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Investors' interest protected in HK: financial official
2006-07-26 07:28:34 Xinhua English

HONG KONG, July 26 (Xinhua) -- Hong Kong financial official Wednesday emphasized that investors' interests in Hong Kong can be protected as the scandal of a Hong Kong-listed company became hot topic among investors.

Hong Kong-listed aluminum manufacturer, Ocean Grand Holdings and its subsidiary Ocean Grand Chemicals, obtained a court order Monday to appointed provisional liquidator in protecting its assets as it reported that more that 600 million RMB of its assets had been stolen last week.

When asked about the affection of the incident Wednesday, Secretary for Financial Services and the Treasury Frederick Ma said, "I don't think one incident as such would affect investors' confidence in Hong Kong's financial market."

He added, "Hong Kong has a very good regulatory regime, and the government and the regulatory bodies are very, very concerned about protection of investors' interests."

The scandal made bondholders, bankers and other creditors worried about their money and promoted the company to seek solvency protection.

Meanwhile, the provisional liquidators are expected to identify the problems and seek ways for debt restructuring. They predicted that the creditors cannot get their money unless there is "a white knight" to buy out the two companies.

Some related sources said including the money disappeared earlier, the total amount of money lost can be 1.2 billion RMB. Enditem

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