Hong Kong Case Law: Decisions & Judgments

Topic

Due diligence failures

Legal area

Court

2 Jul 2025

SECURITIES AND FUTURES COMMISSION v. SUPERB SUMMIT INTERNATIONAL GROUP LTD AND OTHERS

Citation

[2025] HKCFI 2682
Court

Court of First Instance
Case number

HCMP2305/2020

On the admitted and agreed facts the Court was satisfied all three statutory conditions under s214 were met and that the conduct amounted to oppressive, defalcation/misfeasance, misleading disclosure and unfairly prejudicial conduct; accordingly the Court made disqualification orders reflecting the gravity and mitigating factors: 5th respondent (Lee Chi Kong) disqualified for 10 years; 7th, 8th and 10th respondents disqualified for 5 years each; 15th respondent disqualified for 7 years; costs ordered as between parties consistent with Carecraft agreements.
3 Oct 2019

SECURITIES AND FUTURES COMMISSION v. WONG YUEN YEE AND OTHERS

Citation

[2019] HKCFI 2463
Court

Court of First Instance
Case number

HCMP241/2015

On the agreed facts the 1st–4th respondents negligently failed to ensure adequate investigation or due diligence, failed properly to supervise or obtain reports from the Hotel Management Team and failed to negotiate consideration; that conduct amounted to misfeasance/unfair prejudice under s.214 and warrants disqualification under s.214(2)(d); taking culpability and mitigation into account a 3‑year disqualification is appropriate.
24 Jan 2018

SECURITIES AND FUTURES COMMISSION v. FAN DI AND OTHERS

Citation

[2018] HKCFI 346
Court

Court of First Instance
Case number

HCMP1761/2009

On the agreed facts the 1st Respondent authorised and caused substantial unauthorised payments, failed to obtain board approval, failed to conduct or disclose due diligence, and caused Listing Rules breaches; those facts amounted to defalcation, misfeasance and conduct engaging s214(1)(b) and (c), attracting the court's jurisdiction to disqualify, and the conduct fell into the middle severity bracket justifying a six year disqualification order (plus costs as agreed).

Hong Kong Case Law

SECURITIES AND FUTURES COMMISSION v. SUPERB SUMMIT INTERNATIONAL GROUP LTD AND OTHERS

SECURITIES AND FUTURES COMMISSION v. WONG YUEN YEE AND OTHERS

SECURITIES AND FUTURES COMMISSION v. FAN DI AND OTHERS