Read the full judgment text of HCCT58/2006 on BabelCite. This 高等法院原訟法庭 judgment was delivered on 17 November 2006 before Hon Waung J in Chambers.
Construction and arbitration proceedings — Mareva injunction — Guarantee on loan extended by plaintiff bank to company related to 1st defendant — Sale of shares by 1st defendant majority shareholder — Use of sale proceeds to repay mortgagees — Whether Mareva injunction should be continued pending arbitration — Consideration of low commercial morality, dissipation risk, and financial standing — Court finds no sufficient evidence of dissipation, rejects low morality allegation — Emphasis on caution in granting interim relief in aid of foreign arbitration under Arbitration Ordinance s.2GC(1) — Mareva injunction discharged as to both 1st and 2nd defendants — Separate evidential requirements for injunctive relief against 2nd defendant shareholder/director — Outcome: originating summons and Mareva orders set aside.
Legal issues: Whether to continue Mareva injunction against 1st defendant · Whether Mareva injunction should apply to 2nd defendant · Scope of s.2GC(1) of the Arbitration Ordinance in relation to Mareva injunctions
Outcome: Mareva injunctions against the 1st and 2nd defendants discharged
Cited by 2 cases