The recent decision in Re The Liquidator of Shenzhen Everich Supply Chain Co, Ltd (in liquidation in the People’s Republic of China) [2020] HKCFI 965 reaffirms the willingness of the Hong Kong Companies Court (the “Companies Court”) to recognise the winding-up of a company in Mainland China and thereby grant recognition and assistance to liquidators … Read more
In The Joint and Several Provisional Liquidators of China Oil Gangran Energy Group Holdings Limited [2020] HKCFI 825, the Hong Kong Court continued a trend of recognising foreign soft-touch provisional liquidators. In this case, the Joint and Several Provisional Liquidators (the “JPLs”) were appointed over China Oil Gangran Energy Group Holdings Limited (“China Oil”), (a … Read more
In Re China Solar Energy Holding Limited (HCCW 108/2015, 2 April 2020), the Hong Kong Court of First Instance (“CFI”) adjourned a winding-up petition which appeared to have been pursued by the petitioning creditor “in a fit of spite” and which did not appear to be in the creditors’ interests as a whole. The adjournment … Read more
In Champ Prestige International Limited v China City Construction (International) Co, Limited and Dingway Investment Limited, the Hong Kong Court of First Instance reaffirmed the court’s discretion to order the winding-up of a foreign-incorporated company on just and equitable grounds, but refused to stay the winding-up petition in favour of arbitration. Read more
In Joint Provisional Liquidators of Moody Technology Holdings Ltd [2020] HKCFI 416, the Hong Kong Court of First Instance (the “Hong Kong Court”) granted a recognition order to foreign provisional liquidators who were appointed on a soft-touch basis, to explore and facilitate the restructuring of a company. The order was made despite soft-touch provisional liquidation … Read more
The principle in ex parte James, under which the Court will not permit its officers (such as a liquidator) to act in a way which, although lawful, does not accord with the standards of right-thinking people, has recently been clarified by the English Court of Appeal in Lehman Brothers Australia Limited (in liquidation) v Edward … Read more
In a long-awaited development of cross-border insolvency cooperation between Hong Kong and Mainland China, the Hong Kong Court has granted recognition and assistance to Mainland liquidators for the first time in Joint and Several Liquidators of CEFC Shanghai International Group Ltd [2020] HKCFI 167. Background CEFC Shanghai International Group Ltd (“CEFC“), a company incorporated in … Read more
The Court of First Instance has recently helpfully summarised the legal position on schemes of arrangement under both Hong Kong law and English law. Notably, it has called for further development in cross-border coordination in order to avoid the trouble of parallel insolvency proceedings and it has raised a red flag in relation to detailed … Read more
In Yeung Lui Ming v Tang Mo Lin Irene [2019] HKCFI 1848, the Hong Kong Court of First Instance set aside a sale of cemetery sites and a transfer of shares by a bankrupt individual on the basis that they constituted transactions at an undervalue and/or disposals with intent to defraud the creditors. In arriving … Read more
