the High Court of Singapore, alleging that Dr. Goh Seng Heng fraudulently disposed of assets by transferring them to the defendants to avoid satisfying judgments from previous lawsuits. The court, presided over by Lee Seiu Kin J, found certain transactions voidable under Section 73B of the Conveyancing Law and Property Act, including the transfer of monies to Dr. Jeremy, the purchase of Seascape in Dr. Jeremy's name, the sale of Dr. Goh's interest in 36 Cove Way to Mdm. Koh, and the novation of loans to yacht companies. The court also found that Berth was held on resulting trust for Dr. Goh and Mdm. Koh. Declarations and orders were granted accordingly.
1. Case Overview
1.1 Court
High Court of the Republic of Singapore1.2 Outcome
Judgment for Plaintiff in part; declarations granted for fraudulent conveyances and resulting trusts.
1.3 Case Type
Civil
1.4 Judgment Type
Judgment
1.5 Jurisdiction
Singapore
1.6 Description
Plaintiff claims Dr. Goh fraudulently disposed of assets to defendants. Court found some transactions voidable under Conveyancing Law and Property Act.
1.7 Decision Date
2. Parties and Outcomes
| Party Name | Role | Type | Outcome | Outcome Type | Counsels |
|---|---|---|---|---|---|
| Wang Xiaopu | Plaintiff | Individual | Judgment for Plaintiff in part | Partial | |
| Koh Mui Lee | Defendant | Individual | Orders made against Defendant | Lost | |
| Goh Ming Yi, Melissa (Wu Mingyi) | Defendant | Individual | Orders made against Defendant | Lost | |
| Goh Keng Meng, Jeremy (Wu Qingming) | Defendant | Individual | Orders made against Defendant | Lost |
3. Judges
| Judge Name | Title | Delivered Judgment |
|---|---|---|
| Lee Seiu Kin | Judge | Yes |
4. Counsels
4. Facts
- Dr. Goh transferred his joint tenancy interest in his matrimonial home to Mdm. Koh for S$5,250,000.
- Dr. Goh purchased a unit in The Berth by the Cove in Ms. Melissa’s name for S$4,880,000.
- Dr. Goh purchased a unit in Seascape in Dr. Jeremy’s name for S$5,800,000.
- Dr. Goh gifted monies of approximately S$18m in an OCBC bank account to Dr. Jeremy.
- Dr. Goh had unsecured interest-free loans granted to Yacht Management Pte Ltd and Singapore Yacht Charter Pte Ltd.
- Seascape and Berth were mortgaged in favor of Standard Chartered Bank (Singapore Limited).
- Dr. Goh stated he had lost at least S$111,639,870 after over a decade of gambling.
5. Formal Citations
- Wang Xiaopu v Koh Mui Lee and others, Suit No 636 of 2020, [2023] SGHC 73
6. Timeline
| Date | Event |
|---|---|
| Mdm Wang introduced to Dr Goh through Lin Pei-Li. | |
| Mdm Wang entered the 1st MOU to purchase 20,000 shares in AMP. | |
| Mdm Wang and Mr Sun agreed to buy out minority shareholders in AMP. | |
| Mdm Wang entered the 2nd MOU to purchase 50,000 shares from Dr Goh. | |
| Dr Goh purchased Berth in Ms Melissa’s name. | |
| Dr Goh purchased Seascape in Dr Jeremy’s name. | |
| Mdm Wang commenced Suit 686 against Dr Goh and Dr Michelle. | |
| Dr Goh discontinued the action against Mdm Wang in Suit 546. | |
| Liberty Sky commenced Suit 1311 against Dr Goh and Dr Michelle. | |
| Dr Goh gifted monies in the OCBC 582 Account to Dr Jeremy. | |
| Suit 111 was discontinued by the plaintiffs. | |
| Suit 546 was discontinued by Dr Goh. | |
| Dr Goh ceased to be a director of YM and SYC and transferred his shares in SYC to Mdm Koh. | |
| Dr Goh transferred his joint tenancy interest in 36 Cove Way to Mdm Koh. | |
| Dr Goh applied for bankruptcy. | |
| Dr Goh was declared a bankrupt. | |
| Mdm Wang applied for an order of committal against Dr Goh. | |
| Judgment date. |
7. Legal Issues
- Fraudulent Conveyance
- Outcome: The court found that several transactions were voidable under s 73B of the CLPA due to Dr. Goh's intent to defraud creditors and the defendants' notice of this intent.
