An increase in bankruptcy filings appears to be occurring - as the country continues to experience a substantial slowdown. Jonathan Leith, restructuring specialist at DLA Piper in Hong Kong, said: ‘We expect to see an increase in defaults and selective corporate failures…Where purely domestic bankruptcies are concerned, the outcome will continue to be largely pre-arranged at the outset of a bankruptcy filing.’
Discretion
Mark Hyde, Clifford Chance’s Hong Kong-based global head of insolvency and restructuring, said: ‘The courts can and do exercise wide discretion, and it's not always clear how that discretion is applied.’ Mr Hyde advised creditors on China’s first domestic bond default - by solar producer Chaori in 2014. Source: Legal Business Online
Email your news and story ideas to: [email protected]
