14 Jul 1998
IN RE TIAN AN CHINA INVESTMENTS CO. LTD. AND OTHERS
- Citation
- IN RE TIAN AN CHINA INVESTMENTS CO. LTD. AND OTHERS
- Court
- Court of First Instance
- Case number
- HCMP2863/1998
The court confirmed the reductions because the applicants satisfied the controlling authorities: shareholders are treated equally and shareholders' funds per share are unchanged; creditors' interests are adequately safeguarded by the undertaking to credit the benefit to a special reserve and treat it as undistributable under s79(c); there is a discernible legitimate purpose (to enable timely future capital raising); and the purpose was not to circumvent section 50, applying In re Thorne and subsequent Hong Kong authorities.