THE OFFICIAL RECEIVER v. PHILIP LEIGH TOSE AND OTHERS

THE OFFICIAL RECEIVER v. PHILIP LEIGH TOSE AND OTHERS

All specific allegations of serious and systemic failures in risk control, credit monitoring, valuation and implementation of audit recommendations were established on the unchallenged Official Receiver and inspector reports; cumulatively these failures fall below acceptable standards of competence and probity for a director and satisfy s168H making the 3rd respondent unfit; a five-year disqualification is appropriate because he did not cooperate with proceedings.

Citation
THE OFFICIAL RECEIVER v. PHILIP LEIGH TOSE AND OTHERS
Parties
Applicant: Official Receiver; 1st Respondent: Philip Leigh Tose; 2nd Respondent: Wong Wing Cheong Peter; 3rd Respondent: John Eng Lee; 4th Respondent: Andre Sukjin Lee
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
20 October 2005
Case Number
HCMP112/2002
Procedural Posture
Section 168 H Companies Ordinance Disqualification Proceedings (originating Summons) / Judgment (final)
Outcome
Disqualification order made against the 3rd respondent (John Eng Lee) for five years; costs awarded to the Official Receiver.
Legal Topics
Director Disqualification, Corporate Governance, Duty of Care and Skill, Risk Management, Directors' Fitness to Manage
Source Language
EN
Company Law Insolvency Law Regulatory Enforcement Director Disqualification Corporate Governance Duty of Care and Skill Risk Management Directors' Fitness to Manage

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Parties

Official Receiver

Applicant

Philip Leigh Tose

1st Respondent

Wong Wing Cheong Peter

2nd Respondent

John Eng Lee

3rd Respondent

Andre Sukjin Lee

4th Respondent

Procedural Posture

Section 168 H Companies Ordinance Disqualification Proceedings (originating Summons) / Judgment (final)

Legal Issues

  1. 1 Whether the conduct of the 3rd respondent makes him unfit under s168H of the Companies Ordinance
  2. 2 Admissibility and weight of the Official Receiver's and inspector's reports as evidence
  3. 3 Appropriate length and commencement of a disqualification order

Ratio Decidendi

All specific allegations of serious and systemic failures in risk control, credit monitoring, valuation and implementation of audit recommendations were established on the unchallenged Official Receiver and inspector reports; cumulatively these failures fall below acceptable standards of competence and probity for a director and satisfy s168H making the 3rd respondent unfit; a five-year disqualification is appropriate because he did not cooperate with proceedings.

Court Disposition

Disqualification order made against the 3rd respondent (John Eng Lee) for five years; costs awarded to the Official Receiver.

Orders

  • Disqualification order against John Eng Lee for 5 years.
  • Disqualification to take effect from the beginning of the 21st day after the day on which the order is made; the 5 year term to begin on the date of the order.