Canto-pop superstar Andy Lau Tak-wah has been hit with a $153 million lawsuit over claims he dragged his feet in the listing of a company, causing his business partners to lose the opportunity to sell shares.
Noble Trend International Inc made the claim in a 34-page writ filed against Lau, Ablegate Group Limited - a company 'beneficially owned and/or controlled' by Lau - and Winson Chan.
British Virgin Islands-based Noble Trend further claims Lau seized control of Team Work Corporation - a company established by a joint agreement on January 18, 2000, between Noble Trend, Lau and Ablegate Group.
The purpose of Team Work Corporation was to hold intellectual property rights and domain names, provide management and agency services for artists and to produce and distribute cinema and television films and performances.
Until June 4 this year, Lau was the director of Team Work. Ablegate Group also appointed Lau as chief executive officer of Team Work. Mr Chan was named managing director at the end of last year.
The writ states that due to Lau's decision in mid-April to back out of a unanimous board decision to list Team Work by the end of this month, Noble Trend was unable to sell its 48 per cent share in Team Work for $153.6 million to a mainland firm with which it struck a deal. Team Work has still not been listed.
The writ also states that after Lau's reluctance to explain his U-turn and hand over accounts for an internal review, Noble Trend made an investigation which it says uncovered various breaches of the shareholders' agreement, to which Lau was party.