RE: CHAN CHAK TONG t/a NEW WU KEE CONSTRUCTION CO. and EX PARTE: WONG TSOI YUK, a Creditor

HCB160/2000

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF FIRST INSTANCE

BANKRUPTCY PROCEEDINGS NO.160 OF 2000

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Reasons Handed Down: 5 April 2000

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R E A S O N S

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1. This is a bankruptcy petition based on an unpaid Labour Tribunal award. At the hearing, a bankruptcy order was made. The reasons appear below.

2. The debtor, Chan Chak Tong, trading as New Wu Kee Construction Co., admitted that he was aware of the Labour Tribunal hearing. He went several times to the Tribunal and opposed the application. He was aware of the award that had been made but did not appeal or seek a review of the award. The only reason he advanced was that he did not have time to do so because he had to work. The debtor further suggested that he had a defence because all his projects had been taken over by a limited company in May 1999 and he could not therefore be liable. I think what he meant was that he caused the business which was a sole proprietorship to be incorporated.

3. The award was made by the Labour Tribunal on 24 August 1999. It was made against the debtor personally. If the indebtedness had in fact been attributable to the limited company, no doubt such a defence would have been raised by him and considered by the presiding officer. The debtor was content not to appeal the award or to seek its review.

4. In the circumstances, no good reason has been shown why a bankruptcy order should not be made.