According to Companies (Winding Up and Miscellaneous Provisions) Ordinance (Cap. 32) of Hong Kong, a limited company may be wound up by the court in the circumstances set out below: 

1. the company is unable to pay a debt of $10,000 or above; 

2. the court is of the opinion that it is just and equitable that the company should be wound up; or 

3. the company has by special resolution resolved that the company be wound up by the court.

Winding-up can be initiated by creditors, shareholders or the company itself, and is divided into compulsory and voluntary winding-up.

Once the court issues a winding-up order, any disposition of the company’s property is invalid, and the liquidator will take over the company, its collection and sale of all its assets, and the debts of creditors have been repaid. 

In many cases, during the winding up process, allegations of commercial crimes or other civil lawsuits will arise. Please feel free to contact us to learn more.