Re Ho Chi Kit

Case No.HCB 1084/2013
Court
HCB
Date02 Dec 2014
Judge
Case Document
100%

HCB 1084/2013

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF FIRST INSTANCE

BANKRUPTCY PROCEEDINGS NO 1084 OF 2013

____________

Re:   HO CHI KIT (何子傑)
Ex Parte:   HO CHI KIT (何子傑) (“a Debtor”)

____________

Before: Hon G Lam J in Chambers
Date of Hearing: 2 December 2014
Date of Decision: 2 December 2014

_____________

D E C I S I O N

_____________

1.Now, in this case I have an application by the bankrupt to adjust the amount allowed by the Trustee in Bankruptcy for the living expenses of the bankrupt and his family.

2.The bankrupt is working as a fireman earning at present an average monthly income of $24,800.  A pay rise has been proposed of between 4 and 5 per cent, but this is subject to approval by the Legislative Council.  If and when it is approved, the rise will be backdated to 1 April 2014.

3.I have seen the tables setting out the living expenses claimed by the bankrupt and the figures approved by the trustee, helpfully prepared by the trustee.  $20,000 had been allowed as the bankrupt’s living expenses from March 2013 onwards to August 2013.  Since August 2013, the amount allowed has been $21,500.

4.I, of course, respect the experience of the trustees and am in no way critical of their professional skill and judgment. However, I think there is room for an adjustment here, taking into account, particularly, the effect of inflation and, most importantly, the birth of a daughter to the bankrupt in September 2013.

5.At the moment, there is no income payment order applied for or obtained under section 43E of the Bankruptcy Ordinance because the bankrupt has been cooperative so far and a compulsory order has not been necessary.  I should, I think, nevertheless, have regard to the same principles, namely, with reference to what is necessary for meeting the reasonable domestic needs of the bankrupt and his family.

6.I also take into account the fact that bankrupt’s wife has a job and a salary.  And one must not lose sight of the fact that the bankrupt has not fully repaid his creditors.  He has to accept that his quality of life will, to a significant extent, be affected by his bankruptcy.

7.On the other hand, bankruptcy is not meant to make life excessively difficult for the bankrupt and especially for his family members.

8.In all the circumstances, taking into account what I have outlined, I consider that the allowance for living expenses should be increased by $1,600 per month.  There will therefore be an order to that effect.

(Godfrey Lam)
Judge of the Court of First Instance
High Court

The Bankrupt appeared in person

The Joint and Several Trustees of the property of the Bankrupt, Mr Wong Ka Lam, King and Wong Ka Sek, appeared in person by Mr Wong Ka Lam King

Official Receiver, absent