Hong Kong Case Law: Decisions & Judgments | LexChat

Hong Kong Case Law

Appointment criteria
  • 5 Sept 2002

    RE LUEN CHEONG TAI INTERNATIONAL HOLDINGS LTD

    Citation
    RE LUEN CHEONG TAI INTERNATIONAL HOLDINGS LTD
    Court
    Court of First Instance
    Case number
    HCCW584/2002

    Given the company's severe financial deterioration, delayed and qualified accounts, significant doubtful assets and related-party transactions raising justifiable suspicions, together with the loss of confidence by the financial creditors in management and a realistic prospect that a winding up order would be made if restructuring failed, it was proper to appoint provisional liquidators to protect assets, investigate and facilitate restructuring; prior limited engagement by Ernst & Young did not disqualify the proposed appointees in the absence of specific evidence of impropriety.