RE TOWN\'S INDUSTRIAL LTD
- Citation
- RE TOWN\'S INDUSTRIAL LTD
- Status
- Judgment
- Jurisdiction
- Hong Kong
- Court
- Court of First Instance
- Decision
- 24 September 2007
- Posture
- Winding Up Petition / Judgment (winding Up Order Made)
- Case number
- HCCW328/2007
- Language
- English
More details
- Court
- Court of First Instance
- Decision
- 24 September 2007
- Posture
- Winding Up Petition / Judgment (winding Up Order Made)
- Case number
- HCCW328/2007
- Language
- English
On this page
Professional case brief
Research organized from the available case record
01
Holding and result
The statutory demand based on the Labour Tribunal award was properly served and not complied with, the debt was established and unopposed, and the Company failed to file evidence or obtain leave for representation; accordingly the court made a winding-up order and directed that the petitioner's costs be paid out of the Company's assets.
Court disposition
Winding-up order made against the Company.
Orders
- The Company is to be wound up.
- The petitioner\'s costs of these proceedings, including the costs reserved by the Master on 19 September 2007, are to be paid out of the Company\'s assets.
02
Material facts
Parties
So Kong Yiu
Petitioner Counsel: Ms Clara Tam, Legal Aid DepartmentTown S Industrial Limited
Company (respondent)Official Receiver
Official Receiver Counsel: Miss Vivian YeungAmounts and remedies
- Petitioning Debt (labour Tribunal Award): HKD 61,200
- Other Employee Debts (aggregate): HKD 43,126
03
Procedural history
Posture
Winding Up Petition / Judgment (winding Up Order Made)
04
Questions and positions
Legal issues
- 01
Whether the company should be wound up for inability to pay its debts evidenced by a Labour Tribunal award
- 02
Whether a demand was properly served and non-compliance justifies a winding-up order
- 03
Whether the company should be permitted to be represented by a director without leave
Party arguments
- Applicant
- Petitioner relied on a Labour Tribunal award of $61,200 with interest, served a demand on 10 May 2007 which was not complied with, and therefore sought a winding-up order.
- Respondent
- The Company did not file any evidence or obtain leave for a director to represent it; no opposition was presented and no substantive argument was advanced on behalf of the Company.
05
Court’s reasoning
Legal principles
- 01
Companies Ordinance, Chapter 32
A company may be wound up if it is unable to pay its debts.
- 02
Companies Ordinance and established insolvency practice
Failure to comply with a statutory demand is evidence of inability to pay and grounds for a winding-up petition.
- 03
Court practice and procedural rules
A director must obtain leave of the court to represent a company in proceedings.
06
Ratio, limits and disposition
Ratio decidendi
The statutory demand based on the Labour Tribunal award was properly served and not complied with, the debt was established and unopposed, and the Company failed to file evidence or obtain leave for representation; accordingly the court made a winding-up order and directed that the petitioner's costs be paid out of the Company's assets.
Obiter and limits
- The director was reminded of the need to seek leave to represent the Company.
- Costs reserved by the Master on 19 September 2007 are included in the costs to be paid from the Company's assets.
Court disposition
Winding-up order made against the Company.
- The Company is to be wound up.
- The petitioner\'s costs of these proceedings, including the costs reserved by the Master on 19 September 2007, are to be paid out of the Company\'s assets.
Source and reliance status
Court of First Instance · 24 September 2007
This page organises the available record for research. Confirm quotations, current status, and subsequent treatment against the official source before relying on the case.
Judgment reading view
Judgment text
The complete available source text.
Court of First Instance
Judgment· 24 September 2007
bjbj HCCW 328/2007
IN THE HIGH COURT OF THE
HONG KONG SPECIAL ADMINISTRATIVE REGION
COURT OF FIRST INSTANCE COMPANIES (WINDING-UP) NO. 328 OF 2007 ____ IN THE MATTER of TOWN
S INDUSTRIAL LIMITED and IN THE MATTER of the Companies Ordinance, Chapter 32 of the Laws of Hong Kong ____ Before: Hon Kwan J in Court Date of Hearing: 24 September 2007 Date of Judgment: 24 September 2007 ______
J U D G M E N T ______ This petition was presented by So Kong Yiu, seeking a winding-up order against Town s Industrial Limited ( the Company ), on the basis of an award of $61,200.00 with interest obtained by the petitioner against the Company in the Labour Tribunal on 15 December 2006. The Company is indebted to two other employees in the aggregate of $43,126.00 with interest on the same award in the Labour Tribunal. A demand for the petitioning debt was served on the Company on 10 May 2007. As the demand was not complied with, the petition was presented on 18 July 2007. The Company appeared by a director Chan Kwok Hang before the Master on 19 September 2007. He was reminded of the need to seek leave for a director to represent the Company in these proceedings. No leave has been obtained and the Company has not appeared today. No evidence has been filed by the Company to oppose the petition. I make an order to wind up the Company. The petitioner s costs of these proceedings, including the costs reserved by the Master on 19 September 2007, are to be paid out of the Company s assets. (S Kwan) Judge of the Court of First Instance High Court Ms Clara Tam of Legal Aid Department, for the Petitioner The Company, absent Miss Vivian Yeung, for the Official Receiver
PAGE -
A
B
C
D
E
F
G
H
I
J
K
L
M
N
O
P
Q
R
S
T
U
V
A
B
C
D
E
F
G
H
I
J
K
L
M
N
O
P
Q
R
S
T U V 1udk 1udk i$&` r*pa 5<>| w[{t0 w[{t HCCW.dot setup Microsoft Word 9.0 Judiciary Hong Kong Title Microsoft Word Document MSWordDoc Word.Document.8
Case-aware research
Ask AI about this case
The judgment and available research above are public. New questions open in a separate private conversation grounded in this case.