Hong Kong SFC obtains order to extend global freezing injunction against Lo Hin Yat and Major Success Group Limited

The Securities and Futures Commission (SFC) of Hong Kong has obtained an order from the Court of First Instance to extend a global freezing injunction against Lo Hin Yat (male), the chairman, executive director and controlling shareholder of LET Group Holdings Limited (LET) and Summit Ascent Holdings Limited (Summit Ascent), and Major Success Group Limited (Major Success), in connection with suspected corporate misconduct. The freezing injunctions prohibit Lo and Major Success from removing, disposing of, dealing with, or diminishing the value of their assets in Hong Kong or elsewhere, up to a total value of HK$146,859,320. The injunctions will remain in effect until the final determination of the SFC's legal proceedings under section 214 of the Securities and Futures Ordinance (SFO) or further order of the court. The SFC had previously obtained these freezing injunctions in its proceedings under section 214 of the SFO against Lo, LET, Summit Ascent and Major Success. In those proceedings, the SFC seeks, among other remedies, court orders including a share buy-back order to protect the interests of independent shareholders of LET and Summit Ascent. The SFC also seeks the appointment of receivers and/or administrators to take over certain assets in order to enforce any relief the court may ultimately grant. In its ruling, the court considered a restructuring carried out in February 2026. Under that restructuring, certain assets of LET and Summit Ascent (including interests in certain land parcels in Japan) were transferred to Major Success at Lo's direction. The court found that the restructuring was carried out for Lo's personal benefit and resulted in those assets being placed beyond the scope of the relief sought by the SFC in the section 214 proceedings. The court was satisfied that there was a substantial risk of dissipation of the assets and that the freezing injunctions should be extended. The court initially granted the orders on 11 June 2026. After a substantive hearing on 26 August 2026, the court ruled on 11 September 2026 that the freezing injunctions should be extended. The court also ordered Lo and Major Success to pay the SFC's costs of the application to extend the orders. Mr Michael Duignan, Executive Director of the SFC's Enforcement Division, said: "The SFC welcomes the court's decision to extend the freezing injunctions. Preserving assets is crucial to ensuring that investors can obtain the remedies sought in this case after the court ultimately approves them. The SFC will continue to take decisive action to prevent the dissipation of assets and to protect investors' interests and uphold the integrity of Hong Kong's market." The trial of the SFC's section 214 proceedings will commence on 20 September 2027.