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PT Makindo (formerly known as PT Makindo TBK) v Aperchance Co Ltd and others [2011] SGCA 19

In PT Makindo (formerly known as PT Makindo TBK) v Aperchance Co Ltd and others, the Court of Appeal of the Republic of Singapore addressed issues of Contempt of Court.

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Case Details

  • Citation: [2011] SGCA 19
  • Case Number: Civil Appeal No 137 of 2010
  • Decision Date: 27 April 2011
  • Court: Court of Appeal of the Republic of Singapore
  • Coram: Chan Sek Keong CJ; Chao Hick Tin JA; Kan Ting Chiu J
  • Judges: Chan Sek Keong CJ, Chao Hick Tin JA, Kan Ting Chiu J
  • Parties: PT Makindo (formerly known as PT Makindo TBK) — Aperchance Co Ltd and others
  • Appellant/Applicant: PT Makindo (formerly known as PT Makindo TBK)
  • Respondents/Defendants: Aperchance Co Ltd and others
  • Legal Area: Contempt of Court
  • Procedural History: Appeal against the High Court judge’s dismissal of an application to cite the respondents for contempt of court (reported at [2010] 4 SLR 954)
  • Key Earlier Proceedings: Suit No 1149 of 2003 (Singapore High Court); ex parte worldwide Mareva injunction obtained on 24 November 2003; set aside on 27 February 2004
  • Representation (Appellant): Chandra Mohan s/o Rethnam, Mabelle Tay Jiahui and Gillian Hauw (Rajah & Tann LLP)
  • Representation (Respondents): Davinder Singh SC, Alecia Quah and Nabil Mustafiz (Drew & Napier LLC)
  • Judgment Length: 5 pages, 2,319 words

Summary

PT Makindo (formerly known as PT Makindo TBK) v Aperchance Co Ltd and others [2011] SGCA 19 concerned whether the respondents could be cited for contempt of court for publishing newspaper advertisements that publicly misrepresented the status of a Singapore High Court worldwide Mareva injunction. The Court of Appeal dismissed the appeal, holding that the advertisements did not amount to contempt in the circumstances.

The dispute arose from earlier litigation in which the respondents obtained an ex parte worldwide Mareva injunction against the appellant in Suit No 1149 of 2003. That injunction was set aside by the High Court on 27 February 2004 for lack of jurisdiction. Although the respondents complied with the order setting aside the injunction and paid costs, they later published advertisements in Indonesian newspapers in January 2010. Those advertisements suggested that the appellant’s assets were still “impeded and blocked” worldwide pursuant to the Singapore judgment and order. The appellant sought leave to commence committal proceedings for contempt, alleging that the advertisements were false, misleading, and in breach of the earlier court order.

The Court of Appeal treated the appeal as turning on a single substantive issue: whether, in the circumstances, the respondents could be liable for contempt of court for publicly misrepresenting the nature or substance of the 27 February 2004 court order. The court rejected the appellant’s attempt to extend contempt doctrine beyond its established boundaries, concluding that misrepresentation of a court order—without an attack on the court itself—could not interfere with the administration of justice once the underlying proceedings had ended. The court further held that the advertisements did not scandalise the court and therefore did not fall within the relevant contempt category.

What Were the Facts of This Case?

The appellant, PT Makindo, is an Indonesian investment bank. The first respondent, Aperchance Co Ltd, is a company incorporated in Hong Kong. The second and third respondents are the only directors and shareholders of the first respondent, and they are based in Singapore. The parties’ relationship was shaped by earlier Singapore proceedings in which the respondents sought to recover a substantial sum.

On 22 November 2003, the first respondent commenced Suit No 1149 of 2003 against the appellant and three other defendants for repayment of US$126m. On 24 November 2003, the first respondent obtained an ex parte worldwide Mareva injunction against the appellant. A worldwide Mareva injunction is designed to restrain a defendant from dealing with assets to satisfy a potential judgment, and it can have significant cross-border effects. However, on 27 February 2004, the High Court set aside the worldwide Mareva injunction on the ground that it had no jurisdiction over the appellant and the other defendants in Suit 1149/2003.

Following the setting aside, the High Court ordered the first respondent to pay the costs of the defendants in Suit 1149/2003 and to serve the court order on all parties who had earlier been notified of the worldwide Mareva injunction. Importantly, the first respondent did not appeal against the 27 February 2004 court order. It complied with the order by informing relevant parties on 5 March 2004 that the worldwide Mareva injunction had been set aside, and by paying the costs in September 2009.

