Hutchison Whampoa, one of Hong Kong’s largest listed companies, is controlled by Cheung Kong Group, a property company. Hutchison's operations span ports, property and hotels, retailing, power generation and telecommunications. It owns Cheung Kong Infrastructure, and is headed by Li Ka-shing, Asia’s wealthiest man.
Australia tax office sues Cheung Kong Infrastructure, Power Assets
Reuters in Sydney
Two companies controlled by Hong Kong tycoon Li Ka-Shing, including Cheung Kong Infrastructure Holdings (CKI), have been sued by Australia’s tax authority.
The cases against CKI and Power Assets Holdings, in which CKI also holds a majority interest, were filed on June 14 and heard on Friday, according to the website of the Federal Court of Australia.
The Australian Taxation Office (ATO) is accusing CKI and Power Assets for failing to pay more than A$750 million (HK$5.4 billion) in tax, the documents filed with the court showed.
“All concerned claims by the Australian Taxation Office including in particular the direct claim against CKI and Power Assets, are totally without foundation and we will vigorously defend our position,” CKI said in an emailed statement to Reuters.
The ATO declined to comment, citing “confidentiality provisions”.
CKI and Power Assets jointly own 51 per cent of electricity distribution networks in the states of South Australia and Victoria, according to CKI’s corporate website.
CKI is the largest publicly listed infrastructure company in Hong Kong with infrastructure investments in Hong Kong, Mainland China, Britain, Australia, New Zealand and Canada.
Neither CKI or Power Assets was immediately available for comment.