Read the full judgment text of FCMC 13721/2018 on BabelCite. This Family Court judgment was delivered on 31 August 2021 before His Honour Judge G. Own.
Matrimonial proceedings – ancillary relief – beneficial ownership – add back of assets – non-disclosure – indemnity costs – equal division – District Court – CWGH v CTTC – Parties married November 2011, divorced October 2020 after 8 years – Dispute over FMH valued at HK$9,505,000, 2 carparks valued at HK$2,310,000 each, and DBS joint bank accounts – H withdrew approximately HK$1.10 million from joint accounts between December 2018 and June 2019 – Court found joint beneficial ownership of properties and accounts despite H’s claim of ring-fencing – HK$488,600 added back to matrimonial pot after deducting reasonable expenses and gifts – H failed to disclose UK companies X10 and Axxx Property Limited and tampered with evidence regarding cessation of directorship – Adverse inference drawn against H for lack of full and frank disclosure – Costs awarded on indemnity basis against H due to litigation conduct – Assets divided 50/50 under sharing principle – H to pay W HK$1,386,500 for equalisation of adjudged pot of HK$11,227,000 – Order for sale of properties unless buyout within 30 days – W’s claim for lump sum support during unemployment dismissed. Legal principles applied include Stack v Dowden [2007] 2 AC 432 regarding beneficial ownership presumption and LKW v DD FACV No. 16 of 2008 regarding section 7 factors. Court held equity follows law for joint legal owners. H’s spending of GBP20,000 to father and GBP15,000 to sister scrutinized. GBP20,000 added back as unjustified. GBP10,000 of wedding gift added back as extravagant. H’s tax payment claim in Form E rejected. W’s loan from parents partially accepted as liability. Total liabilities HK$3,664,000. Net assets HK$11,227,000. Equal division applied. No departure from equality.
Legal issues: Beneficial ownership of properties and accounts · Purpose of bank transfers · Add back of withdrawn funds · Material non-disclosure
Outcome: Ancillary reliefs granted; assets divided equally; H to pay W HK$1,386,500; costs indemnity basis against H
Cites 1 case