In her will, the late Mrs Nina Wang, the Chinachem Group’s co-founder and owner, left her entire shareholding in the Group to charity.
Following her death, litigation ensued and ultimately the Hong Kong Secretary for Justice, in his capacity as Protector of Charities, participated in the relevant proceedings in order to ensure Mrs Wang’s testamentary wishes were effectively carried out. These wishes included having a trustee (the “Trustee”) to oversee the Chinachem Group’s operations and to carry out certain charitable objectives. Her wishes also included the establishment of a supervisory managing organisation (“SMO”) to supervise the Trustee.
The Chinachem Group’s business operations are currently under the oversight of Court appointed administrators from PwC (the “Administrators”) and are managed by a team of full-time executives under the leadership of the Chief Executive Officer who reports to the board of directors of Chinachem Group Holdings Limited (the “Board”). The Board is currently comprised of certain executive and non-executive directors, including representatives of the Administrators.
In May 2024, the Hong Kong High Court approved a scheme (the ”Scheme”) governing how the Chinachem Group should be operated and managed by the Trustee going forward. The Scheme also contained provisions on how the Trustee should carry out the charitable activities envisioned by Mrs Wang and how the SMO should supervise the Trustee.
In November 2024, the Hong Kong High Court appointed Nina Wang Charity Management Limited, a newly established entity, as the Trustee under the Scheme.
The Trustee will be run and managed by a board of governors (akin to a board of directors of a private company). The Secretary for Justice is in the process of appointing its governors. The Chinachem Group will remain under the supervision of the Administrators pending such appointments and the Trustee commencing its operations after which time the ownership and oversight of the Chinachem Group will be transferred to the Trustee.
Pursuant to the Scheme, the SMO should be comprised of three independent individuals of unquestionable integrity, experience and judgment. In January 2025, the Secretary of Justice appointed Mrs Rita Fan Hsu Lai-tai, Mr Joseph Yam Chi-kwong and Mr Cheng Yan Kee as the inaugural members of the SMO.
It is important to note that under the Scheme the Trustee will carry out Mrs Wang’s envisioned charitable activities, not the Chinachem Group. The Chinachem Group is and will remain a profit-making enterprise that will channel a portion of its profits to the Trustee to help it fund its charitable aims and objectives. Pursuant to Mrs Wang’s wishes, the remainder of the Chinachem Group’s profits will be re-invested into its various businesses to enable it to continue to grow and prosper.
