Asked by her husband to sign some documents that would mortgage their detached house in Katong in order to secure a loan for his business, some seven years ago, a 49-year-old housewife agreed.
But the firm defaulted on the loan, and the bank started bankruptcy proceedings against Madam Lim Lee Lee over an outstanding $16.2 million. It is the remainder of the amount owed after she and her husband sold their Branksome Road house for $10 million in March this year to repay UOB.
Earlier this week, Madam Lim succeeded in staving off bankruptcy after the High Court set aside a statutory demand, a precursor to the bankruptcy application, from UOB.
In setting aside the statutory demand, Assistant Registrar James Lee said certain issues …