RE THE INCORPORATED OWNERS of THE FOREMOST BUILDING

HCCW 47/2004

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF FIRST INSTANCE

COMPANIES (WINDING-UP) NO. 47 OF 2004

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J U D G M E N T

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1. This is a petition to wind up the Incorporated Owners of the Foremost Building ("the Incorporated Owners") presented by three petitioners, all of whom are resident in Sweden.

2. The petitioners are the plaintiffs in HCPI No. 336 of 1998. They obtained judgment against the Incorporated Owners on 3 December 2001. As at 30 November 2003, the judgment debt owed to the first two petitioners is in the sum of HK$3,617,132.97; the judgment debt owed to the 3rd petitioner is in the sum of HK$1,504,690.17.

3. Costs were taxed in favour of the petitioners on 17 July 2003 and 18 July 2003 at HK$2,670,757.61. The total amount of the assessed costs and interests up to 30 November 2003 amounted to HK$3,107,706.77. Thus the total amount of the debt owed by the Incorporated Owners to the petitioners came up to HK$8,229,529.91.

4. A demand for the debt was served on the Incorporated Owners on 17 December 2003 and the petition herein was presented on 15 January 2004. On 17 March 2004, leave was granted by the Registrar for the chairman of the Incorporated Owners, Mr Chan Chi Hung, to represent the Incorporated Owners in these proceedings.

5. Under section 33 of the Building Management Ordinance, Cap. 344, a corporation registered under that Ordinance may be wound up under Part X of the Companies Ordinance, Cap. 32 as if it were an unregistered company.

6. Under section 34 of Cap. 344, it is provided that in the winding up of a corporation under section 33, the owners shall be liable, both jointly and severally, to contribute according to their respective shares to the assets of the corporation to an amount sufficient to discharge its debts and liabilities.

7. Section 34A(1) of Cap. 344 has been complied with. A copy of the winding-up petition was delivered by the petitioner to the Land Registry on 22 March 2004.

8. I am satisfied this court does have jurisdiction to wind up the Incorporated Owners and that the Lands Tribunal does not have exclusive jurisdiction to wind up a corporation registered under Cap. 344. I have considered the judgment of the Court of Appeal in Wong Hing Cheong & Another v Wah E Investment Ltd & Another, CACV No. 908 of 2001, 25 April 2002 and the judgment of the Lands Tribunal in The Incorporated Owners of Wah Kai Industrial Centre, LDBM No. 572 of 2001, 29 August 2002.

9. I make a winding-up order against the Incorporated Owners. I direct the petitioners to deliver a copy of the winding-up order, as soon as reasonably practicable, to the Land Registry, pursuant to section 34A(1). I order that the petitioners' costs are to be paid out of the assets of the Incorporated Owners.