{"id":"court_ctb_1200_0","court":"CTB","case_no":"22-50073","doc_number":1200,"sub_number":0,"doc_type":"ORDER","filed_date":"2022-12-06","title":"UNITED STATES BANKRUPTCY COURT DISTRICT OF CONNECTICUT BRIDGEPORT DIVISION In Re \\* Case No. 22-50073 (JAM) \\* HO WAN KW","summary_zh":null,"summary_en":null,"body_en":"UNITED STATES BANKRUPTCY COURT DISTRICT OF CONNECTICUT BRIDGEPORT DIVISION In Re \\* Case No. 22-50073 (JAM) \\* HO WAN KWOK and GENEVER \\* HOLDINGS CORPORATION, \\* Bridgeport, Connecticut \\* November 21, 2022 Debtor. \\* \\* \\* \\* \\* \\* \\* \\* \\* \\* \\* \\* \\* \\* \\* \\* \\* \\* TRANSCRIPT OF MOTION FOR ORDER and MOTION SETTING STATUS CONFERENCE BEFORE THE HONORABLE JULIE A. MANNING UNITED STATES BANKRUPTCY JUDGE APPEARANCES: For the Debtor, Mei Guo and ERIC A. HENZY, ESQ. HK International: Zeisler & Zeisler, P.C. 10 Middle Street, 15th Floor Bridgeport, CT 06604 For the Creditor, Pacific ANNECCA SMITH, ESQ. Alliance Asia Opportunity Robinson & Cole Fund L.P.: 28 Trumbull Street Hartford, CT 06103 STUART SARNOFF, ESQ. PETER FRIEDMAN, ESQ. O'Melveny & Myers LLP Times Square Tower 7 Times Square New York, NY 10036 Chapter 11 Trustee: LUC A. DESPINS, ESQ. Paul Hastings LLP 200 Park Avenue New York, NY 10166 Proceedings recorded by electronic sound recording, transcript produced by transcription service. **Fiore Reporting and Transcription Service, Inc. 4 Research Drive, Suite 402 Shelton, Connecticut 06484 (203)929-9992**\n\nAPPEARANCES: (Cont'd.) For the Chapter 11 PATRICK R. LINSEY, ESQ. Trustee and Genever, Neubert Pepe & Monteith, PC BVI and Genever U.S.: 195 Church Street New Haven, CT 06510 For the U.S. Trustee: HOLLEY L. CLAIBORN, ESQ. Office of the United States Trustee The Giaimo Federal Building 150 Court Street, Room 302 New Haven, CT 06510 For the Creditors Committee: IRVE GOLDMAN, ESQ. Pullman & Comley 850 Main Street Bridgeport, CT 06601 For Logan Cheng, Creditor: JAY MARSHALL WOLMAN, ESQ. Randazza Legal Group, PLLC 100 Pearl Street Hartford, CT 06103\n\n2\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 3 of 29\n\nHo Wan Kwok and Genever Holdings Corp. - November 21, 2022 3 (Proceedings commenced at 2:15 p.m.) THE COURTROOM DEPUTY: Case no. 22-50073, Ho Wan Kwok. THE COURT: Good morning. If we could have appearances for the record, starting with the Chapter 11 Trustee, please. MR. DESPINS: Good morning, Your Honor. Luc Despins, Chapter 11 Trustee. THE COURT: Good morning. MR. BASSETT: Good afternoon, Your Honor. Nick Bassett, from Paul Hastings, on behalf of the Chapter 11 Trustee. MR. LINSEY: Good afternoon, Your Honor. Patrick Linsey, Connecticut counsel for the trustee. THE COURT: Good afternoon. And counsel for the debtor? MS. CLAIBORN: Good afternoon, Your Honor. Holley -- oh, sorry. THE COURT: Go ahead, Attorney Claiborn. MS. CLAIBORN: Good afternoon, Your Honor. Holley Claiborn for the U.S. Trustee. THE COURT: Good afternoon. MR. GOLDMAN: Good afternoon, Your Honor. Irve Goldman, Pullman and Comley, representing the creditors committee.\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 4 of 29\n\n| | Ho Wan Kwok and Genever Holdings Corp. - November 21, 2022
4 |\n|----|-----------------------------------------------------------------|\n| 1 | THE COURT:
Counsel for the debtor, please. |\n| 2 | MR. HENZY:
Eric Henzy, of Zeisler and Zeisler, |\n| 3 | for the debtor. |\n| 4 | MR. KINDSETH:
Stephen Kindseth, also of Zeisler |\n| 5 | and Zeisler, for the debtor. |\n| 6 | MR. MORIARTY:
James Moriarty, Zeisler and |\n| 7 | Zeisler, for the debtor as well as -- since we're going to |\n| 8 | be discussing the PJR, Ms. Guo and HK USA. |\n| 9 | THE COURT:
Okay.
Good afternoon.
