Farooq Ahmad Mann v Xia Zheng

Case Significance

Farooq Ahmad Mann v Xia Zheng [2024] SGHC 182 was a decision of the General Division of the High Court delivered by Aedit Abdullah J on 15 July 2024, following hearings on 4 and 9 April and 9 May 2024 (Originating Application No 3 of 2024, Summons No 34 of 2024). The application was brought by Mr Farooq Ahmad Mann, in his capacity as the private trustee in bankruptcy of Mr Li Hua ("the Bankrupt"), seeking a Mareva and/or proprietary injunction against the respondent, Ms Xia Zheng. The injunction was sought in support of the private trustee's claim to avoid certain transfers of property from the Bankrupt to Ms Xia made in the lead-up to the Bankrupt's bankruptcy.

According to the catchwords and judgment opening, the trustee alleged that the transfers were transactions at an undervalue or fraudulent conveyances under s 361 of the Insolvency, Restructuring and Dissolution Act 2018 (2020 Rev Ed) and s 73B of the Conveyancing and Law of Property Act (Cap 61, 1994 Rev Ed). The catchwords frame the issues around the principles governing proprietary injunctions, the "real risk of dissipation" requirement and the applicability of the balance of convenience test to Mareva injunctions, and whether a transfer of property made pursuant to an ancillary relief order is capable of challenge as a transaction at an undervalue. Mr Tham Lijing of Tham Lijing LLC acted for the claimant, and Ms Oei Ai Hoea Anna of Tan, Oei & Oei LLC acted for the defendant.