We would like to highlight several cases in this January issue of ONC Corporate Disputes and Insolvency Quarterly.

Of particular significance to insolvency practitioners would be the Hong Kong case Osman Mohammed Arab Wong Tak Man Stephen, Joint and Several Liquidators of AGI Logistics (Hong Kong) Ltd (In Compulsory Liquidation) v Commissioner of Inland Revenue [2016] 5 HKLRD 737. In this case, the Hong Kong Court of Appeal departed from English authorities and held that all dispositions made after a winding-up petition is presented are caught by section 182 of the Companies (Winding Up and Miscellaneous Provisions) Ordinance (Cap 32) and are thus void, regardless of the impact on creditors and whether it serves only an “intermediary function”. Another interesting case is Re Lucky Resources (HK) Limited [2016] 4 HKLRD 301, in which the court held that the presentation of a winding-up petition on the ground of insolvency does not constitute enforcement of an arbitration award. Thus, the petitioner is not required to seek court’s leave under section 84 of the Arbitration Ordinance (Cap 609) to enforce the award before presenting the winding-up petition. In another important decision on cross-border insolvency, The Joint Provisional Liquidators of BJB Career Education Co Ltd (In Provisional Liquidation) v Xu Zhendong HCMP 1139/2016, the Hong Kong court, for the first time, granted powers to foreign liquidators permitting them to orally examine a company director in Hong Kong pursuant to a letter of request issued by Grand Court of Cayman Islands. Further, in the Singaporean case of Re Gulf Pacific Shipping Ltd (in creditors’ voluntary liquidation) and others [2016] SGHC 287, the Singapore High Court held the common law power of assistance to foreign liquidation also extends to voluntary winding-up or out of court dissolution. Last but not least, in the English decision of Kean Lucas (Re J&R Builders (Norwich) Ltd) [2016] EWHC 2684 (Ch), the English High Court considered that in assessing the validity of claim of a creditor requisitioning a meeting the threshold is low. So long as the claim appears bona fide and not obviously wrong, the claim should be accepted for the purpose of calculating claims in order to requisition the meeting. It is for the chairman of the meeting to reject or accept any claim.

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