Counsel for |\n| 10 | PAX. |\n| 11 | MR. FRIEDMAN:
Peter Friedman, Your Honor, from |\n| 12 | O'Melveny and Myers, on behalf of PAX. |\n| 13 | MR. SARNOFF:
Stuart Sarnoff, from O'Melveny and |\n| 14 | Myers, on behalf of PAX. |\n| 15 | MS. SMITH:
Annecca Robinson and Cole, also on |\n| 16 | behalf of PAX as Connecticut counsel. |\n| 17 | THE COURT:
Good afternoon.
And then counsel for |\n| 18 | the creditor, Mr. Cheng. |\n| 19 | MR. WOLMAN:
Good afternoon, Your Honor.
Jay |\n| 20 | Wolman, of Randazza Legal Group, for creditor, Logan Cheng. |\n| 21 | THE COURT:
Okay.
Good afternoon. |\n| 22 | So on the calendar today is a status conference |\n| 23 | and I see, Trustee Despins, that you filed an agenda for the |\n| 24 | status conference.
So you go right ahead and proceed with |\n| 25 | your agenda, please. |\n| | |\n\n| | Ho Wan Kwok and Genever Holdings Corp. - November 21, 2022
5 |\n|----|-----------------------------------------------------------------|\n| 1 | MR. DESPINS:
Thank you, Your Honor. |\n| 2 | The first item on the agenda is a modification -- |\n| 3 | a propose modification, because that's subject to Your |\n| 4 | Honor's availability, but the proposed modification for the |\n| 5 | schedule regarding the trustee's application seeking pre |\n| 6 | preliminary judgment remedy and also a preliminary |\n| 7 | injunction. |\n| 8 | The parties -- meaning the parties, the trustee |\n| 9 | and the debtors and Hong Kong -- a company called Hong Kong, |\n| 10 | Inc., the debtor's daughter, all counsel have conferred |\n| 11 | regarding a proposed modified schedule, which would be -- |\n| 12 | and we were told there is an agreement on this as follows. |\n| 13 | Mr. Moriarty can correct me if I got this wrong, |\n| 14 | but the objection memorandum of law to be filed by the other |\n| 15 | side of the trustee -- so there's a number of parties there, |\n| 16 | but, you know, Hong Kong, Ms. Guo, would be filed on the |\n| 17 | 22nd of November, tomorrow, by 5:00 p.m. |\n| 18 | They could file one consolidated memorandum that |\n| 19 | would exceed the page limit.
That would be 35 pages total. |\n| 20 | The witness and exhibit list would be exchanged by the |\n| 21 | parties by tomorrow at 5:00 p.m. as well. |\n| 22 | Depositions would take place between December 1st |\n| 23 | and December 7th.
Supplemental exhibit list and rebuttal |\n| 24 | experts would be filed by December 8th.
And the hearing, of |\n| 25 | course, subject to Your Honor's availability, would commence |\n| | |\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 6 of 29\n\n| | Ho Wan Kwok and Genever Holdings Corp. - November 21, 2022
6 |\n|----|-----------------------------------------------------------------|\n| 1 | on December 12th, with the same time lag with respect to the |\n| 2 | accounts that's frozen that applied now. |\n| 3 | So I forget exactly the number of days, but it |\n| 4 | would be -- we would mirror that time lag in the new |\n| 5 | situation regarding the timing of the litigation of this |\n| 6 | matter. |\n| 7 | I believe that's the agreement but Mr. Moriarty |\n| 8 | can correct me if I got this wrong. |\n| 9 | MR. MORIARTY:
That's correct, Your Honor. |\n| 10 | Counsel discussed this on Friday and over the weekend. |\n| 11 | We recognize the court's frustration with how the contempt |\n| 12 | hearing went, and based on the length of that hearing we |\n| 13 | thought it would be in everybody's interest if we did not |\n| 14 | try to jam this PJR and injunction hearing, which is |\n| 15 | scheduled for three days, and we still have some discovery |\n| 16 | to do, into what is now a less than ten-day period. |\n| 17 | So we agreed, obviously, with the court being |\n| 18 | available and the court approving it, that we would move out |\n| 19 | the hearings to give ourselves just a little bit more time |\n| 20 | so that we can actually make
presentation to the court that |\n| 21 | doesn't result in what happened last week. |\n| 22 | THE COURT:
Okay.
Well, those dates are fine |\n| 23 | except for the hearing. I have something already scheduled |\n| 24 | on the 12th.
