Hong Kong court names China Evergrande’s liquidators as receivers of founder’s assets

“There is a total failure on the part of Hui to comply with the disclosure order,” wrote Justice Herbert Au-yeung Ho-wing in a judgment from the Court of First Instance. “There is therefore a breach of the court order.”

Hui’s lawyer argued that his detention prevented him from dealing with or discussing his assets, but the judge said it was hard to see why the Evergrande founder would be barred from discussing his own assets.

There was no way to police the order to freeze his assets of up to US$7.7 billion, said Au-Yeung, adding that “appointing receivers is the only way the group can obtain the information that should otherwise have been disclosed by Hui”.

The liquidators of Evergrande are Eddie Middleton and Tiffany Wong Wing-sze from the consulting firm Alvarez & Marsal Asia.

The receivers will identify, secure and preserve the assets pursuant to the injunction order, which prohibited Hui from disposing of his global holdings.