Despite this compliance, between 7 and 11 January 2010, the first respondent placed advertisements in five major Indonesian newspapers, including Bisnis Indonesia, Kompas and Kontan. The advertisements, translated into English, contained a headline “IMPEDING AND BLOCKAGE” and stated that the entire assets/capital of PT Makindo TBK and named individuals were being impeded and blocked worldwide pursuant to the judgment of the Singapore High Court in Suit No 1149/2003/H dated 24 November 2003. The advertisements effectively communicated to the Indonesian public that the worldwide Mareva injunction remained operative.

The appellant later learned of the advertisements and protested through solicitors on 11 and 20 January 2010. The appellant asserted that the advertisements were misleading because the worldwide Mareva injunction had been discharged on 27 February 2004. The appellant also requested confirmation whether the respondents had authorised the publication of the advertisements. The respondents ignored these requests.

In response, the appellant applied ex parte in Originating Summons No 190 of 2010 for leave to commence committal proceedings against the respondents for contempt of court. Leave was granted. In its statement filed pursuant to O 52 r 2(2) of the Rules of Court, the appellant argued that the advertisements failed to mention that the worldwide Mareva injunction had been set aside and that the respondents had not complied with the order requiring service of the 27 February 2004 court order on parties previously notified of the worldwide Mareva injunction. The appellant characterised the advertisements as a “blatant disregard” and “willful disobedience” of the 27 February 2004 court order, and alleged that the respondents had thwarted and frustrated the purpose of the court order.

The Court of Appeal identified multiple issues raised by the appellant but concluded that only one substantive issue was material to the appeal. That issue was whether, in the circumstances, the respondents could be liable for contempt of court for publicly misrepresenting the nature or substance of the 27 February 2004 court order.

In practical terms, the appellant’s case required the court to consider whether contempt of court extends to situations where a party publishes statements to the public that misstate the status of a court order, particularly where the underlying proceedings have ended and where the alleged misrepresentation does not directly impugn the court’s integrity or impartiality. The appellant sought to characterise the advertisements as more than mere inaccuracies, arguing that they effectively “resurrected” a discharged injunction and misled third parties into believing that the appellant’s assets were still frozen.

Conversely, the respondents’ position—adopted by the High Court and accepted by the Court of Appeal—was that contempt doctrine is not a general remedy for misleading statements about concluded proceedings. The court needed to determine whether the advertisements could be classified as contempt in a recognised category, particularly whether they “scandalise the court” or otherwise interfere with the administration of justice.

How Did the Court Analyse the Issues?

The Court of Appeal began by addressing the appellant’s reliance on Dunn v Bevan; Brodie v Bevan [1922] 1 Ch 276. The appellant argued that Dunn v Bevan should be read narrowly: it was concerned with the risk of prejudicing ongoing proceedings and did not decide that interference with the administration of justice could never occur after proceedings had ended. The appellant also emphasised that Dunn v Bevan involved an injunction application to prevent circulars, rather than a committal application for contempt.

However, the Court of Appeal rejected the appellant’s attempt to distinguish Dunn v Bevan on those grounds. The court held that the appellant misunderstood the law. The court reasoned that misrepresentation of a court order cannot interfere with the administration of justice. In support, it cited the observation of Wills J in R v Parke [1903] 2 KB 432 at 438: it is possible to poison the fountain of justice before it begins to flow, but not once the stream has ceased. This metaphor was used to explain why the administration of justice is not affected in the same way after the relevant proceedings have concluded.

That reasoning was central to the court’s approach. The Court of Appeal treated the 27 February 2004 order setting aside the worldwide Mareva injunction as a concluded event. The advertisements in January 2010, while misleading, were not shown to have interfered with any ongoing process of the court. The court therefore considered that the appellant’s argument—framing the advertisements as contempt because they misled the public into believing assets were still frozen—did not fit within the established rationale for contempt based on interference with the administration of justice.

The Court of Appeal also addressed the appellant’s submission that the advertisements amounted to a “fabrication” of a court order and should be treated as contempt. The appellant relied on Re Bineet Kumar Singh AIR 2001 SC 2018, where the Supreme Court of India had held that utilising a fabricated court order could amount to contempt. The Court of Appeal did not accept that this line of authority required a different outcome in Singapore. Instead, it focused on the doctrinal limits of contempt and the categories recognised in Singapore law.

