SGSingapore's highest court has dismissed the largest claim made by insolvent oil trader Hin Leong Trading against its former auditor, Deloitte, amounting to $3.4 billion. The five-judge Court of Appeal ruled that Deloitte was not responsible for the company's trading losses between November 2015 and mid-2020, stating that auditors do not have a legal obligation to consider the interests of creditors when a firm is insolvent. Hin Leong now has two remaining claims: one for $90 million in wrongly declared dividends and another for $612,000 in audit fees. The court emphasized that Deloitte had no involvement in Hin Leong's trading strategies and could not have foreseen the losses, which depended on market conditions and management decisions beyond the auditor's control. Hin Leong argues that Deloitte failed to detect financial irregularities committed by the company's founder, Lim Oon Kuin, also known as OK Lim.
Bias read (Center): The article presents a factual account of a legal ruling regarding corporate liability and does not exhibit clear ideological bias. It reports on the court's decision without overtly favoring either Hin Leong or Deloitte, maintaining a balanced tone throughout.
