IN RE TANG MAN SIT

IN RE TANG MAN SIT

Section 98(1) of the Bankruptcy Ordinance gives the court jurisdiction to rescind an administration order made under section 112, and on the facts — all known debts paid and agreement reached with trustees on fees — the court should exercise that discretion to rescind the administration order rather than attempting to annul a non-bankruptcy order.

Citation
IN RE TANG MAN SIT
Parties
Applicant / Executrix of the Estate: Madam Chan Chi; Deceased / Subject of Administration: Tang Man Sit (deceased); Creditor Petitioner: Capacious Investments Limited; Respondent / Office of Official Receiver: Official Receiver; Trustee (appointed): Desmond Chung Seng Chiong; Trustee (appointed) / Appeared: John Robert Lees
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
22 July 1998
Case Number
HCB720/1993
Procedural Posture
Application to Rescind Administration Order Under Section 112 of the Bankruptcy Ordinance (cap.6) / Post Administration Application for Rescission Following Appointment of Trustees and Payment of Known Debts; Hearing and Judgment Delivered
Outcome
Administration order made on 31 January 1996 under section 112 rescinded pursuant to section 98(1) of the Bankruptcy Ordinance.
Legal Topics
Administration Order Under Section 112, Rescission Under Section 98(1), Annulment Vs Rescission, Court Jurisdiction, Trustees' Appointment and Fees, Estate Administration
Source Language
EN
Bankruptcy Insolvency Civil Procedure Equity Administration Order Under Section 112 Rescission Under Section 98(1) Annulment Vs Rescission Court Jurisdiction +2 more

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Parties

Madam Chan Chi

Applicant / Executrix of the Estate

Tang Man Sit (deceased)

Deceased / Subject of Administration

Capacious Investments Limited

Creditor Petitioner

Official Receiver

Respondent / Office of Official Receiver

Desmond Chung Seng Chiong

Trustee (appointed)

John Robert Lees

Trustee (appointed) / Appeared

Procedural Posture

Application to Rescind Administration Order Under Section 112 of the Bankruptcy Ordinance (cap.6) / Post Administration Application for Rescission Following Appointment of Trustees and Payment of Known Debts; Hearing and Judgment Delivered

Legal Issues

  1. 1 Whether an administration order made under section 112 can be annulled or rescinded
  2. 2 Whether section 98(1) of the Bankruptcy Ordinance empowers the court to rescind a section 112 administration order
  3. 3 Whether the court should exercise its discretion to rescind given that known debts have been paid and trustees' fees agreed

Ratio Decidendi

Section 98(1) of the Bankruptcy Ordinance gives the court jurisdiction to rescind an administration order made under section 112, and on the facts — all known debts paid and agreement reached with trustees on fees — the court should exercise that discretion to rescind the administration order rather than attempting to annul a non-bankruptcy order.

Court Disposition

Administration order made on 31 January 1996 under section 112 rescinded pursuant to section 98(1) of the Bankruptcy Ordinance.

Orders

  • The administration order of 31 January 1996 under section 112 is rescinded under section 98(1) of Cap.6.
  • A draft minute of order to give effect to the rescission should be lodged for approval.