In particular, the Court of Appeal emphasised that contempt is not an elastic jurisdiction. It noted that where proceedings have ended, and where there is no attack on the court itself, the appropriate remedy for misrepresentations that injure reputation is generally found in ordinary causes of action such as defamation or other civil remedies. This echoed the High Court’s reliance on Dunn v Bevan and Sargant J’s explanation that contempt should not be enlarged to cover matters outside well-established lines. The Court of Appeal therefore treated the appellant’s complaint as essentially one of misleading publication rather than one that undermined the court’s authority in a way that contempt law is designed to address.

At the same time, the Court of Appeal acknowledged a different pathway: even if misrepresentation does not interfere with the administration of justice after proceedings have ended, it may still constitute contempt if it scandalises the court. The court explained that baseless attacks undermining public confidence in the administration of justice—particularly attacks on the integrity or impartiality of the courts and judges—are aggravated forms of contempt. Scurrilous abuse of a judge qua judge has the same effect. Thus, the key question becomes whether the publication attacks the court itself, rather than merely misstates the outcome of litigation.

Applying that framework, the Court of Appeal held that the advertisements would only amount to contempt if they amounted to scandalising the court. The court concluded that they could not possibly do so because they carried no suggestion as to the conduct of the court. In other words, the advertisements did not impugn the judiciary’s integrity or impartiality; they simply misrepresented the status of the injunction. That distinction mattered because contempt law is concerned with protecting the administration of justice and the authority of the courts, not with policing every misleading statement about concluded proceedings.

The Court of Appeal also rejected the appellant’s reliance on comparative statements from Australian authority, including Tobacco Institute of Australia Limited v Australian Federation of Consumer Organisations Inc (No 2) (1993) 41 FCR 89. The court noted that the appellant’s arguments showed a misunderstanding of the law in Singapore. While the Australian passage emphasised the seriousness of misleading statements attributed to the court, the Court of Appeal did not treat that as determinative for Singapore’s contempt doctrine, particularly given the established Singapore approach rooted in Dunn v Bevan and the “fountain of justice” rationale.

What Was the Outcome?

The Court of Appeal dismissed the appeal and affirmed the High Court’s decision to dismiss the appellant’s application to cite the respondents for contempt of court. At the conclusion of the hearing, the Court of Appeal had already dismissed the appeal with costs, and it provided detailed reasons for that result.

Practically, the decision meant that the respondents were not to be proceeded against for committal for contempt based on the newspaper advertisements. The appellant’s remedy, if any, would lie in ordinary civil or criminal processes rather than contempt proceedings, since the advertisements did not fit within the recognised contempt categories of scandalising the court or interfering with the administration of justice after the relevant proceedings had ended.

Why Does This Case Matter?

PT Makindo v Aperchance Co Ltd is significant for its clear reaffirmation of the boundaries of contempt of court in Singapore. The Court of Appeal underscored that contempt is not a general mechanism to address misleading statements about concluded litigation. Instead, contempt doctrine is anchored to the protection of the administration of justice and the authority of the courts, with recognised categories such as scandalising the court and interference with the administration of justice.

For practitioners, the case provides a useful analytical framework. First, where proceedings have ended, the court is reluctant to treat misrepresentations as contempt unless they attack the court itself. Second, the “fountain of justice” rationale supports the view that once the stream has ceased, the administration of justice is not interfered with in the same way. Third, even if the public is misled, the appropriate remedy may be defamation or other civil claims rather than contempt, unless the publication undermines public confidence in the judiciary.

The decision also has practical implications for cross-border publicity and enforcement. Parties sometimes seek to influence commercial perceptions by referencing court orders in foreign media. PT Makindo indicates that, while such conduct may be wrongful and potentially actionable, it will not automatically trigger contempt jurisdiction. Lawyers advising clients on risk should therefore distinguish between (a) misleading statements that may expose a party to reputational or civil liability and (b) statements that directly undermine the court’s authority or integrity, which may attract contempt.

Legislation Referenced

  • Rules of Court (Cap 322, R 5, 2006 Rev Ed), O 52 r 2(2)

Cases Cited

Source Documents

This article analyses [2011] SGCA 19 for legal research and educational purposes. It does not constitute legal advice. Readers should consult the full judgment for the Court's complete reasoning.

Written by Sushant Shukla
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