New HK initiative for corporate rescue regime

Author: | Published: 5 Nov 2009

After years of lobbying to provide corporates with an alternative to liquidation or informal restructurings, the Hong Kong government has launched a consultation paper on enacting a corporate rescue regime.

The consultation paper from the Financial Services and Treasury Bureau is based on proposals made in 2001. It seeks industry comment (by January 28 2010) on a stay of enforcement, director liability and employee compensation.

“Employees should generally be no worse off than in the case...