A legal tug-of-war over CA Pacific shares will come to a head today when a judge is given the task of deciding how best to carve up the securities. After seven days of legal arguments, the case is expected to be handed over to Madam Justice Maria Yuen Ka-ning who will have to side with one class of clashing investors. The time element became apparent yesterday when one of the barristers, Leslie Kosmin, QC, told the judge his work visa runs out today. Mr Kosmin represents the class one investors - those whose recovery in the winding-up would be maximised if CA Pacific Securities clients were ordered to have proprietary claims to the securities and cash held with the brokerage. Class two clients would benefit more if the shares were sold and equally distributed. A total of 10,000 clients were owed $1.4 billion in shares when the company collapsed in January. However, only $900 million in shares was on hand. Liquidators PricewaterhouseCoopers have taken a neutral stance throughout the court proceedings, barrister Godfrey Lam contended. After taking advice from specialist London counsel this summer, the liquidators decided there were too many difficult legal issues which needed to be resolved before progressing. These issues could not be dealt with by way of a scheme arrangement, he said.
