Re Tsang Kin Man

Read the full judgment text of HCB 1167/2002 on BabelCite. This HCB judgment was delivered on 3 June 2002.

1. This is a petition for self-bankruptcy made by the debtor, Mr Tsang Kin Man. The petition was filed on 18 January 2002. It is opposed by a creditor, National Resources Capital Limited, a licenced money lender to whom is owed HK$115,131.82.

Case No.HCB 1167/2002
Court
HCB
Date03 Jun 2002
Judge
Case Document
100%Judiciary

HCB001167/2002

HCB 1167/2002

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF FIRST INSTANCE

BANKRUPTCY PROCEEDINGS NO. 1167 OF 2002

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Re: TSANG KIN MAN, a debtor

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Coram: Hon Kwan J in Court

Date of Hearing: 3 June 2002

Date of Judgment: 3 June 2002

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J U D G M E N T

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1.This is a petition for self-bankruptcy made by the debtor, Mr Tsang Kin Man. The petition was filed on 18 January 2002. It is opposed by a creditor, National Resources Capital Limited, a licenced money lender to whom is owed HK$115,131.82.

2.According to the Statement of Affairs filed by the debtor, he has two secured creditors, one being the opposing creditor and the other is Hang Seng Finance Limited to whom is owed HK$518,223.78. The debts of both creditors are secured by a property owned by the debtor in Tuen Mun. The estimated value of that property is HK$850,000.00, whereas the total indebtedness to the secured creditors is HK$618,637.39. The Statement of Affairs has also disclosed a total indebtedness of HK$595,295.90 to twenty-one unsecured creditors, they are various banks, credit card companies and the Inland Revenue Department. The bank balance in the five bank accounts held by the debtor is negligible. He is working as a waiter earning a salary of HK$19,000.00 a month.

3.The opposing creditor has alleged that when the debtor signed a loan application form seeking a loan from the opposing creditor in October 2001, the debtor has not disclosed he has any or any substantial liabilities other than his indebtedness to Hang Seng Finance Limited, which is secured by his property in Tuen Mun. It is alleged by the opposing creditor that the petition was presented shortly after the debtor has obtained a loan from it and that it is not genuine and is unconscionable, and it was presented with the intent to evade liability to his creditors. The suspicion of the opposing creditor is not allayed because of the refusal of the debtor's solicitors to disclose to the opposing creditor the Statement of Affairs filed by the debtor in these proceedings.

4.I am not concerned with the motive or means by which the debtor has obtained a loan from the opposing creditor shortly before he presented this petition for his own bankruptcy. What I need to look at is whether on the available evidence, the debtor is unable to pay his debts. On the basis of the Statement of Affairs filed by the debtor, I am satisfied that his total liabilities greatly exceed his assets, I therefore make a bankruptcy order against him.

(S Kwan)
Judge of the Court of First Instance
High Court

Representation:

Mr C T Chan, of Messrs Chan Chun Tin & Co., for the Debtor

Miss Marina Tsang, of Messrs Leung & Wan, for the Opposing Creditor

Ms Teresa Wong, for the Official Receiver