JUDGMENTBY: MCELWAINE, CJ, TERRELL, JA, POYSER, CJ (FMS)

MCELWAINE, CJ The plaintiff (respondent) who is a moneylender sued the defendant (appellant) on a promissory note and recovered judgment against him.

The defendant appeals against this judgment principally upon the grounds set out in paragraph 3 of the defence which is as follows:--

"The defendants say that the plaintiff failed to deliver to them a copy

of the said promissory note authenticated by the plaintiff before the

loan was made".

Section 4 (1) of the Moneylenders Ordinance (Cap. 218) enacts that no contract for the repayment by the borrower of money lent to him by a moneylender and no security given by the borrower in respect of any such contract shall be enforceable unless a note or memorandum in writing of the contract in the English language be signed by the parties and unless a copy thereof authenticated by the lender be delivered to the borrower before the money is lent, and no such contract or security shall be enforceable if the note or memorandum was not signed before the security was given.

By subsection (4) a promissory note in the English language containing all the terms of the contract if countersigned by the lender shall in itself be a sufficient note or memorandum of the contract.

As this appeal turns on the sufficiency or insufficiency of the copy delivered to the borrower, I set out in full the whole of the document delivered to the defendant in purported compliance with section 4 (1):--

"Copy"

Singapore, 12th July, 1938.

$ 2,000/-.

I/We ... jointly and severally promise to pay to Ang Khye Pang or Order

the sum of Dollars Two thousand only (being as to $ 1,840/- the

principal of a loan borrowed by me/us this day from him and as to

$ 160/-interest thereon) by 5 consecutive monthly instalments of

Dollars Four hundred each (to be appropriated as to $ 368/- to

principal and as to$ 32/-to interest) commencing on the 12th day of

August next and to pay simple interest on any instalment unpaid on the

due date at the rate of 35 per centum per annum from the due date until

payment and in the event of default being made in payment of any

instalment for ten days after the due date then on demand the balance

of principal then owing shall become due and payable forthwith and such

principal sum shall carry interest at the rate aforesaid from the date

of demand until payment.

For Value Received.

Ang Khye Pang (Chinese Characters)

Countersignature of the Lender or his Agent,"

"I/We the abovenamed ... hereby acknowledge to have received this 12th

day of July, 1938, from the abovenamed lender Ang Khye Pang the

abovementioned sum of Dollars One thousand eight hundred and forty only

after the above promissory note was signed by me/us and countersigned

by him and I/We also acknowledge that before receiving the said sum and

before giving this promissory note to the lender Ang Khye Pang a copy

thereof (including this acknowledgment except my/our signature thereto)

authenticated by the lender Ang Khye Pang was delivered to and received

by me/each of us.

Signature of Borrower

Tan Say Boh

(Chinese Characters)

(Stamp)

The above printed and partly written document is hereby authenticated

by me as a copy of the original promissory note of which it purports to

be a copy of an acknowledgment at the foot of the original document

prepared for the signature of the abovenamed Borrower but not yet

signed by the Borrower.

Signature of Lender or his Agent."

Tan Say Boh who signed as borrower is the sole proprietor of Chop Ban Aik.

The original promissory note has attached to it as part of the same sheet of paper an acknowledgment identical with that on the copy.

The original promissory note is countersigned by the lender in Chinese and is signed by the bo

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