This photo shows the High Court building in Hong Kong on Aug 17, 2017. (ANTHONY WALLACE / AFP)
The High Court on Wednesday ordered the winding up of now-defunct Apple Daily’s parent company Next Digital, founded by media mogul Jimmy Lai Chee-ying, over insolvency and citing the protection of public interest.
Master Jack Wong Kin-tong issued the decision after the application filed by the Financial Secretary Paul Chan Mo-po.
The court was told that the company has multiple assets and HK$70 million ($9 million) in cash while it recorded a net loss of HK$240 million, including HK$120 million in outstanding salaries for its Hong Kong employees.
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According to information provided by the government, the media group is insolvent and made questionable transactions. These transactions allegedly involved an early repayment of HK$120 million to its founder and creditor Lai, and allowed Lai to use the company’s assets for his private company.
Lai is currently serving a 20-month jail term for his role in several illegal assemblies. The company also has business in Taiwan.
No representatives of the company attended the court hearing on Wednesday.