XN000022-1993-01-11 — Page 18

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MONDAY, JANUARY 11, 1993

THAT

SMALL INCREASE IN NUMBER OF COURT INSOLVENCIES

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(MONDAY)

THE OFFICIAL RECEIVER, MR ROBIN HEARDER, SAID TODAY 1992 SHOWED ONLY A SMALL INCREASE IN THE NUMBER OF NEW INSOLVENCIES REACHING THE COURTS,

THERE WERE 342 NEW COMPULSORY COMPANY LIQUIDATIONS AND 295 NEW PERSONAL BANKRUPTCIES COMPARED WITH CORRESPONDING FIGURES OF 346 AND 283 IN 1991, AN INCREASE OF 1.27%.

HOWEVER, THE TOTAL NUMBER OF NEW CASES AT 637 WAS ONLY 91% OF THE HIGHEST EVER TOTAL FIGURE OF 699 CASES WHICH WAS RECORDED IN 1985.

COMPANY

THE BUSINESSES MAENLY AFFECTED BY COMPULSORY LIQUIDATIONS AND BANKRUPTCIES INCLUDED GARMENT AND KNITTING MANUFACTURING, RESTAURANTS AND CANTEENS, IMPORTERS AND EXPORTERS, AND COMPANY DIRECTORS GIVING PERSONAL GUARANTEES.

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PETITIONS WERE FILED BY THE DIRECTOR OF LEGAL AID (41%) TRADE CREDITORS (46%), BANKS AND FINANCIAL INSTITUTIONS (12%) AND OTHERS (1%).

OTHER THAN BANK OF CREDIT AND COMMERCE HONG KONG LIMITED AND BCCI FINANCE INTERNATIONAL LIMITED IN WHICH SPECIAL MANAGERS WERE APPOINTED WITH THE OFFICIAL RECEIVER AS LIQUIDATOR, MORE COMPLICATED OR SIGNIFICANT INSOLVENCIES DURING THE YEAR WERE HW SECURITIES COMPANY LIMITED, UNITEX LIMITED, WE SHIPPING COMPANY LIMITED GROUP, YUN JIP AUTO SERVICE LIMITED, BIRDCAGE WALK LIMITED, OCEAN STORY LIMITED, HING FUNG TEXTILES LIMITED, NG YAT CHI AND CHÊN TAI HWA.

FIFTY-FIVE SUMMONSES WERK ISSUED AGAINST

DIRECTORS OF COMPULSORILY WOUND-UP COMPANIES FOR FAILURE TO SUBMIT STATEMENT OF AFFAIRS TO THE OFFICIAL RECEIVER, OF WHOM 45 WERE CONVICTED AND THE TOTAL AMOUNT OF FINES IMPOSED BY THE COURT WAS $298,390.

TOTAL DIVIDENDS DECLARED BY THE OFFICIAL RECEIVER LAST YEAR AMOUNTED TO $221.36 MILLION IN 207 INSOLVENCLES, AS AGAINST $91.7 MILLION IN 242 INSOLVENCIES IN 1991, AN INCREASE OF [41%.

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THE TOTAL NUMBER OF ACTIVE INSOLVENCY CASES BEING HANDLED BY THE OFFICIAL RECEIVER'S OFFICE AT THE END OF THE YEAR WAS 1,903, REPRESENTING 1,145 COMPULSORY COMPANY LIQUIDAT LONS ANJI 758 PERSONAL BANKRUPTCIES, AS AGAINST A TOTAL OF 1,793 AT THE END OF 1991.

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