We have things scheduled on the 13th and the |\n| 25 | 14th and we're not going to be able -- if we want three |\n| | |\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 7 of 29\n\nHo Wan Kwok and Genever Holdings Corp. - November 21, 2022 7 consecutive hearing dates, it's going to have to be in January. MR. MORIARTY: That is not something that we had discussed with the trustee, Your Honor, but we are certainly willing to have that discussion and see if we could continue the orders that are in place, if that is something that the trustee would like to have a discussion about. 8 MR. DESPINS: We're okay with that, Your Honor. I mean, I assume you would be. 10 THE COURT: Well, the first three consecutive days would be January 9, 10 and 11 and the 10th would actually be only part of that day because we have things scheduled on the 10th as well, or you have to go to the next week. The 16th, 17th and 18th of January. 15 MR. DESPINS: I think, Your Honor, we should start on the 9th. MR. MORIARTY: And that would be fine from the standpoint of the respondents, provided that we have to have a discussion with our client and confirm that the existing orders regarding the funds that are at issue that are effectively frozen can continue to be frozen. And we can have that discussion today. 23 THE COURT: Okay. January 9th, the schedule is open. January 10th would only be part day, part in the morning until noon, I think. And then January 11th looks\n\nHo Wan Kwok and Genever Holdings Corp. - November 21, 2022 8 like it's a part day as well. I may you may get till 2:00 p.m. or something. Otherwise, the next week, it doesn't have the same scheduling issues as much. So the 16th, 17th and 18th are more open than the 10th and 11th. The 9th is open, but the 10th and -- well, actually, is January 16 a holiday? THE COURTROOM DEPUTY: It is. 8 THE COURT: So it's not the 16th. 9 MR. DESPINS: MLK. 10 THE COURT: So it would have to be the 17th, 18th and 19th of January, Tuesday, Wednesday, Thursday. So you all have to figure that out and let me know what works for you. But three consecutive days, it's not going to start until the 9th of January at the earliest and then there'll be somewhat chopped up. At least the 10th will definitely be chopped up. And then the 11th you might only have until the middle of the afternoon, or you go the next week, the 17th, 18th and the 19th. Or you go the following week, the 23rd, the 24th and 25th. But that's up to you. You all will have to discuss it and we'll go from there. Okay? MR. DESPINS: Thank you, Your Honor. So the next matter on the agenda is just an update on the transfer of venue of Genever Holdings LLC. You know Case 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 8 of 29\n\nHo Wan Kwok and Genever Holdings Corp. - November 21, 2022 9 that's a New York case. So there's an action pending that we had to file in that case because the two-year statute of limitation of 5.6 was about to expire and we had to file that before the transfer of venue. That action was transferred here. We already had filed an action against -- in the individual case of Mr. Kwok that was basically a mirror of that action against Bravo Luck. The only one that doesn't have that (indiscernible) pending at this point is the BVI entity. So what we're proposing to do is to amend and restate all of this into one action against -- that would involve these three parties. So, of course, we need to do that, meaning to include BVI, Genever BVI and so that would be the (indiscernible), Your Honor. So obviously dates would have to be reset based on that. But we wanted you to know that -- and by the way, that action is with respect to owns the Sherry Netherland apartments. 21 And so that's the game plan. I want to make sure Your Honor was aware of that. THE COURT: So are you going to be moving to consolidate the adversary proceedings? Is that what you're saying?\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 10 of 29\n\n| | Ho Wan Kwok and Genever Holdings Corp. - November 21, 2022
10 |\n|----|------------------------------------------------------------------|\n| 1 | MR. DESPINS:
Yes.
Yes, Your Honor. |\n| 2 | THE COURT:
Okay. |\n| 3 | MR. DESPINS:
Once we have amended to include |\n| 4 | Genever BVI in it we would do that, yes. |\n| 5 | THE COURT:
Okay. |\n| 6 | MR. DESPINS:
The next matter is the trustee's |\n| 7 | application in the U.K.
I wanted to make sure Your Honor |\n| 8 | was aware of this. |\n| 9 | On October 21st we filed the (indiscernible) |\n| 10 | application to have these cases recognized in the UK as |\n| 11 | foreign proceedings to allow us to take discovery, but also |\n| 12 | to allow us to get information regarding the UBS litigation. |\n| 13 | And the only party that objected to this was Ace |\n| 14 | Decade and its subsidiary, Dawn State. |\n| 15 | And I'm not making this up.
They objected saying |\n| 16 | that we were moving too fast and as to -- contribute to |\n| 17 | these UK lawyers, they were able to find the sentence in the |\n| 18 | stipulated order that said that we were adjourning the PJR |\n| 19 | because at the time there were negotiations ongoing with the |\n| 20 | debtor and they made that point to the UK court that there's |\n| 21 | no need to rush this because there were settlement |\n| 22 | discussions going on in the U.S. |\n| 23 | Of course, I'm being facetious and it's clear that |\n| 24 | we were (indiscernible)
that information from the Kwok |\n| 25 | team, whoever that is. I hope it doesn't include Zeisler. |\n| | |\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 11 of 29\n\n| | Ho Wan Kwok and Genever Holdings Corp. - November 21, 2022
11 |\n|----|------------------------------------------------------------------|\n| 1 | So they're the ones who objected and have been |\n| 2 | asked to have a trial in the UK because they're arguing that |\n| 3 | (indiscernible)
based on the appeal that was filed |\n| 4 | regarding my appointment, et cetera, et cetera. |\n| 5 | So that is ongoing but I thought it was important |\n| 6 | for Your Honor to understand that Ace Decade was mounting |\n| 7 | this battle against (indiscernible)
in the UK.
