RE YUEN MAN CHIU

HCB 2794/2013

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF FIRST INSTANCE

BANKRUPTCY PROCEEDINGS NO 2794 OF 2013

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REASONS FOR DECISION

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1.  On 23 April 2013, the petitioners who are judgment creditors presented a petition for the bankruptcy of Mr Yuen Man Chiu on the basis of a judgment debt in High Court Action No. 372 of 2010.  The judgment, which is based on a consent summons, requires Mr Yuen to pay to the petitioners the sum of $50,000 on or before 28 February 2013 and the further sum of $150,000 on or before 1 June 2013.

2.  Upon Mr Yuen’s default in paying the first sum of $50,000, a statutory demand was served, followed by the petition for bankruptcy.  The petition first came before me on 2 July 2013.  Mr Yuen had by a letter to the creditors dated 19 June 2013 offered to repay the entire sum of $200,000 by 50 monthly instalments of $4,000 each, starting from 1 July 2013. The creditors, who cannot in my view be said to have acted unreasonably, refused to accept this proposal.  Mr Yuen thereupon asked for a week to raise funds for repayment.  I acceded to his request and adjourned the petition to the following Monday, making clear to him that if no solution was found by then, the court might well make a bankruptcy order.

3.  On 8 July 2013, Mr Yuen appeared and confirmed that he had no way of repaying the debt.  Accordingly, I made the usual bankruptcy order with costs.