Hong Kong Case Law: Decisions & Judgments

Topic

Management accounts

Legal area

Court

13 Oct 2023

TKM also known as WTKM v. WHG AND OTHERS

Citation

[2023] HKFC 189
Court

Family Court
Case number

FCMC5723/2021

Court held that disclosure of the husband’s personal bank statements from June 2018 to June/July 2019 and audited accounts of HKWL for financial years 2020–21 and 2021–22 was necessary and within the husband’s possession, custody or power and ordered production; disclosure of management accounts and bank statements of the Family Business Companies was refused as disproportionate absent expert evidence that audited accounts are deficient or unreliable.
30 Sept 2016

LKY v. YLP

Citation

LKY v. YLP
Court

Family Court
Case number

FCMC18284/2013

The application for the management accounts was dismissed because the husband produced no expert evidence undermining the audited accounts, the request was broad and disproportionate (a potential fishing expedition), and it was untimely given the trial was imminent; therefore production was not necessary for the fair disposal of the matter; costs awarded to the wife.
30 Sept 2016

LKY v. YLP

Citation

LKY v. YLP
Court

Family Court
Case number

FCMC4352/2013

The application for full management accounts was dismissed because the Husband failed to provide expert evidence demonstrating audited accounts were unreliable, the request was overly broad and constituted a fishing expedition, and it was unnecessary and untimely given the proximity of the trial; discovery will only be ordered where relevant and necessary for fair disposal or cost saving.
17 May 2007

LEI ZI SHEN v. TAI-AO ALUMINIUM GROUP LTD AND OTHERS

Citation

LEI ZI SHEN v. TAI-AO ALUMINIUM GROUP LTD AND OTHERS
Court

Court of First Instance
Case number

HCCW1116/2004

Monthly management accounts for the holding company and principal operating subsidiary from 1 January 2005 to date must be produced because they are relevant and necessary to inform the court of the company's up-to-date financial position for deciding winding-up versus buy-out and valuation issues; bank statements are not required and are irrelevant to the alleged earlier intention and to the court's needs for those purposes.
4 Nov 2004

THE INCORPORATED OWNERS OF PROVIDENT CENTRE v. WHAMPAO PROPERTY MANAGEMENT LTD

Citation

THE INCORPORATED OWNERS OF PROVIDENT CENTRE v. WHAMPAO PROPERTY MANAGEMENT LTD
Court

Lands Tribunal
Case number

LDBM268/2002

Tribunal found the respondent unjustified in retaining the disputed sums after termination and that the applicant should have cashed the HK$9.6m cheque; specific deductions lacked evidential support (undercharge HK$18,646.03) and post-termination payments of HK$405,206.91 were improperly effected by respondent and must be refunded; resulting net sum payable by respondent to applicant is HK$6,840,169.25 with interest at one-third of judgment rate from 6 June 2003 until payment.
26 Feb 2001

Re Constructional Systems Ltd.

Citation

Re Constructional Systems Ltd.
Court

Court of First Instance
Case number

HCCW960/2000

The court made a winding up order because the company failed to demonstrate an ability to pay its debts: management accounts were outdated and showed sustained losses, asserted receivables lacked dates and proof of collectability, and the company had not paid outstanding tribunal awards or satisfied statutory demands.
19 Feb 2001

RE KING KONG (GROUPS) LTD.

Citation

RE KING KONG (GROUPS) LTD.
Court

Court of First Instance
Case number

HCCW1026/2000

The Company failed to provide credible evidence to substantiate its claimed asset values or imminent funding; management accounts showed substantial liabilities including a large bank loan and liabilities to related parties; remittance records from 1994 did not prove present value; accordingly the court refused a further adjournment and made the usual winding up order.

Hong Kong Case Law

TKM also known as WTKM v. WHG AND OTHERS

LKY v. YLP

LKY v. YLP

LEI ZI SHEN v. TAI-AO ALUMINIUM GROUP LTD AND OTHERS

THE INCORPORATED OWNERS OF PROVIDENT CENTRE v. WHAMPAO PROPERTY MANAGEMENT LTD

Re Constructional Systems Ltd.

RE KING KONG (GROUPS) LTD.