Hong Kong Case Law: Decisions & Judgments | LexChat

Hong Kong Case Law

Companies ordinance ss.58-60

  • 18 Feb 2004

    RE TARGET SONIC LTD

    Citation
    RE TARGET SONIC LTD
    Court
    Court of First Instance
    Case number
    HCMP5572/2003

    All statutory requirements were met: the articles authorised the reduction, a unanimous special resolution was passed, shareholders were properly informed, audited and management accounts showed permanent losses exceeding the reduction so creditors would not be prejudiced, and the reduction served a recognised purpose under s.58(1)(b); accordingly the court confirmed the capital reduction subject to a minor amendment to the minutes.

  • 14 Dec 2001

    RE EAST SUN BUTTON INTERNATIONAL LTD.

    Citation
    RE EAST SUN BUTTON INTERNATIONAL LTD.
    Court
    Court of First Instance
    Case number
    HCMP5514/2001

    The court exercised its discretion to confirm the reduction of share capital because the reduction met the established criteria: shareholders were equitably treated (majority consent), the proposals were clearly explained, creditors were safeguarded by an accepted undertaking, and the reduction served the recognised statutory purpose of extinguishing accumulated losses under s58(1)(b); the minute of reduction was approved for registration.