2 Jul 2021
The cash flow spreadsheets did not satisfy the statutory requirements for financial statements and the distributions therefore contravened s297; the respondents raised a genuine, serious and substantial cross-claim that the distributions were unlawful and potentially repayable by shareholders, and on that basis the winding up petitions were dismissed.
8 May 2020
The court granted validation orders because the petitioners produced no evidence of insolvency, the asserted risk of preference was speculative, and the petitioners' refusal to agree appeared tactical and unjustified; consequently the petitioners were ordered to pay the company's costs (party and party up to and including 19 April 2020 and on an indemnity basis thereafter).
24 May 2004
The court found no bona fide dispute on substantial grounds in respect of the petitioning debts (Wong Kwan and Charcon in HCCW 425/2003; Wong Kwan in HCCW 426/2003). Cross-claims brought by related subsidiaries or other group entities cannot be treated as cross-claims of the debtor company for the purpose of defeating a winding-up petition because they lack the requisite mutuality. The companies are insolvent and statutory deeming provisions apply. The court declined to make immediate winding-up orders but directed that petitioners issue summonses for appointment of provisional liquidators to…