RE INTERACT CONTRACTING CO. LTD.

HCCW 1182/2002

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF FIRST INSTANCE

COMPANIES (WINDING-UP) NO. 1182 OF 2002

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J U D G M E N T

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1. This is a petition to wind up Interact Contracting Co. Ltd ("the Company") presented by Hongkong and Shanghai Banking Corporation Limited on the ground that the Company is unable to pay its debts.

2. As at 30 May 2002, the Company is indebted to the petitioner for HK$27,917,663.72 regarding facilities advanced to the Company and to Interact (China) Design & Contracting Co. Ltd for which the Company is jointly liable. A statutory demand was served on the Company on 14 May 2002. The indebtedness of the Company was secured in part by an Assignment of Receivable dated 9 April 2002 given by the Company in favour of the petitioner. The estimated value of this security constituted by way of the assignment is HK$8,935,410.06.

3. The petition presented on 26 October 2002 is in respect of the unsecured part of the debt, in the sum of HK$18,982,253.66. The only ground of opposition advanced by the Company is that there are two properties mortgaged by a third party, Uni-Zone Holdings Ltd, a company associated to the Company, to secure the indebtedness of the Company to the petitioner and that receivers have been appointed by the petitioner in respect of those properties.

4. As I have stated to the counsel for the Company, the security provided by a third party is irrelevant to my consideration. I see no valid ground for opposing the petition. In the circumstances, I make a winding-up order against the Company and I order that the petitioner's costs are to be paid out of the Company's assets.