ONC Corporate Disputes and Insolvency Quarterly – March 2022
Business Law News
ONC Lawyers
Hong Kong
| ONC Corporate Disputes and Insolvency Quarterly | |||||||||||||||||||||||||||||||||||
| Dear Clients and Friends,
This special newsletter aims to regularly update practitioners on important and noteworthy cases in the areas of corporate disputes and insolvency in Hong Kong, the UK and other common law jurisdictions. In this issue, we have highlighted: |
|||||||||||||||||||||||||||||||||||
| · 9 Corporate Insolvency Cases
· 2 Cross-border Insolvency Cases
|
· 1 Corporate Disputes Case | ||||||||||||||||||||||||||||||||||
| Our selection of cases and our analysis of them may not be exhaustive. Your comments and suggestions are always most welcome. Please feel free to contact me at ludwig.ng@onc.hk
Best regards, Ludwig Ng Partner, Solicitor Advocate ONC Lawyers
|
|||||||||||||||||||||||||||||||||||
| HEADLINES OF THIS ISSUE | |||||||||||||||||||||||||||||||||||
| • | Corporate Insolvency Cases | ||||||||||||||||||||||||||||||||||
| 1. Winding Up order made against a foreign incorporated listed company despites its restructuring attempts | |||||||||||||||||||||||||||||||||||
| Re GTI Holdings Ltd [2021] HKCFI 3647 | |||||||||||||||||||||||||||||||||||
| 2. What is a creditor’s entitlement to vote at a creditors’ meeting where the company has a cross-claim against the creditor? | |||||||||||||||||||||||||||||||||||
| Re Hsin Chong Construction Co Ltd (No 4) [2021] 5 HKLRD 489, [2021] HKCFI 3451 | |||||||||||||||||||||||||||||||||||
| 3. Court of Appeal provided guidelines on liquidators’ application for direction under s.200(3) of Cap 32 | |||||||||||||||||||||||||||||||||||
| Re Hsin Chong Construction Co Ltd (Provisional Liquidators: Application for Directions) [2021] 5 HKLRD 212, [2021] HKCA 1581 | |||||||||||||||||||||||||||||||||||
| 4. Hsin Chong Saga continued to the CFA: in applying Section 182, it is important to identify the property being disposed of | |||||||||||||||||||||||||||||||||||
| Re Hsin Chong Construction Co., Ltd. [2021] HKCFA 14 | |||||||||||||||||||||||||||||||||||
| 5. Seeking an injunction to restrain the winding-up of a foreign company in Hong Kong? The burden is high | |||||||||||||||||||||||||||||||||||
| Silver Starlight Limited v China CITIC Bank Corporation Limited, Tianjin Branch & Others [2021] HKCA 1248 | |||||||||||||||||||||||||||||||||||
| 6. The Scope of a bank’s Quincecare duty to protect an insolvent customer from its own fraudulent controller: Does it extend to protect the customer’s creditors? | |||||||||||||||||||||||||||||||||||
| Stanford International Bank Ltd (in liquidation) v HSBC Bank PLC [2021] EWCA Civ 535 | |||||||||||||||||||||||||||||||||||
| 7. The mere assertion that something may be revealed by the liquidator’s investigation; and the pressure and leverage of the prospect of winding up are not sufficient to satisfy the 2nd core requirement | |||||||||||||||||||||||||||||||||||
| Excellent Asia (BVI) Ltd v Mas Media Group Ltd [2021] HKCFI 3605 | |||||||||||||||||||||||||||||||||||
| 8. The English Court considered whether litigation stay on proceedings applies to regulatory action taken against a company in liquidation | |||||||||||||||||||||||||||||||||||
| The Financial Conduct Authority v Carillion Plc [2021] EWHC 2871 (Ch) | |||||||||||||||||||||||||||||||||||
| 9. Singaporean Court of Appeal affirms that members’ consent is required to put a company into voluntary liquidation | |||||||||||||||||||||||||||||||||||
| Superpark Oy v Superpark Asia Group Pte Ltd and others [2021] SGCA 8 | |||||||||||||||||||||||||||||||||||
| • | Cross-border Insolvency Cases | ||||||||||||||||||||||||||||||||||
| 10. Hong Kong Court refused to stay proceedings commenced by creditors in Hong Kong despite recognition of Mainland insolvency proceedings | |||||||||||||||||||||||||||||||||||
| Nuoxi Capital Ltd (In Liquidation in the British Virgin Islands) v Peking University Founder Group Co Ltd [2021] HKCFI 3817 | |||||||||||||||||||||||||||||||||||
| 11. The Shenzhen Intermediate People’s Court granted recognition and assistance to the liquidators in Samson Paper | |||||||||||||||||||||||||||||||||||
| 有關森信洋紙有限公司 (2021) 粵 03 認港破 1 號 | |||||||||||||||||||||||||||||||||||
| • | Restructuring Cases | ||||||||||||||||||||||||||||||||||
| 12. Amendment to a scheme by the company on behalf of all scheme creditors allowed as the revised arrangement does not prejudice scheme creditors | |||||||||||||||||||||||||||||||||||
| Re Samson Paper Holdings Ltd [2021] 5 HKLRD 286 | |||||||||||||||||||||||||||||||||||
| • | Corporate Disputes Cases | ||||||||||||||||||||||||||||||||||
| 13. Parting of way between shareholders - Is fighting an unfair prejudice petition to the end the only option? | |||||||||||||||||||||||||||||||||||
| Chan Seung Bun v Wong King Fai Joe and Another [2021] HKCFI 3572 | |||||||||||||||||||||||||||||||||||
| • | Bankruptcy Cases | ||||||||||||||||||||||||||||||||||
| 14. Bankruptcy Order annulled for the Petitioner’s failure to satisfy the “business gateway” requirement | |||||||||||||||||||||||||||||||||||
| Re Wang Huimin [2021] HKCFI 3472 | |||||||||||||||||||||||||||||||||||
| 15. Application by persons who had been made the subject of an order for private examination dismissed for lack of legitimate interest in the trustee’s removal | |||||||||||||||||||||||||||||||||||
|
|
Lee Siu Fung Siegfried [2021] 5 HKLRD 627 | ||||||||||||||||||||||||||||||||||
| 16. Court of Appeal: the court, assisted by the OR, exercises supervisory jurisdiction over the entire bankruptcy process, including refusing to approve an appointment of trustee | |||||||||||||||||||||||||||||||||||
| Re Chan John Loong Fai [2021] HKCA 1834 | |||||||||||||||||||||||||||||||||||
| 17. In setting aside a number of money transfers as transaction at an undervalue, the Court draws adverse inferences against the Defendants from their failure to call the Bankrupt as a witness | |||||||||||||||||||||||||||||||||||
| Ho Man Kit And Another v Lo Siu Chu Judy And Another [2022] HKCFI 133 | |||||||||||||||||||||||||||||||||||
| 18. Trustees held to have no right to compel the Bankrupt to pay any part of his/her income earned during the bankruptcy to the estate absent an income payments order | |||||||||||||||||||||||||||||||||||
| Re Ho Suet Hung [2021] HKCFI 3836 | |||||||||||||||||||||||||||||||||||
| 19. The new judicial approach when dealing with self-petitions in the future – To prevent abuse of process | |||||||||||||||||||||||||||||||||||
| Re So Tsz Man [2021] HKCFI 3732 | |||||||||||||||||||||||||||||||||||