JUDGMENT

Wee Chong Jin CJ:

The facts relevant for the determination of this appeal have been fully set out in the judgment of Choor Singh J but although I am in entire agreement with him that the trial Judge ought, on all the evidence, to have held that the appellant had proved that the certificate in question was a forgery, I am unable to agree with him that the certificate produced to the negotiating bank in Taiwan was not in strict compliance with the condition stipulated in the letter of credit.

The condition is that there was to be produced to the negotiating bank in Taiwan "a certificate signed by Balwant Singh holder of Malaysian Passport E.13276 certifying that the vessel has been built according to specifications and is in fit and proper condition to sail. In the absence of such a certificate the letter of credit is not to be allowed negotiation". The certificate that was produced to the bank in Taiwan was typed on the letter-head of the appellant and was in the following terms:

Reference to the letter of credit No. 2693, U.S. dollars forty-five thousand, issued by the Bank of Banque De L'Indochine Singapore, covering shipment of one Fishing Boat 'M/V Wei Ching No. 6' Gross tonnage 80 tons, Main engine 5 cylinders diesel engine, Horsepower 220, built in wood.

I, Balwant Singh, holding the Malaysian Passport No E. 13276, certify that, the fishing boat had been inspected and built according to the specifications and in the fit and proper conditions to sail.

I , agreed Messrs. Thai Lung Ship Machine Manufactory, No. 51, 3rd Chung Cheng Road, Keelung, Taiwan to Negotiate the Letter of Credit No. 2693 without any objection.

Yours faithfully, I, Balwant Singh, Passport No. E, 13276 Issued at 11th Nov 1964 GIAN SINGH & CO, LIMITED. Sd Balwant Singh

Director."

It is settled law that where a letter of credit calls for the production of specific documents, its requirements in that regard must be exactly and strictly complied with, there being no room for any degree of inexactitude. The negotiating bank in Taiwan must therefore conform strictly to the instructions which it receives.

In the present case, it is necessary in the first place to determine what the condition stipulated in the letter of credit means exactly and having done so to determine whether the certificate produced to the negotiating bank in Taiwan compiled exactly and strictly with the exact meaning of the condition. In my judgment the condition laid down in the letter of credit means exactly that the bank could only allow negotiation of the letter of credit if there is produced to the bank a certificate certifying that the vessel described in the letter of credit has been built according to the specifications and is in fit and proper condition to sail and which certificate is signed by a person whose name is "Balwant Singh" and who holds a Malaysian Passport E.13276.

The certificate that was produced to the bank contained everything that was required by the condition but in addition it was typed on a piece of paper which is a letter paper of the appellant and it had the words "Gian Singh & Co. Ltd." and the word "Director" stamped on it by means for a rubber stamp by reason of the letter-head and the additional stamped words appearing in the certificate, it is contended by the appellant that the certificate was not in strict and exact compliance with the condition stipulated by the appellant in the letter of credit.

It is submitted that the letter-head and the additional words rendered the certificate that was produced to the bank a certificate of Gian Singh & Co. Ltd and not the certificate of Balwant Singh. In my judgment, this argument is fallacious because the requirement is not the production of a certificate of Balwant Singh but the production of "a certificate signed by Balwant Singh" (the underlining is mine). Looking at the certificate that was produced to the bank there can be no doubt at all that to the question "Is this certificate signed