RE Z-OBEE HOLDINGS LTD

RE Z-OBEE HOLDINGS LTD

The court found the companies were deemed insolvent for non-compliance with statutory demands, Z-Obee had sufficient connection with Hong Kong under s327, and there was a real risk to assets and mismanagement; accordingly it was just and convenient to appoint provisional liquidators to preserve assets and pursue recovery for creditors, so the draft order (as amended) was made.

Citation
RE Z-OBEE HOLDINGS LTD
Parties
Petitioning Creditor: Australia and New Zealand Banking Group Limited; Supporting Creditor: The Hongkong and Shanghai Banking Corporation Limited; Respondent (debtor/borrower): Max Sunny Ltd; Respondent (guarantor/holding Company): Z-Obee Holdings Limited; Official Receiver/intervener: Official Receiver
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
27 June 2014
Case Number
HCCW85/2014
Procedural Posture
Companies (winding Up) No 85 of 2014 / Application for Appointment of Provisional Liquidators; Resumed Hearing; Decision 27 June 2014
Outcome
Provisional liquidators appointed to preserve the assets of Max Sunny Ltd and Z-Obee Holdings Limited; order made in terms of the draft order as amended.
Legal Topics
Provisional Liquidators, Winding Up, Statutory Demand, Jurisdiction Over Foreign Company, Balance of Convenience, Asset Preservation
Source Language
EN
Company Law Insolvency Civil Procedure Provisional Liquidators Winding Up Statutory Demand Jurisdiction Over Foreign Company Balance of Convenience +1 more

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Parties

Australia and New Zealand Banking Group Limited

Petitioning Creditor

The Hongkong and Shanghai Banking Corporation Limited

Supporting Creditor

Max Sunny Ltd

Respondent (debtor/borrower)

Z-Obee Holdings Limited

Respondent (guarantor/holding Company)

Official Receiver

Official Receiver/intervener

Procedural Posture

Companies (winding Up) No 85 of 2014 / Application for Appointment of Provisional Liquidators; Resumed Hearing; Decision 27 June 2014

Legal Issues

  1. 1 Whether there is a good prima facie case for winding up the companies
  2. 2 Whether it is just and convenient to appoint provisional liquidators (balance of convenience)
  3. 3 Whether the court has jurisdiction to wind up a foreign company under section 327

Ratio Decidendi

The court found the companies were deemed insolvent for non-compliance with statutory demands, Z-Obee had sufficient connection with Hong Kong under s327, and there was a real risk to assets and mismanagement; accordingly it was just and convenient to appoint provisional liquidators to preserve assets and pursue recovery for creditors, so the draft order (as amended) was made.

Court Disposition

Provisional liquidators appointed to preserve the assets of Max Sunny Ltd and Z-Obee Holdings Limited; order made in terms of the draft order as amended.

Orders

  • Order appointing provisional liquidators to Max Sunny Ltd and Z-Obee Holdings Limited in terms of the draft order as further amended this morning