A Hong Kong court has significantly strengthened an injunction against the former wife of China Evergrande Group's founder, granting liquidators greater control over US$220 million in assets located across multiple jurisdictions including Canada.
Expanded Legal Powers for Asset Recovery
The ruling from Hong Kong High Court Judge Russell Coleman provides liquidators with enhanced authority to pursue assets held by Ding Yu Mei, the ex-wife of Evergrande founder Hui Ka Yan. The decision came during a hearing on Wednesday and represents a crucial procedural victory for those tasked with untangling one of the world's largest corporate failures.
Judge Coleman stated the expanded injunction was "necessary for ensuring the effectiveness" of the original court order. This development comes nearly two years after Evergrande's spectacular collapse, which left creditors owed approximately US$6 billion.
Canadian Assets Feature Prominently in Freeze
Court documents reveal that Ding holds approximately $137 million (US$97 million) across three separate Canadian bank accounts. These Canadian assets form a substantial portion of the total frozen holdings, which also include accounts in Gibraltar, Jersey, and Singapore.
The original asset freeze against Ding was first implemented by the Hong Kong High Court in 2024, followed by a similar order from a UK court. The latest ruling strengthens these existing measures and provides liquidators with more robust legal tools to pursue asset recovery.
Challenging Recovery Process Continues
Despite these legal victories, the process of actually recovering assets and repaying creditors has proven slow and challenging. Liquidators have increasingly focused their efforts on the personal wealth of key figures connected to Evergrande, including founder Hui Ka Yan and former chief executive Xia Haijun.
To date, no funds have been returned to creditors through these efforts, highlighting the complexity of untangling the corporate wreckage. The expanded injunction represents another step in what has become a protracted legal battle spanning multiple countries and legal systems.
The case continues to draw international attention as one of the most significant corporate collapses in recent history, with implications for global markets and cross-border bankruptcy proceedings.