So that |\n| 8 | will be heard in December, Your Honor, but not |\n| 9 | (indiscernible)
but in -- before the UK courts. |\n| 10 | The next item on the agenda, Your Honor, is the |\n| 11 | update regarding the (indiscernible)
debtor's continued |\n| 12 | cyberbullying.
And we filed a statement, Your Honor, and I |\n| 13 | don't think it needs to be very complicated. |\n| 14 | There's a redacted version, and I'm saying this, |\n| 15 | to Mr. Wolman. It's redacted and filed under seal only to |\n| 16 | tide things like how many daughters do I have, where my |\n| 17 | daughters live and all the cites to the actual videos, |\n| 18 | because we don't want to be fueling the fire that has been |\n| 19 | commenced by the debtor and his team on this.
That's why |\n| 20 | this was filed under seal. I hope Mr. Wolman will see it and |\n| 21 | not object to that filing under seal. |\n| 22 | PAX got the full document.
The reason he gave me |\n| 23 | it is that their subject -- and their executives and the |\n| 24 | kids of these executives are subject to the same |\n| 25 | cyberbulling attacking and picketing of their houses. |\n| | |\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 12 of 29\n\n| | Ho Wan Kwok and Genever Holdings Corp. - November 21, 2022
12 |\n|----|------------------------------------------------------------------|\n| 1 | That's (indiscernible
to me and my daughter and my ex-wife |\n| 2 | and that's why they got the full document and so did the |\n| 3 | U.S. Trustee, because we're not concerned that the U.S. |\n| 4 | Trustee would somehow repeat or divulge these various |\n| 5 | sources of information. |\n| 6 | But we're asking that the rest of the statements - |\n| 7 | - by the way, we redacted the minimum, meaning anybody |\n| 8 | reading the statement would see exactly what's going on |\n| 9 | except they wouldn't know the daughters I have and where |\n| 10 | they're working and where they're living, et cetera, et |\n| 11 | cetera. |\n| 12 | So I know this is a lot at the same time meaning - |\n| 13 | - but it's asking in real time, Your Honor, meaning this was |\n| 14 | happening over the weekend, it's happening today and we |\n| 15 | filed the statement so that Your Honor has the full picture. |\n| 16 | And we say in the statement, and I don't say this lightly, |\n| 17 | this is all about the Chapter 11 case. |\n| 18 | The fact that this is happening now when there's a |\n| 19 | motion to hold the debtor in contempt is no accident.
This |\n| 20 | is part of an orchestrated campaign to intimate and threaten |\n| 21 | the trustee, the court appointed -- a court appointed |\n| 22 | officer and large creditors in the case. |\n| 23 | And, Your Honor, this cannot occur.
This cannot |\n| 24 | happen.
Why?
Forget about me. I can handle this and I'm |\n| 25 | going to handle it. It's not an issue. |\n| | |\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 13 of 29\n\n| | Ho Wan Kwok and Genever Holdings Corp. - November 21, 2022
13 |\n|----|------------------------------------------------------------------|\n| 1 | But the creditors in the case and potential |\n| 2 | witnesses that I'm talking to right now who have a lot of |\n| 3 | information to provide are watching this and thinking wait a |\n| 4 | minute.
If the court or somebody else is not going to |\n| 5 | protect the trustee, who's court appointed, I'm going to be |\n| 6 | -- this is a witness now, I'm going to be subject to the |\n| 7 | same thing and worse. |\n| 8 | And the same thing for claimants.
There are |\n| 9 | people who are giving us detailed claims but they're saying |\n| 10 | how can I hide my identity.
And I'll get to that in a |\n| 11 | second.
At a minimum we need to do that. |\n| 12 | And we need to allow individual claimants to file |\n| 13 | using code names or some other structure, that Your Honor |\n| 14 | would approve, with the U.S. Trustee's input to allow people |\n| 15 | to be able to
(indiscernible) claim. |\n| 16 | And, of course, Zeisler should seek everything, |\n| 17 | because this is not a Zeisler issue.
Let me be very clear. |\n| 18 | I made that clear to Mr. Henzy before.
We are a hundred |\n| 19 | percent confident that they would never be involved in |\n| 20 | something like that.
So they should see everything. |\n| 21 | But we cannot have the debtor using the same |\n| 22 | tactics to intimidate witnesses or people that are filing |\n| 23 | claims. |\n| 24 | So I know you always -- usually the next sentence |\n| 25 | is so, do you have a motion or anything like that? I don't |\n| | |\n\n| | Ho Wan Kwok and Genever Holdings Corp. - November 21, 2022
14 |\n|----|------------------------------------------------------------------|\n| 1 | have a motion, Your Honor, other than the following things. |\n| 2 | One, this should be a referral to the U.S. |\n| 3 | Attorney by this court.
In order to do that, the court does |\n| 4 | not have to make any findings of guilt or anything like |\n| 5 | that, but there's plenty of running smoke in order for Your |\n| 6 | Honor to do that. |\n| 7 | Yes, the U.S. Trustee can do the same thing, but |\n| 8 | it doesn't have the same weight as a federal court does |\n| 9 | (indiscernible)
U.S. Attorney.
