CHAU HUNG KAU v. TEXGAR LTD. AND OTHERS

CHAU HUNG KAU v. TEXGAR LTD. AND OTHERS

The court found beyond reasonable doubt that Tsui King Yeung, both personally and as director, wilfully failed to pay the full sum ordered into court and wilfully failed to comply with the disclosure orders; absence of full and frank evidence of inability and selective/late disclosures established contempt, warranting committal to 21 days imprisonment and an indemnity costs order against the company.

Citation
CHAU HUNG KAU v. TEXGAR LTD. AND OTHERS
Parties
Petitioner: Chau Hung Kau; 1st Respondent: Texgar Limited; 2nd Respondent: Tsui King Yeung; 3rd Respondent: Texgar (Holdings) Ltd; 4th Respondent: Guangzhou Texgar Electronics Co. Ltd
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
2 April 2001
Case Number
HCMP1372/2000
Procedural Posture
Companies Ordinance S.168 a Petition (minority Shareholder Relief) / Committal Motion for Contempt (post Injunction Enforcement and Sentencing)
Outcome
Tsui King Yeung committed to imprisonment for 21 days for contempt; Texgar (1st/2nd Condemnor) ordered to pay applicant's committal costs on indemnity basis
Legal Topics
Disclosure Orders, Committal for Contempt, Payment Into Court, Minority Shareholder Petition, Compliance With Court Orders
Source Language
EN
Company Law Civil Contempt Injunctions Receivership Disclosure Orders Committal for Contempt Payment Into Court Minority Shareholder Petition +1 more

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Parties

Chau Hung Kau

Petitioner

Texgar Limited

1st Respondent

Tsui King Yeung

2nd Respondent

Texgar (Holdings) Ltd

3rd Respondent

Guangzhou Texgar Electronics Co. Ltd

4th Respondent

Procedural Posture

Companies Ordinance S.168 a Petition (minority Shareholder Relief) / Committal Motion for Contempt (post Injunction Enforcement and Sentencing)

Legal Issues

  1. 1 Whether Tsui King Yeung was in contempt for failing to pay the court-ordered sum into court
  2. 2 Whether Tsui King Yeung failed to comply with disclosure orders and thereby was in contempt
  3. 3 Proper sentence for civil contempt in these circumstances

Ratio Decidendi

The court found beyond reasonable doubt that Tsui King Yeung, both personally and as director, wilfully failed to pay the full sum ordered into court and wilfully failed to comply with the disclosure orders; absence of full and frank evidence of inability and selective/late disclosures established contempt, warranting committal to 21 days imprisonment and an indemnity costs order against the company.

Court Disposition

Tsui King Yeung committed to imprisonment for 21 days for contempt; Texgar (1st/2nd Condemnor) ordered to pay applicant's committal costs on indemnity basis

Orders

  • Tsui King Yeung is committed to imprisonment for 21 days for contempt both in his personal capacity and as director of the company
  • The 2nd Condemnor (company) shall pay the applicant the costs of these committal proceedings on an indemnity basis, to be taxed if not agreed and paid forthwith