- Category: Substantive
- Sub-Issues:
- Intent to defraud creditors
- Notice of fraudulent intent
- Valuable consideration
- Good faith
- Resulting Trust
- Outcome: The court found that the beneficial interest of Berth lies with Dr Goh and Mdm Koh by operation of the presumption of a resulting trust in their favor.
- Category: Substantive
- Sub-Issues:
- Presumption of resulting trust
- Rebuttal of presumption
- Presumption of advancement
- Voluntary payment
- Constructive Trust
- Outcome: The court did not find sufficient grounds to impose a constructive trust.
- Category: Substantive
- Sub-Issues:
- Institutional constructive trust
- Remedial constructive trust
- Unconscionability
- Fraud
8. Remedies Sought
- Declaration that the transfer of Dr Goh’s joint interest in 36 Cove Way to Mdm Koh is void.
- Declaration that Ms Melissa holds Berth on trust for Dr Goh.
- Declaration that the purchase of Seascape in Dr Jeremy’s name is void.
- Declaration that the transfer of monies by Dr Goh to the OCBC account in Dr Jeremy’s name is void.
- Declaration that Dr Goh’s novation of the loans and disposal of the shares are void.
9. Cause of Actions
- Fraudulent Conveyance
- Resulting Trust
- Constructive Trust
10. Practice Areas
- Civil Litigation
- Insolvency Law
- Asset Recovery
11. Industries
- No industries specified
12. Cited Cases
| Case Name | Court | Affirmed | Citation | Jurisdiction | Significance |
|---|---|---|---|---|---|
| Wang Xiaopu v Goh Seng Heng and another | High Court | Yes | [2019] SGHC 284 | Singapore | Details of the 1st and 2nd MOUs between Mdm Wang and Dr Goh, and the claims of misrepresentation and breach of contract. |
| Wong Ser Wan v Ng Bok Holdings Pte Ltd and another | Court of Appeal | Yes | [2004] 4 SLR(R) 365 | Singapore | Cited for the legal principles regarding s 73B of the Conveyancing and Law of Property Act, specifically the burden of proof on the plaintiff and the defenses available to the defendant. |
| Quah Kay Tee v Ong and Co Pte Ltd | High Court | Yes | [1996] 3 SLR(R) 637 | Singapore | Cited for the principles regarding fraudulent intent in conveyances, particularly the distinction between transfers for valuable consideration and voluntary conveyances. |
| Rothstar Group Ltd v Leow Quek Shiong and other appeals | Court of Appeal | Yes | [2022] 2 SLR 158 | Singapore | Clarifies that the principles in Quah Kay Tee and Wong Ser Wan are not in dispute with respect to the burden of proof and establishment of fraudulent intention under s 73B(1) of the CLPA. |
| Yeo Guan Chye Terence and another v Lau Siew Kim | Court of Appeal | Yes | [2007] 2 SLR(R) 1 | Singapore | Cited for the well-settled law on resulting trusts, particularly the equitable position regarding ownership of property by a person who has not contributed to its purchase. |
| Cheng Yoke Kuen v Cheong Kwok Kiong | Court of Appeal | Yes | [1999] 1 SLR(R) 1126 | Singapore | Cited for the principle that the ownership of a property by a person who has not contributed any money towards its purchase, is well settled. |
| Lau Siew Kim v Yeo Guan Chye Terence and another | Court of Appeal | Yes | [2008] 2 SLR(R) 108 | Singapore | Cited for the two circumstances in which resulting trusts are presumed to arise: voluntary payment or purchase of property, and failure of an express trust. |
| Chan Yuen Lan v See Fong Mun | High Court | Yes | [2014] 3 SLR 1048 | Singapore | Cited for the principle that if a gift is not established, the presumption of advancement may operate to rebut the presumption of resulting trust. |
| Koh Kim Eng v Lim Geok Yian | High Court | Yes | [2001] 2 SLR(R) 812 | Singapore | Cited for the definition of a constructive trust as a trust arising by operation of law when it would be unconscionable for a property owner to deny the beneficial interest of another. |
