Event and Time
Event Description
- On 26 October 2021, six charges of contempt of court were found proven against Lionel Lin Shi, the first defendant.
- The charges involved breaches of a freezing order prohibiting the disposal of assets valued up to $3 million.
- The Freezing Order was initially made on 11 June 2020 and was aimed at protecting the plaintiffs' interests.
Application and Claims
- The plaintiffs alleged that Mr. Shi committed contempt by:
- Refinancing property despite the Freezing Order (Charge 1). - Disposing of $464,750 from the refinancing proceeds (Charge 2). - Entering contracts for the sale of property in violation of the order (Charges 5 and 6). - Making payments to his family members from a company below the asset threshold (Charges 3 and 4).
- Mr. Shi contended that his actions were not intentional and denied the allegations of acting wilfully or deliberately.
Judicial Decisions
- Following the penalty hearing, the judge determined that while Mr. Shi's actions were reckless, they were not deliberate or contumacious.
- The judge decided against imposing a custodial sentence, suggesting that such a penalty would be a last resort.
- Instead, fines were levied and a community service condition was imposed.
Dispute Points and Legal Basis
Dispute Points
- Plaintiffs' Claims:
- Asserted that Mr. Shi's breaches were deliberate and contumacious. - Argued that he bore the burden of proof to show his actions were not intentional. - Submitted that the seriousness of the breaches warranted a custodial sentence due to general deterrence considerations.
- Mr. Shi's Defense:
- Claimed that he did not act contumaciously or intentionally breach the order. - Denied bearing the onus of proof regarding the nature of his contempt. - Proposed that a fine was appropriate, suggesting community service as an alternative to imprisonment.