That's number one. |\n| 10 | Number two, Mr. Kwok should be called in to |\n| 11 | explain this to the court and subject to cross examination. |\n| 12 | This is -- you now, we're looking for case law on |\n| 13 | this and I couldn't believe it but we found a case where a |\n| 14 | creditor -- no, actually, the debtor kidnaped the daughter |\n| 15 | of the Chapter 11 trustee.
And we cite that case in our |\n| 16 | statement. |\n| 17 | So this is not the same thing but it's really |\n| 18 | close.
When they go to my daughter's house to picket with |\n| 19 | signs that say your father is a scum bag, he's a communist, |\n| 20 | all these things.
They're all there, Your Honor. That is |\n| 21 | intimidation and it cannot be tolerate. |\n| 22 | I know either Mr. Friedman or Mr. Sarnoff are |\n| 23 | living the same thing, not only because of their law firm, |\n| 24 | but because their client's daughters and sons are also being |\n| 25 | bullied in the same fashion, that they will want to be heard |\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 14 of 29\n\nHo Wan Kwok and Genever Holdings Corp. - November 21, 2022 15 on this. But this has to stop. There's just no other way around this. And so that's -- you know, that's where we are. I think maybe Mr. Friedman wants to be heard on this issue. MR. FRIEDMAN: May I, Your Honor? THE COURT: Yes. Thank you. It's Peter Friedman. Your Honor, this is -- could not be more straightforward. It's so simple. This case is going very badly for Mr. Kwok inside the courtroom, as every single case he gets involved in does. So he wants to disrupt it through actions outside the courtroom. Intimidation, harassment, doxing behind a paper thin shield of it's not me. But it's got to stop. These are the quotes from Justice Ostrager that probably started this case. If there's one set of rules for billionaire litigants to avoid justice, to gain the system inside the courtroom, then we have no legal system rule of law at all. But it applies just as equally in the proceedings -- to a litigant in proceedings before you. If a debtor can use social media to try to harass, and dox and intimidate a court appointed fiduciary and the largest creditor, our system doesn't work. Your Honor, I actually believe you have the inherent authority, without any relief being sought, to issue a gag order on Mr. Kwok. Your Honor can determine\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 15 of 29\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 16 of 29\n\nHo Wan Kwok and Genever Holdings Corp. - November 21, 2022 16 that his behavior is disruptive of court proceedings and makes a mockery of what Mr. Despins was appointed to do and what our client is lawfully entitled to do, which is pursue claims free from harassment of its chairman and his chairman's family. The system simply doesn't work otherwise.\n\n Your Honor, we also, however -- if the court doesn't feel like -- that it has the ability to issue an order on its own, I'm prepared to file a preliminary injunction -- to file a complaint and seek a temporary restraining order, which we would ask to be heard as quickly as tomorrow so that the court can exercise its power under Section 105 of the bankruptcy code and (indiscernible) to stop Mr. Kwok from acting. Frankly, we could this ex parte, given how dangerous Mr. Kwok is, because the rules allow for a temporary restraining order on that basis.\n\n However, we do believe in a transparent system, but we will be prepared to file pleadings tonight and would ask to be heard tomorrow unless counsel for Mr. Kwok is willing -- and Mr. Kwok himself is willing to consent to a temporary restraining order until we can have a preliminary injunction hearing.\n\n But the situation is intolerable. People are protesting outside the homes of the chairman of PAX's children. Information about where they live has been put on\n\nHo Wan Kwok and Genever Holdings Corp. - November 21, 2022 17 the internet. There are people protesting outside my office with pictures of me saying I am a CCP agent and spy. There have been comparisons -- Your Honor knows I take my religion seriously. There have been statements re- Tweeted by Mr. Kwok saying that I am akin to a Nazi and a concentration camp guard. And that's not the worst he's done. It's a bad day when the worst thing he's done isn't accuse somebody else of being a Nazi. That's how egregious and shameful his behavior is and, again, it's pointed at one thing, which is to intimidate people from exercising their rights under the legal system, Your Honor. So we will be filing a motion for a temporary restraining order after we file our complaint. We intend to do that tonight. And we would ask the court to hear us tomorrow. Thank you, Your Honor. THE COURT: Thank you. MR. WOLMAN: Your Honor, may I be heard, briefly? THE COURT: Yes. MR. WOLMAN: Thank you. Responding to Mr. Despins, certainly I am sympathetic to his concerns and, you know, I'll leave whatever action the parties want to take against Mr. Kwok to the defense by Mr. Henzy or his firm.\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 17 of 29\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 18 of 29\n\n| | Ho Wan Kwok and Genever Holdings Corp. - November 21, 2022
18 |\n|----|------------------------------------------------------------------|\n| 1 | As to sealing documents, I am concerned there's a |\n| 2 | basis why only PAX has seen an unredacted copy. I don't |\n| 3 | think that this necessarily is something under the |\n| 4 | protective order, the confidentiality order. |\n| 5 | But I should note that it does not sound like the |\n| 6 | trustee's asking for specific relief from this court.
