Re Kakon Investment Co Ltd

Case No.HCMP 36/2011

Court

High Court CFI

Date25 Jan 2011

Judge—

Case Document

100%

HCMP36/2011

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF FIRST INSTANCE

MISCELLANEOUS PROCEEDINGS NO. 36 OF 2011

____________________

IN THE MATTER of Kakon Investment

	Company Limited (頤瑩置業有限公司) (In Members’ Voluntary Winding-up)
	and
	IN THE MATTER of an application pursuant to section 209 and section 255 of the Companies Ordinance, Chapter 32

____________________

Before: Hon Fok J in Chambers (Open to the public)

Date of Hearing: 25 January 2011

Date of Ruling: 25 January 2011

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R U L I N G

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1.This is an application by the Liquidator for a stay of the voluntary winding-up of the company. The power of the court to grant such an order is contained in section 209(1) of the Companies Ordinance which applies to a company in voluntary winding-up by section 255(1).

2.I have borne in mind the factors relied upon by the applicant in support of this application. Those are set out at paragraph 20, sub‑paragraphs (c) to (i) in the applicant’s skeleton argument and they are these:

(c) The company is an asset-holding and investment company which is not doing business with other third parties.

(d) There are no creditors save for the two directors who are family members and the assets of the company are more than sufficient to pay off its debts.

(e) There are sufficient assets to pay for the expenses of the liquidation and the unpaid remuneration of the liquidator has been provided for.

(f) There are no remaining liabilities of the company once the stay is granted.

(g) All the shareholders have agreed to the stay.

(h)The liquidator and all the directors have agreed to the stay.

(i) The Official Receiver has no objection to the stay.

3.I also bear in mind that the reasons for the stay relate to the fact that there was a family dispute between the shareholders and some of the directors of the company, which seems to have resolved itself upon the passing away of one of the founders of the company and the mother of the shareholders, and the present shareholders seek to retain the company in order to commemorate the deceased founder.

4.For all these reasons, I am satisfied that this is a proper case to stay the winding-up and to make an order in terms of the draft order.

5.Finally, I accede to Mr Lo's request to order that the costs of the Liquidators of this application be paid out of the assets of the company.

(Joseph Fok)
Judge of the Court of First Instance
of the High Court

Mr Lo Chun-chiu Adrian, instructed by Messrs Joseph C T Lee & Co., for the Applicant