Hong Kong government seeks to wind up Next Digital and hammer final nail in coffin of Jimmy Lai’s media company
- Financial secretary applies to court for permission to close down publisher of defunct Apple Daily, a move authorities say is in the public interest
- Earlier this month, government-appointed special inspector submitted an interim report on alleged illegal activities at the company
Financial Secretary Paul Chan Mo-po filed a petition to the Court of First Instance to liquidate the 40-year-old firm under powers granted by the Companies Ordinance and a hearing was scheduled for December 15, the government said on Wednesday.
Next Digital has been a key target of authorities in the wake of the adoption of the national security law in June last year. Police arrested Lai a month after the law kicked in and raided the company’s offices in Tseung Kwan O. Apple Daily, known for its support of the 2019 anti-government protests and its backing of the opposition camp in Hong Kong, published its final edition on June 24. Authorities have also frozen HK$18 million (US$2.3 million) of Next Digital’s assets.
Chan appointed the managing director of BDO accounting firm, Clement Chan Kam-wing, in late July to look into allegations of illegal activities at Next Digital and deliver a report in six months. The special inspector submitted his interim findings to the minister on September 14.
“After considering the interim report, the financial secretary took the view that it would be expedient in the public interest that Next Digital be wound up, and therefore decided to present a winding up petition to the court,” the government said.
