Saturday 29 January 2011

Stanley Ho sues family despite TV denial

Ho lodged a lawsuit formally accusing five of his children, two of his four wives and his long-time banker of “improperly and/or illegally” seizing control of the holding company that controls the bulk of his fortune.

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Guanyu said...

Stanley Ho sues family despite TV denial

Casino magnate seeks unspecified damages

Neil Gough and Simpson Cheung in Macau
28 January 2011

During the past month, the intra-family battle over control of billionaire Stanley Ho Hung-sun’s casino empire has played out in back rooms, boardrooms, newsrooms and living rooms in Hong Kong and Macau.

Yesterday, the dispute entered a new, perhaps unavoidable venue: the courtroom.

Ho lodged a lawsuit formally accusing five of his children, two of his four wives and his long-time banker of “improperly and/or illegally” seizing control of the holding company that controls the bulk of his fortune.

The 89-year-old father of 17 children is suing: daughters Daisy, Pansy, Maisy and Josie, eldest surviving son Lawrence, their mother Lucina Laam King-ying, Ho’s third wife Ina Chan Un Chan and his long-serving lieutenant and banker Patrick Huen Wing-ming, says the High Court writ filed by lawyer Gordon Oldham late on Wednesday and made public yesterday morning.

Ho’s suit seeks unspecified damages and an injunction in dealing in shares of Lanceford Company Limited, the firm that ultimately holds most of his wealth. The suit alleges that control of Lanceford was “improperly and/or illegally” acquired via a massive share issuance last month that diluted his stake to 0.02 per cent from 100 per cent.

Ho’s allegations against his family members were first published in the South China Morning Post on Tuesday. Like several conflicting Ho family letters and statements to have emerged in the press this week, the “endorsement of claim” attached to the lawsuit carries the signature of Stanley Ho. Ho’s legal claim came a day after he appeared on television saying he would not be suing family members and calling for an end to the familial infighting.

The Cantonese-language footage from TVB showed Ho seated in a padded wheelchair, reading script from a large cue card at the home of third wife Chan who - along with his second wife Laam King-ying and daughters Pansy, Daisy and Maisy - stood by and watched as he read.

“Doctor Ho in a recently broadcast television interview stated that he was pressured into doing so,” Oldham, a senior partner at Oldham, Li and Nie, said in a statement after filing the lawsuit.

At noon, 60 local and international reporters gathered in the lobby of Oldham’s building, for a press conference. But that was called off.

Fourth wife Angela Leong On-kei was seen leaving Ho’s house at No1 Repulse Bay Road shortly after noon. Ho left an hour later and was driven to his third wife’s house at No5 Black’s Link with granddaughter Ringo Siu.

The lawsuit also lists British Virgin Islands firm Action Winner (owned by Chan) and Ranillo Investments (owned by Laam’s five children) as defendants. The two BVI firms now control Lanceford, which is also named in the suit. Brunswick Group - the public relations agency for Lanceford, Ranillo and Action Winner - declined to comment on the suit.

Privately-held Lanceford is the holding company for the bulk of the billionaire’s wealth and owns Ho’s controlling 31.655 per cent stake in 50-year-old conglomerate Sociedade de Turismo e Diversoes de Macau.

“Ho has expressed a desire to share his estate equally with members of all his four families, and the actions of the directors of Lanceford effectively eliminate this possibility,” Oldham said in an e-mailed statement. “It is still our hope that the family can resolve this matter and that Ho’s assets can be distributed according to his wishes.”

Additional reporting by Danny Mok, Mandy Zhou