So it |\n| 7 | might not be a judicial document and I'm still assessing |\n| 8 | what the purpose of the filing was.
So it would be a lower |\n| 9 | standard for sealing.
I will concede that to the extent |\n| 10 | relief is not being sought. |\n| 11 | But I am concerned potentially with the breadth of |\n| 12 | redactions. It does sound a bit that perhaps the genie is |\n| 13 | already out of the bottle.
The ad people who have the |\n| 14 | information already have the information at issue and to |\n| 15 | what extent the public otherwise doesn't have access, I'm |\n| 16 | concerned about.
I haven't had a chance to fully read every |\n| 17 | detail of the report. |\n| 18 | But finally, my primary concern is the John Doe |\n| 19 | creditor claims as it were, that -- the methodology for |\n| 20 | doing that because I don't know how a party in interest |\n| 21 | under Section 502 for Rule 3007 might be in a position to |\n| 22 | object to the claim if they don't know who the claimant is. |\n| 23 | THE COURT:
Okay.
Well, that's not before me |\n| 24 | today, so I understand your concern, but no one has filed |\n| 25 | any motion seeking any of that form of relief. |\n| | |\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 19 of 29\n\n| | Ho Wan Kwok and Genever Holdings Corp. - November 21, 2022
19 |\n|----|------------------------------------------------------------------|\n| 1 | MR. WOLMAN:
Your Honor, a revised order was |\n| 2 | submitted to that effect, I believe. |\n| 3 | THE COURT:
Well, I haven't seen it. |\n| 4 | MR. WOLMAN:
The trustee -- |\n| 5 | MR. DESPINS:
Sorry, Your Honor.
This was just to |\n| 6 | let you know not to sign the (indiscernible) order today, if |\n| 7 | you're inclined to do that, because we want to address this |\n| 8 | issue and we don't want to have to amend an order.
We're |\n| 9 | not to address this on this call, but there has to be a |\n| 10 | mechanism to protect the identity. |\n| 11 | And the point I was making, while I was muted, was |\n| 12 | that the trustee is the party that has the right to object |\n| 13 | and he -- I'm a fiduciary and I will object to all claims |\n| 14 | that are not valid. |\n| 15 | And as to others that have an interest, such as |\n| 16 | the creditors committee or the Zeisler firm, they would have |\n| 17 | full access to that information and so they can -- the point |\n| 18 | is that there should not be public dissemination of personal |\n| 19 | information about the claimants because they're at physical |\n| 20 | risk and there's a risk of harm to them.
And there are ways |\n| 21 | of protecting the integrity of the system, I should describe |\n| 22 | it. |\n| 23 | So the actual methodology we use, that's wide |\n| 24 | open.
But the goal is to protect these poor people who are |\n| 25 | believed -- who have either been threatened or believe that |\n| | |\n\nHo Wan Kwok and Genever Holdings Corp. - November 21, 2022 20 they would, but still able to assert a claim within the process. MR. GOLDMAN: Your Honor, may I be heard on behalf of the committee? THE COURT: I said yes. I don't know if you heard me. MR. GOLDMAN: I just wanted to express our support for the trustee's claims for relief here. The level of abuse that is being perpetrated by Mr. Kwok is patent. I've never seen it to this degree in my 37 years of practice, and the trickle effects that it's going to have, as mentioned by Mr. Despins, are real and really has to be addressed in order for the system to work properly. I would point out that the court actually could act *sua sponte* under Section 105(a) to issue any orders that were necessary to prevent an abuse of process, is what the section describes. And as I said, I think that is patent here. So however Your Honor chooses to proceed, whether it's formally based on a set of papers from Mr. Friedman or -- certainly I think you could do it *sua sponte*. That's all I have. THE COURT: Okay. Anyone else wish to be heard? Attorney Henzy, have you discussed these issues with your client, the issues that the Chapter 11 Trustee has raised with regard to -- as it stated on the agenda, social\n\n## Case 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 20 of 29\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 21 of 29\n\nHo Wan Kwok and Genever Holdings Corp. - November 21, 2022 21 media bullying and intimidation? MR. HENZY: Yes. THE COURT: And you had said to me last week, I believe, that I believe that you were informed that certain videos, I believe, would be taken down. Have you had any discussions with your client about whatever's occurred this weekend being stopped? MR. HENZY: Yes. THE COURT: And you have no ability to represent to the court that it will be stopped? MR. HENZY: No. THE COURT: Okay. All right. What else are we going to address this afternoon? Didn't you have an order -- didn't you need an order, Trustee Despins, extending the time frame to remove actions? MR. DESPINS: Yes, I believe Mr. Linsey was going to handle that. I apologize for not putting that on the agenda. MR. LINSEY: We do, Your Honor. We filed a second motion for extension of time to extend the deadline for removal. Given everything that's going on in the case and everything that the trustee is evaluating at the moment, we believe that would be in order.\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 22 of 29\n\n| | Ho Wan Kwok and Genever Holdings Corp. - November 21, 2022
22 |\n|----|------------------------------------------------------------------|\n| 1 | There were no objections to the first motion that |\n| 2 | we filed seeking an extension of time. I haven't seen any |\n| 3 | objections to this motion.
