In the course of corporate insolvency, in order to progress from initiating a winding up application to the actual winding up of the company, the applicant must overcome any opposition filed against the winding up. In Atlas Equifin Pte Ltd v Electronic Cash and Payment Solutions (S) Pte Ltd [2022] SGHC 258, the Singapore High Court had the opportunity to consider the relatively unexplored issue of whether a shareholder/contributory has standing to oppose a creditor’s winding up application.
The Court held that a shareholder/contributory does in fact have such standing. The Court also provided guidance on the factors it would consider in determining whether to grant a shareholder/contributory leave to oppose a winding up application. This Update provides a summary of the decision, highlighting the key point relating to the winding up process.
For more information, click here to read the full Legal Update.
