SFC obtains continuation of worldwide freezing orders against Lo Kai Bong and Major Success Group Limited

Extension of Worldwide Freezing Orders

On September 18, 2026, the Securities and Futures Commission (""SFC"") announced that it had obtained from the Court of First Instance an extension of worldwide freezing orders against Mr Lo Kai Bong—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"). The orders prohibit both parties from removing, disposing of, dealing with or diminishing the value of their assets, whether situated in Hong Kong or elsewhere, up to a total aggregate value of HK$146,859,320. The freezing orders shall remain in force until final determination of the SFC's proceedings under section 214 of the Securities and Futures Ordinance (""SFO"") or further order of the Court.

Background: Section 214 Proceedings

The SFC commenced its proceedings under section 214 of the SFO in September 2024 against Mr Lo, LET, Summit Ascent and Major Success. In those proceedings, the Commission seeks, among other remedies, a share repurchase order to protect the interests of independent shareholders of LET and Summit Ascent, as well as the appointment of a receiver and/or manager over certain assets to facilitate implementation of any relief ultimately granted by the Court.

Court's Findings on the February 2026 Restructuring

In its decision, the Court examined a corporate restructuring carried out in February 2026 pursuant to which certain assets of LET and Summit Ascent—including interests in land parcels situated in Japan—were transferred to Major Success at Mr Lo's direction. The Court determined that this restructuring had been undertaken for Mr Lo's personal benefit and effectively placed the relevant assets beyond the reach of reliefs sought by the SFC. Accordingly, the Court was satisfied a real risk of asset dissipation existed and ruled that the freezing orders should continue.

Procedural History and Costs Order

The worldwide freezing orders were originally granted on 11 June 2026 under the Chabra jurisdiction, given that Major Success—a company incorporated in the British Virgin Islands—was wholly owned by Mr Lo as sole shareholder and director, rendering its assets potentially beneficially available to satisfy any judgment debt obtained against him. Following a substantive hearing held on 26 August 2026, the Court ruled on 11 September 2026 that the freezing orders should continue in force and ordered both Mr Lo and Major Success to bear the SFC's costs of the extension application.

Statement by the Executive Director of Enforcement

The SFC's Executive Director of Enforcement, Mr Michael Duignan, stated: "The SFC welcomes the Court's decision to continue the freezing orders. Preserving assets is essential to ensuring that effective remedies remain available for investors should the Court ultimately grant the relief sought in these proceedings. The SFC will continue to take decisive action to prevent the dissipation of assets and to protect the interests of investors and uphold the integrity of Hong Kong's markets."

Scheduled Trial Date

The trial for the SFC's section 214 proceedings is scheduled to commence on 20 September 2027.

Supplementary Information on Listed Entities and Case Reference

LET and Summit Ascent were listed on the Main Board of The Stock Exchange of Hong Kong Limited on 22 February 2007 and 10 January 1994, respectively, prior to their delisting on 1 September 2025. Summit Ascent is a subsidiary of LET, with 69.66% of its shares indirectly held by the parent company. At all material times, LET and its subsidiaries (including Summit Ascent) were principally engaged in: the development and operation of a resort in the Philippines; the operation of a hotel and gaming business in Russia; property development in Japan; and the management and operation of shopping malls on Chinese Mainland. The judgment is available for reference on the Judiciary's website under Case No. HCMP 1811/2024.