Frankly, we didn't expect them. |\n| 4 | The reason that we sought expedited relief is |\n| 5 | because the current extension expires on December 6th.
So |\n| 6 | we would ask, given that service is proper, given that no |\n| 7 | one has objected, that the court enter that further |\n| 8 | extension, which would carry the existing extension through |\n| 9 | and including April 5th of 2023. |\n| 10 | THE COURT:
Does anyone have any objection to the |\n| 11 | extension of time with regard to the removal of actions that |\n| 12 | has just been recited on the record by Attorney Linsey? |\n| 13 | All right.
Hearing none, then I will take a look |\n| 14 | at that order and that motion will be granted and the order |\n| 15 | will enter, unless there is some issue with the order that |\n| 16 | we will let you know about, okay? |\n| 17 | MR. LINSEY:
Thank you, Your Honor. |\n| 18 | THE COURT:
Thank you. |\n| 19 | MR. FRIEDMAN:
Your Honor -- |\n| 20 | THE COURT:
Yes. |\n| 21 | MR. FRIEDMAN:
It's Peter Friedman. |\n| 22 | So just without knowing where the hearing is going |\n| 23 | from here, would we -- if necessary, would we be able to |\n| 24 | have a temporary restraining order and hearing tomorrow? |\n| 25 | THE COURT:
Well, this isn't a hearing today. |\n| | |\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 23 of 29\n\n| | Ho Wan Kwok and Genever Holdings Corp. - November 21, 2022
23 |\n|----|------------------------------------------------------------------|\n| 1 | It's a status conference.
And the only other thing that was |\n| 2 | scheduled was the extension of time for removal of a civil |\n| 3 | action, which we just addressed.
This was specifically |\n| 4 | requested to be a status conference, so that is what we're |\n| 5 | doing. |\n| 6 | As far as you filing papers, we have hearings |\n| 7 | already scheduled tomorrow in other matters. So I'd have to |\n| 8 | see whatever you file and I'll have to see whatever it is, |\n| 9 | if anything, that the court can address tomorrow. But that's |\n| 10 | where we are. |\n| 11 | I mean, I don't know what the United States |\n| 12 | Trustee's Office's position is with all of this and where |\n| 13 | they stand. I have no idea. |\n| 14 | I understand some things were filed in the last |\n| 15 | hour and a half or less with regard to things that occurred |\n| 16 | outside of court. |\n| 17 | You know, as I said the other day -- I think I |\n| 18 | said -- maybe I said it in a sealed portion of the hearing, |\n| 19 | these -- well, I may have said it -- I don't even recall if |\n| 20 | I said it during a public part of the hearing or a sealed |\n| 21 | part, but these issues are obviously not what anyone was |\n| 22 | anticipating would occur in the case and this is a |\n| 23 | bankruptcy case. |\n| 24 | So you all have to do whatever you think is |\n| 25 | appropriate and we'll go from there. |\n| | |\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 24 of 29\n\nHo Wan Kwok and Genever Holdings Corp. - November 21, 2022 24 But what is the U.S. Trustee's Office -- has the U.S. Trustee's Office seen the information that -- regarding this, apparently, that have occurred over the weekend and today with regard to protests and things of that nature? MS. CLAIBORN: Yes, Your Honor. I have now received a full, unredacted copy of what was filed with the court. I don't have an official position to convey to Your Honor about the release that's been requested, as I was not privy to that in anticipation of the hearing today. But I do want to reiterate what I said last week, which is that the U.S. Trustee is very concerned about the conduct of outside individuals with respect to this case and with respect to Mr. Kwok to the extent that he's involved with it, and that we are taking it seriously and we have been in communications with the appropriate authorities. THE COURT: Okay. Thank you. Okay. Again, you know, I understand what's been said and, obviously, there's very serious issues involved. I haven't reviewed any of it to make any determinations and I'm not sure that I am -- well, we'll just have to see what you file and where we go from there. These are serious issues and they need to be brought and reviewed appropriately. MR. FRIEDMAN: Your Honor, we do believe that there's exigent risk so we will get our papers in and filed\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 25 of 29\n\n| | Ho Wan Kwok and Genever Holdings Corp. - November 21, 2022
25 |\n|----|------------------------------------------------------------------|\n| 1 | as quickly as possible and make ourselves available in |\n| 2 | person or remotely, whatever the court wishes for, so that |\n| 3 | we can have these issues in front of you, because we do |\n| 4 | believe urgent relief is necessary. |\n| 5 | Facts are unfolding in real time.
The pleading |\n| 6 | and the (indiscernible)
is constant and we don't want to |\n| 7 | see any -- you know, it's already troubling.
