Charity bids for Wang's estate
Updated: 2012-12-19 06:53
By Timothy Chui(HK Edition)
|
|||||||
Foundation board should have control over late tycoon's fortune of HK$82 b: Counsel
Counsel for the Chinachem Charitable Foundation (CCF) contended in the High Court on Tuesday that the nature of the will left by the late Nina Wang implies that "Asia's wealthiest woman" wanted the foundation to continue to serve as the conduit for her business empire's charitable activities.
Frank Hinks, appearing for the foundation, noted that Wang had chosen the foundation to funnel charitable donations by Chinachem Group businesses to causes identified by Wang during her lifetime. Hinks contended that the language of her hand-made will implied it was Wang's wish that Chinachem Charitable Foundation remain in that role after her death.
The government, saying it is acting to ensure that the public good is served, seeks to bind Chinachem to conditions as trustee of the estate, as the corporate charity prepares to take control of the HK$82 billion fortune.
Hinks told the court that the government's petition that Chinachem be constrained to act only as trustee to the estate was "wholly artificial and unnecessary".
The fortune, amassed by Wang and her late husband Teddy, became the focus of two epic probate battles spanning more than a decade that saw control of the estate change hands four times.
The hand-made quality of Wang's will, drafted with the help of two sisters, lacked the precision of a document written by a lawyer, and has given rise to different interpretations. What is not in doubt is that the money will go to the CCF and be used for charity. What is in doubt is whether the CCF will be bound by court ordered rules as to how the money is dispersed. If the foundaton holds the decisions on how the money is dispersed, it would be left solely at the discretion of the foundation's five-member board of directors, which will have final authority as to how closely it applies Wang's last wishes.
The courts serve as the final arbiter of wills. The will left by Nina Wang includes stipulations that the estate should pay for the education of her late-husband's family and the employees and children of Chinachem businesses. Wang also wrote in her will that she wished for a new supervisory body to be formed, consisting of the premier of the People's Republic of China, the secretary general of the United Nations (UN) and the Chief Executive of Hong Kong.
Hinks argued the very fact that Wang included the UN secretary general as a possible head of the foundation's new supervisory body was a proof that her clauses could be interpreted more reasonably as suggestions than specific directions.
With the secretary general unlikely to participate in such a body, owing to potential conflicts with the international body's charter, the London barrister said it would be impossible to follow Wang's direction to the letter and that she herself made no mention of "trust" or "trustees" in her will.
He said even though Wang was a highly successful Chinese businesswoman, it was likely she was unaware of the trustee arrangement, which he described as a British invention.
Hinks said the courts could direct the foundation that it was obligated to provide the education services stipulated in the will through a secondary arrangement, or it could recognize the foundation's wish, which would be that the court declare that clause to contain non-binding suggestions.
Responding to stated concerns that the charity may change its objectives after taking control of the estate, Hinks countered, the foundation may very well need to change its mission statement to apply Wang's wishes, given that the estate would affect an enormous change in the CCF's financial means.
The hearing is to conclude on Wednesday, leaving Justice Jeremy Poon Shiu-chor to render judgment at a later date.
tim@chinadailyhk.com
(HK Edition 12/19/2012 page1)