Read the full judgment text of HCCT 7/2003 on BabelCite. This 高等法院原訟法庭 judgment was delivered on 16 March 2004 before Hon Reyes J.
Procedure – Charging Order – Whether to grant order absolute against shares in insolvent company – Discretion under High Court Ordinance (Cap. 4) s.20 – Balance between creditor's enforcement rights and interests of other parties – Proposed scheme of arrangement for debt restructuring – Whether Charging Order absolute would stifle scheme or arbitrations – Held: Court finds no sufficient reason to refuse order absolute; shares have value as shown by proposed investment; scheme can proceed despite order; liquidation would not necessarily extinguish claims; no credible ulterior motive established. Facts: Cheery City, an insolvent subcontractor, controlled by Ho Siu Po, facing winding-up petition supported by creditor China State Construction Engineering (HK). China State holds judgment and costs claims. Ho appeals making Charging Order absolute. Legal issue decided: Whether to withhold making Charging Order absolute in these circumstances. Holding: Court exercises discretion to make order absolute. Outcome: Appeal dismissed; Charging Order made absolute; costs to be fixed.
Legal issues: Whether to make Charging Order absolute
Outcome: Dismissal of Ho's appeal; Charging Order made absolute
Cited by 1 case · Cites 1 case