Stanley Ho

Stanley Ho relative sues airline over HK$9m debt

PUBLISHED : Tuesday, 26 June, 2012, 12:00am
UPDATED : Tuesday, 26 June, 2012, 12:00am


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A relative of Macau gaming tycoon Stanley Ho Hung-sun is suing Hong Kong Express Airways, an airline Ho partly owns, over a HK$9.8 million debt.

In a writ filed with the High Court, Chan Ung Iok, sister of Ho's third wife, Ina Chan Un Chan, says the airline failed to repay the debt since last year despite her repeated requests.

Chan states in the court document that the sum was part of a HK$120 million loan Ho made as a shareholder to the airline in July 2006.

She says Ho had executed a deed to assign HK$9.8 million of that amount to her, and that the airline was informed.

According to the writ, Chan was a director of the airline from 1998 to 2006 and was a shareholder from 2001 to 2006.

Company filings show that Chan had transferred her stake of almost 1.6 million shares in 2006 to HKE Holdings, which Ho partly owned.

Records showed that Ina Chan transferred her 6.6 million shares to HKE, with one Andrew Edward Tse also doing the same with his 4.7 million shares. That made HKE the sole ordinary shareholder of the airline with 13 million shares.

The writs do not shed light on why Ho had assigned the HK$9.8 million loan to Chan.

Chan Ung Iok states in the claim that the airline confirmed in April last year that it owed the money but failed to make repayment.

On March 28 this year, she sent a legal letter to the airline demanding that it pay the outstanding sum in 21 days. But the firm again failed to do so, the writ says.

According to the airline's annual return last year, Ho held about 3.3 million shares of a total of 13 million.

An airline spokeswoman said the debt Chan referred to was a matter between several former shareholders. She said the sum was not substantial, adding there was room to resolve the legal dispute quickly.