Professional negligence claims by liquidators of listed Hong Kong company against auditor

On a confidential basis, we provided finance for US$200m professional negligence claims against an auditor relating to the collapse of a substantial listed gold and jewelry business. Investigations identified an alleged long-running, multi-million-dollar fraud involving former management. The claim was successfully resolved in June 2017 following mediation and Hong Kong court approval of the confidential settlement terms. In this matter, the Hong Kong courts gave approval to the liquidators to enter into a litigation funding agreement with Omni Bridgeway – one of the first such approvals to be granted for insolvency proceedings in Hong Kong.