BRY-AIR (SHANGHAI) AIR TREATMENT EQUIPMENT CO. LTD v. HONG KONG YULONG INDUSTRIES LTD

HCA 2133/2025

[2026] HKCFI 3201

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF FIRST INSTANCE

ACTION NO. 2133 OF 2025

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D E C I S I O N

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Introduction and Background

1.  The background of this case has been set out in my Decision dated 21 November 2025: see [2025] HKCFI 5975. For ease of reference and consistency, save as otherwise indicated, I shall adopt the same definitions and abbreviations herein.

1.  On 14 November 2025, following an ex parte hearing, I granted a Mareva injunction against D (“Mareva Injunction”). The Mareva Injunction was continued during the inter partes hearing on 21 November 2025, in which D did not appear, until trial or further order of the court (whichever is earlier).

2.  On 23 December 2025, final judgment was obtained by P against D (“Final Judgment”). In was adjudged that D (as Judgment Debtor) do pay P (as Judgment Creditor) the sum of US$476,424 (or the Hong Kong dollar equivalent at the time of payment) together with interests thereon at the rate of 8.25% per annum from 14 November 2025 to the date of Final Judgment and thereafter at judgment rate until payment and fixed costs of HK$11,045.

3.  On 13 March 2026, P was granted a garnishee order to show cause by Master Phoebe Man (“Garnishee Order Nisi”) in respect of P’s application against China Construction Bank (Asia) Corporation Limited (“the Garnishee”) for the Garnishee to pay to P the debt due from the Garnishee to D sufficient to satisfy D’s judgment debt and costs of the garnishee proceedings.

4.  Today, I have before me two applications by P:

(1)  For the Garnishee Order Nisi be made absolute; and

(2)  For discharge of the Mareva Injunction.

5.  I am satisfied from the affirmations of service filed on behalf of P that D and the Garnishee have been properly served with the documents in relation to P’s garnishee application and sufficient notice of today’s hearing given to them as required by the Rules of the High Court, Cap. 4A (“RHC”)[1].

6.  By letter dated 19 March 2026 to P’s solicitors, the Garnishee stated that it takes a neutral stance to P’s application and will not be attending today’s hearing. The Garnishee has not appeared today.

7.  As for D, its company secretary acknowledged receipt of the Garnishee Order to Show Cause but has not appeared.

8.  Mr Cheuk, solicitors, appeared for P.

Discussion and Disposition

9.  O.49, r.1(1) of RHC provides:

“ Where a person (in this Order referred to as ‘the judgment creditor’) has obtained a judgment or order for the payment by some other person (in this Order referred to as ‘the judgment debtor’) of a sum of money amounting in value to at least $1,000, not being a judgment or order for the payment of money into court, and any other person within the jurisdiction (in this Order referred to as ‘the garnishee’) is indebted to the judgment debtor, the Court may, subject to the provisions of this Order and of any written law, order the garnishee to pay the judgment creditor the amount of any debt due or accruing due to the judgment debtor from the garnishee, or so much thereof as is sufficient to satisfy that judgment or order and the costs of the garnishee proceedings.”

10.  I am satisfied that:

(1)  P, as judgment creditor, has obtained judgment for payment of a sum of money over HK$1,000;

(2)  The Garnishee is within the jurisdiction; and

(3)  As D has maintained an account with the Garnishee into which P had transferred the Sum and the Mareva Injunction was granted in respect of that account, there is a credit balance in that account such that the Garnishee is indebted to D.

11.  Given the neutral position of the Garnishee, and I can think of no reasonable ground why the garnishee order nisi should not be made absolute, I therefore will make the garnishee order absolute.

12.  Out of abundance of caution and for the avoidance of any doubt that it does not continue post-judgment, I would discharge the Mareva Injunction.

13.  Accordingly, I will make an order in terms of the draft orders submitted to me.