CHAN CHUNG WA t/a WAH SING INDUSTRIAL CO. v. NG SIU KAM AND OTHERS t/a KA SHING PCB CO.
The court granted the Prohibition Order under section 21B because there was an existing judgment for a specified sum and the defendants incurred the liabilities while in Hong Kong and travel frequently; the Mareva injunction was refused (adjourned sine die) because there was no evidence of identifiable assets within the jurisdiction to be frozen and a Mareva cannot be used merely as a tool to discover assets.
- Citation
- CHAN CHUNG WA t/a WAH SING INDUSTRIAL CO. v. NG SIU KAM AND OTHERS t/a KA SHING PCB CO.
- Parties
- Plaintiff (judgment Creditor): CHAN CHUNG WA trading as WAH SING INDUSTRIAL CO.; Defendant (judgment Debtor): NG SIU KAM trading as KA SHING PCB CO.; Defendant (judgment Debtor): NG NGAN KWAN trading as KA SHING PCB CO.; Defendant (judgment Debtor): CHUANG HUNG WET trading as KA SHING PCB CO.
- Court
- Court of First Instance
- Jurisdiction
- Hong Kong
- Judgment Date
- 18 August 2000
- Case Number
- HCA11184/1996
- Procedural Posture
- Civil Enforcement Application for Mareva Injunction and Prohibition Order / Hearing in Chambers and Ruling on Application; Prohibition Order Granted; Mareva Application Adjourned Sine Die With Liberty to Restore
- Outcome
- Prohibition Order granted; Mareva injunction adjourned sine die with liberty to restore.
- Legal Topics
- Mareva Injunction, Prohibition Order (s21 B High Court Ordinance), Asset Preservation, Jurisdictional Assets
- Source Language
- EN
Case Brief
Summary, issues, holding and outcome
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Parties
CHAN CHUNG WA trading as WAH SING INDUSTRIAL CO.
Plaintiff (judgment Creditor)
NG SIU KAM trading as KA SHING PCB CO.
Defendant (judgment Debtor)
NG NGAN KWAN trading as KA SHING PCB CO.
Defendant (judgment Debtor)
CHUANG HUNG WET trading as KA SHING PCB CO.
Defendant (judgment Debtor)
Procedural Posture
Civil Enforcement Application for Mareva Injunction and Prohibition Order / Hearing in Chambers and Ruling on Application; Prohibition Order Granted; Mareva Application Adjourned Sine Die With Liberty to Restore
Legal Issues
- 1 Whether a Mareva injunction can be granted absent identifiable assets in the jurisdiction
- 2 Whether a Mareva injunction may be used as a means to discover or 'flush out' assets by serving banks
- 3 Whether a Prohibition Order under section 21B of the High Court Ordinance is appropriate to prevent defendants leaving Hong Kong to frustrate enforcement
Ratio Decidendi
The court granted the Prohibition Order under section 21B because there was an existing judgment for a specified sum and the defendants incurred the liabilities while in Hong Kong and travel frequently; the Mareva injunction was refused (adjourned sine die) because there was no evidence of identifiable assets within the jurisdiction to be frozen and a Mareva cannot be used merely as a tool to discover assets.
Court Disposition
Prohibition Order granted; Mareva injunction adjourned sine die with liberty to restore.
Orders
- Prohibition Order under section 21B of the High Court Ordinance granted to prevent the named defendants from leaving Hong Kong to facilitate enforcement of the judgment.
- Application for Mareva (freezing) injunction adjourned sine die with liberty to restore.
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