A lawsuit involving the Hong Kong Stock Exchange-listed financial advisory firm, Convoy Global, has seen the hearing date pushed back to September, according to the latest press reports out of Hong Kong, in order to make it possible to add at least one more name to a growing list of defendants – which is now said to total 28.
According to the South China Morning Post, which cited plaintiffs in the matter as its source, Francis Choi Chi-ming, a wealthy Hong Kong toy manufacturer whose clients have included Mattel, “will be added to a growing list of defendants in a lawsuit over the city’s biggest financial scam in decades”.
Choi, it added, is known locally as the “Toy King”.
The postponement of a hearing in the matter, which had been scheduled to take place yesterday, was adjourned by Justice Jonathan Harris until September, the SCMP said.
As reported here in January, the original plan had been for three related lawsuits involving Convoy Global to begin being heard in court on 6 March. Two had been brought by shareholders and one by Convoy itself against former directors.
Yesterday’s postponement of the hearing comes after months of developments that have included revelations that Convoy has been the focus of a joint investigation by Hong Kong’s market regulator and anti-corruption body, into allegations of fraud involving HK$4.4bn (US$561.74m).
Convoy, which mainly looks after local Hong Kong residents, has, like many advisory firms in Hong Kong, been under some pressure over the past two years as a result of regulatory changes that have transformed the advisory market.
Last November it announced that it was acquiring a £24m stake in the UK-based Nutmeg investment platform, as part of its efforts to revamp its business model to suit its changing market.
To see a “who’s who” of key individuals in the Convoy Global saga, published on the SCMP website on 29 December, click here.
To see a timeline of recent events at Convoy Global, also on the SCMP website, click here.