23 November 2016
In the continued absence of any statutory regime for cross-border insolvency recognition in Hong Kong, two recent decisions of Mr Justice Harris in the Court of First Instance have provided guidance to liquidators yet also given banks pause for thought as to how best to proceed when faced with requests for assistance from foreign liquidators of companies being wound up in their places of incorporation. In one of the cases, the Court went further than before in ordering the oral examination of a director of a Cayman Islands company resident in Hong Kong. In the other, Harris J cautioned banks against requiring liquidators to come to court to make what he described as unnecessary applications.
Cross-border insolvency in Hong Kong – pushing the boundaries