Monday 1st June 2015

Dear Reader,

Shareholder activism in HK is difficult, but not impossible...

Porky Yorkey, Round 2
Webb-site urges shareholders to vote against connected transactions with the largest shareholder and urges the board to distribute the surplus cash, which has grown fatter since our previous campaign in 2013. We also warn Citibank not to stuff the ballot with a discretionary proxy appointed by management as they did at the 2014 AGM. (1-Jun-2015)

Principles of Responsible Regulation
Webb-site calls on the SFC, Government and HKEx to get serious about facilitating investor stewardship. Principles of Responsible Ownership are only useful if regulators address the deficiencies in Hong Kong's governance framework for listed companies. We call on readers to make a submission too, and support our proposed Principles of Responsible Regulation. (26-May-2015)

SFC calls for proactive investors: Will more David Webbs emerge?
EJinsight, 30-May-2015
We hope so! Nice pic - taken during SARS in 2003.

PECS Register monthly update
HK Government, 29-May-2015

SFC statement on Hanergy (0566)
SFC, 28-May-2015
We note that this refers to an investigation "into the affairs of" Hanergy, not just into dealings in its shares. In our view the suspension of the stock is now likely to continue for quite a while.

Guru Online (8121) allotments and concentration warning
Company announcement, 28-May-2015

Former licensee Wong Chun convicted of false trading in Sino-Tech (0724)
SFC, 27-May-2015
Note: to put the 200m shares in perspective, there were 9,583m shares outstanding on 31-Jan-2011 so this is just over 2%.

Lau Tin Cheung v Tianjin Development (0882)
HK Court of Appeal, 27-May-2015

REDA v Building Authority
HK Court of Appeal, 27-May-2015
Can developers file building plans for land they don't own and have no realistic prospect of controlling? The case leapfrogs the Court of Appeal and goes to the Court of Final Appeal. This is about developers' ability to get approvals before plot ratios or height limits are reduced by rezoning, thereby giving them an advantage when bidding for the land against those who lack those approvals.

Athena Choi Hoi Shuen v Choi Kim Lui
HK Court of First Instance, 27-May-2015

Concentration warning in KSL (8170)
SFC, 26-May-2015

SFAT affirms SFC decision, Sun Xiao, ex-Mount Kellett Capital, banned for 13 months
SFC, 26-May-2015

i-Control (8355) allotments and concentration warning
Company announcement, 26-May-2015

And much more besides...
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