| Zaiton bte Adom v Nafsiah bte Wagiman and anor | High Court | Yes | [2022] SGHC 189 | Singapore | Cited for the definition of institutional and remedial constructive trusts and the categories of unconscionability that give rise to an institutional constructive trust. |
| National Bank of Oman SAOG Dubai Branch v Bikash Dhamala and others | High Court | Yes | [2021] 3 SLR 943 | Singapore | Cited for the principle that if fraud is relied upon as the circumstance under which an institutional constructive trust is founded, it must be pleaded in terms of a situation whereby the defendant fraudulently relies on the informality of a transaction to deny the beneficial interest of the claimant. |
| Wee Chiaw Sek Anna v Ng Li-Ann Genevieve (sole executrix of the estate of Ng Hock Seng, deceased) and another | Court of Appeal | Yes | [2013] 3 SLR 801 | Singapore | Cited for the principle that a remedial constructive trust cannot be imposed unless there is unconscientiousness or unconscionability affecting the knowledge of the recipient of the assets in question. |
| Liberty Sky Investments Ltd v Goh Seng Heng and another | High Court | Yes | [2020] 3 SLR 335 | Singapore | Background of Suit 1311. |
| Liberty Sky Investments v Aesthetic Medical Partners Pte Ltd and other appeals and another matter | Court of Appeal | Yes | [2020] 1 SLR 606 | Singapore | Dr Goh appealed unsuccessfully against the court’s finding on liability for misrepresentation in Suit 1311. |
| Liberty Sky Investments Ltd v Goh Seng Heng and another | High Court | Yes | [2019] SGHC 40 | Singapore | Court found that there was no separate and independent indemnity agreement. |
| Timing Ltd v Tay Toh Hin and another | High Court | Yes | [2021] 4 SLR 1040 | Singapore | Suggests that monies in the OCBC 501 Account would have been exigible only if the monies belong solely to the debtor. |
| Timing Ltd v Tay Toh Hin and another | High Court | Yes | [2020] 5 SLR 974 | Singapore | Suggests that monies in the OCBC 501 Account would have been exigible only if the monies belong solely to the debtor. |
| One Investment and Consultancy Ltd and another v Cham Poh Meng (DBS Bank Ltd, garnishee) | High Court | Yes | [2016] 5 SLR 923 | Singapore | Joint accounts cannot be garnished as a bank has no visibility as to the respective contributions of the joint account holders. |
| Wang Xiaopu v Goh Seng Heng and another | High Court | Yes | [2021] SGHC 282 | Singapore | Dr Goh found to be in contempt of court for lying to the court. |
| Dr Goh Seng Heng v Wang Xiaopu | Court of Appeal | Yes | [2022] 2 SLR 769 | Singapore | Dr Goh’s appeal against the sentence was dismissed. |
| Wang Xiaopu v Goh Seng Heng and another | High Court | Yes | [2022] SGHC 272 | Singapore | Costs of and incidental to the committal proceedings against both Dr Goh and Dr Michelle. |
13. Applicable Rules
| Rule Name |
|---|
| No applicable rules |
14. Applicable Statutes
| Statute Name | Jurisdiction |
|---|---|
| Conveyancing Law and Property Act (Cap 61, 1994 Rev Ed) | Singapore |
| Evidence Act (Cap 97, 1997 Rev Ed) | Singapore |
15. Key Terms and Keywords
15.1 Key Terms
- Fraudulent conveyance
- Resulting trust
- Constructive trust
- Novation
- OCBC 582 Account
- OCBC 501 Account
- Seascape
- Berth
- 36 Cove Way
- Yacht companies
15.2 Keywords
- Fraudulent conveyance
- Resulting trust
- Constructive trust
- Property transfer
- Asset disposal
- Bankruptcy
- Singapore law
17. Areas of Law
| Area Name | Relevance Score |
|---|---|
| Property Law | 75 |
| Trust Law | 70 |
| Fraud and Deceit | 65 |
| Bankruptcy | 60 |
| Personal Property Ownership | 60 |
| Conveyance | 50 |
| Contract Law | 30 |
| Company Law | 25 |
16. Subjects
- Personal property
- Ownership
- Conveyance
- Trusts
- Fraudulent disposal of assets