XCHRX WAH NAM HOLDINGS CO. LTD.AND OTHERS v. EXCEL NOBLE DEVELOPMENT LTD. AND OTHERS

HCA No. 8974/99

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF FIRST INSTANCE

ACTION NO. 8974 OF 1999

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D E C I S I O N

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1. The issues raised by Mr. Barlow, counsel for the 1st to 7th Defendants, in my view, require consideration by the Court as soon as possible.

2. What Mr. Barlow seeks is a discharge of the injunctions granted by the Court by virtue of either (i) the alleged inability of the Plaintiffs to honour their undertakings given to the Court or (ii) a possible abuse of process if there was a connection between the Plaintiffs' application for the injunctions and the recent resolution on the part of the directors of the 8th Defendant to rescind the convertible notes in question.

3. I have taken into account the fact that there is an EGM of the 8th Defendant in August, and the control of the Company would be affected by the convertibility of these notes into shares. I have also taken into account the fact that as far as the Plaintiffs are concerned, the affirmations of Terence Ho Pui Tin and the affidavit of William Nicholas Giles were served on them in the afternoon of Saturday the 10th July, (at least the affirmation of Terence Ho was served in the afternoon on 10th July,) although I do understand the 8th Defendant's difficulties in that they were only served this morning.

4. However, in my view, if the matters to be considered are to be restricted to the two points that I have referred to, there is no reason why in my view the affidavits in reply or rather the affidavits in opposition on the part of the Plaintiffs and the 8th Defendant could not be provided by say 2:00 p.m. on Thursday the 15th July and I will hear the application on the 16th and 19th July.