Hong Kong Case Law: Decisions & Judgments | LexChat

Topic

15% provision under section 9(3)

Legal area

Court

29 Mar 1985

RE EDDIE LO MAN PUNG

Citation

RE EDDIE LO MAN PUNG
Court

Court of First Instance
Case number

HCB272/1984

The court held that while the petitioner must establish debt, service and act of bankruptcy under Section 9(2), the burden of proof for the 15% defence under Section 9(3) rests on the debtor and is a heavy one to discharge; because the debtors' affidavits were incomplete and unsatisfactory and the Official Receiver supported adjudication, the court granted receiving orders in both matters.
29 Mar 1985

RE ANTONY LO HONG SUI

Citation

RE ANTONY LO HONG SUI
Court

Court of First Instance
Case number

HCB271/1984

The court holds that the burden of proof under Section 9(3) when the 15% defence is raised rests squarely on the debtor to prove on the balance of probabilities that the assets available after statutory deductions will not be sufficient to pay a 15% dividend; this is a heavy burden and debtor affidavits alone will generally be insufficient.