Hong Kong Case Law: Decisions & Judgments

Topic

Trustee ordinance sections 56 and 62

Legal area

Court

2 Feb 2024

RE TAK FUNG SHARES INVESTMENT COMPANY LTD

Citation

[2024] HKDC 196
Court

District Court
Case number

DCMP5473/2023

The applicant holds the unclaimed cash and securities as trustee; it made reasonable and proportionate efforts to contact clients; the account agreements contain no disposal power; it is therefore appropriate to exercise the court's discretion under section 62 to permit payment of unclaimed cash and sale proceeds into court and under section 56 to authorise sale and to grant liberty to deal with odd lot and delisted shares, subject to statutory notice and deductions for costs; costs awarded to applicant.
24 Aug 2023

RE PRESIDENT SECURITIES (HONG KONG) LTD

Citation

[2023] HKCFI 2212
Court

Court of First Instance
Case number

HCMP1153/2023

The Court found that President Securities holds the unclaimed cash, securities and bonds as trustee and had made reasonable efforts to contact clients who remained unresponsive; accordingly the Court granted the ex parte application and gave leave under sections 62 and 56 Trustee Ordinance to pay cash into Court and deposit bond certificates, to obtain and deposit share certificates or, failing that within specified timeframes, to sell or dispose of the shares and pay proceeds into Court and, if sale is impossible, to forfeit the shares, and also ordered that dividends, bond shares and rights…
22 Jun 2022

RE TIMES SECURITIES CO LTD

Citation

[2022] HKCFI 1810
Court

Court of First Instance
Case number

HCMP1431/2021

Applicant established trustee status and that reasonable efforts were made to contact clients; therefore the court granted the Amended Ex Parte Originating Summons and made orders under sections 56 and 62 Trustee Ordinance to pay unclaimed cash into court, sell marketable securities and pay proceeds into court, and permit the applicant to deal (including forfeiture) with unmarketable or relinquished securities, and ordered notice by advertisement.
31 Mar 2022

RE MUFG SECURITIES ASIA LTD

Citation

[2022] HKCFI 948
Court

Court of First Instance
Case number

HCMP83/2022

The Court was satisfied on the evidence that the assets in the Schedule are held by the applicant as trustee and that the applicant made reasonable efforts to contact the beneficiaries; it is not practicable to obtain physical certificates for certain Non‑Hong Kong stocks; accordingly the court granted leave to amend the originating summons and Schedule and authorised, subject to the applicant's undertakings, payment of cash into court with interest, deposit of available share certificates, and disposal of shares that cannot be physically produced with proceeds paid into court, together with…
12 May 2021

RE RHB SECURITIES HONG KONG LTD AND ANTOHER

Citation

[2021] HKCFI 1392
Court

Court of First Instance
Case number

HCMP2310/2020

Payment into court was refused and the application adjourned sine die because the applicants had not allowed sufficient time or taken sufficient steps to return assets to contactable clients (many prevented from collecting by COVID restrictions), it would be inappropriate to shift verification and administration problems to the court, and the applicants, having available resources, should resolve outstanding issues themselves before any payment in order is made.

Hong Kong Case Law

RE TAK FUNG SHARES INVESTMENT COMPANY LTD

RE PRESIDENT SECURITIES (HONG KONG) LTD

RE TIMES SECURITIES CO LTD

RE MUFG SECURITIES ASIA LTD

RE RHB SECURITIES HONG KONG LTD AND ANTOHER