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In wake of store closures, California Fitness staff stage protest march to Hong Kong police headquarters

Trade unions estimate HK$1 billion in consumer losses and HK$10 million in overdue wages

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Many employees were caught by surprise when the chain closed its outlets. Photo: Sam Tsang

Hong Kong’s troubled California Fitness chain closed all its branches yesterday, as dozens of staff filed a formal complaint at police headquarters about funds being illegally transferred out of the company.

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The city’s consumer watchdog also scrambled to advise gym goers on minimising their losses – an estimated 100,000 members have been left in limbo.

Led by pro-establishment lawmaker Bill Tang Ka-piu, around 30 of the chain’s 500 unpaid employees marched to police headquarters in Wan Chai yesterday to accuse owners of financial irregularities at JV Fitness, operator of California Fitness, mYoga and Leap.

Trade unions estimated that consumer losses could top HK$1 billion while overdue wages exceeded HK$10 million.

The Consumer Council urged customers to contact their banks for possible refunds and termination of further auto-payments.

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The watchdog advised JV Fitness and landlords of premises rented by the company to make arrangements for customers to retrieve their personal belongings, which have been locked in the city’s 12 closed outlets.

The sudden city-wide closure of California Fitness and its sister gym centres, effective today, came after internal announcements were circulated among staff on Monday night, informing them that the chain’s assets had been frozen pending a winding-up petition.

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