We obviously |\n| 8 | don't want to see it go any further. |\n| 9 | THE COURT:
I understand. |\n| 10 | MR. DESPINS:
And, Your Honor, the first thing |\n| 11 | people have told me about this case, and Your Honor -- is |\n| 12 | don't ever cite 105 to the bench and the last thing -- but I |\n| 13 | know the feeling.
But if there's ever a situation where 105 |\n| 14 | should be invoked to protect the integrity of the process |\n| 15 | and the court, this is the one. |\n| 16 | I understand you haven't read anything so you |\n| 17 | cannot form an opinion on the spot. Understood.
But I would |\n| 18 | urge Your Honor to read and go and see what was posted about |\n| 19 | high school pictures and my daughters and things like that. |\n| 20 | It's just insanity. |\n| 21 | And they always say, oh, we're going to be |\n| 22 | peaceful.
That's until somebody goes haywire and decides |\n| 23 | they need to take the law in their own hands and by that |\n| 24 | time it will be too late. |\n| 25 | So I am sorry be perhaps overly dramatic about |\n\nHo Wan Kwok and Genever Holdings Corp. - November 21, 2022 26 this, but I really feel very strongly that this is fundamental to the case and to the judicial process. Thank you, Your Honor. THE COURT: Thank you. All right. Is there anything else we can address this afternoon? MR. MORIARTY: Your Honor, James Moriarty. If I could turn back to the pre-judgment remedy and injunction application for one second. The respondent's objection is due today at 5 o'clock and each party is supposed to be filing their witness and exhibit list today at 5 o'clock. Since we are discussing continuing the hearing likely to a date in January, can we assume that those dates are no longer applicable so we do not have to file today? MR. DESPINS: So that will be fine in theory, except if Mr. Kwok decides that he is not willing to maintain the status quo until then, then we're left in a bad spot. So I think that -- we're happy with those dates. Happy to do the January dates, but it has to be with the (indiscernible) continuing. MR. MORIARTY: And that's fine. Mr. Kwok's actually not a party to -- MR. DESPINS: Oh, I'm sorry. Okay. Sorry. Well, the other side of the (indiscernible) needs to agree to that. Case 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 26 of 29\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 27 of 29\n\n| | Ho Wan Kwok and Genever Holdings Corp. - November 21, 2022
27 |\n|----|------------------------------------------------------------------|\n| 1 | MR. MORIARTY:
Yeah, I get the point and I |\n| 2 | understand and I agree with you. |\n| 3 | But at a minimum we had discussed moving it up to |\n| 4 | the 12th and we already have agreement on that. So our dates |\n| 5 | would be tomorrow. |\n| 6 | And then assuming we get further agreement for |\n| 7 | January, I just want to make sure there's no filing |\n| 8 | requirement today. |\n| 9 | MR. DESPINS:
From out point of view that's fine, |\n| 10 | as long as we're not going to be faced with a situation |\n| 11 | where there's no agreement for January and then we have to |\n| 12 | proceed with the existing dates.
That would be a problem. |\n| 13 | So we're okay with the dates in January as long as |\n| 14 | the stand still is maintained. And I think -- that's the |\n| 15 | only issue.
We're not going to try to default you tomorrow. |\n| 16 | That's not the goal. The point is though we need to have a |\n| 17 | full agreement on this. |\n| 18 | THE COURT:
Well, I'll let you discuss that off |\n| 19 | the record and then you can submit an order with regard to |\n| 20 | dates, or however you want to proceed so that your agreement |\n| 21 | is enforceable. |\n| 22 | MR. MORIARTY:
Thank you, Your Honor. |\n| 23 | MR. DESPINS:
Thank you, Your Honor. |\n| 24 | THE COURT:
Okay.
Thank you. |\n| 25 | Anything further this afternoon? |\n| | |\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 28 of 29\n\n| | Ho Wan Kwok and Genever Holdings Corp. - November 21, 2022
28 |\n|----|------------------------------------------------------------------|\n| 1 | MR. DESPINS:
Well, there -- I'm just mentioning |\n| 2 | it because I doubt we'll go forward on it, but there was the |\n| 3 | motion to compel.
We need to continue that to a date -- |\n| 4 | from our perspective because we're seeking production as |\n| 5 | soon as possible.
I'm just saying it's not going to happen |\n| 6 | today. |\n| 7 | THE COURT:
Right. It's not going to happen today. |\n| 8 | So I will take a look and we'll see where things |\n| 9 | stand in the next few days.
Maybe we'll see if it can be |\n| 10 | next week or the following week.
Okay? |\n| 11 | MR. DESPINS:
Thank you, Your Honor. |\n| 12 | THE COURT:
Okay.
All right.
Anything further |\n| 13 | this afternoon? |\n| 14 | UNIDENTIFIED:
Your Honor, there was a motion for |\n| 15 | joint administration to jointly administer the three cases |\n| 16 | that the court had granted.
But I haven't seen an order on |\n| 17 | it.
And I only ask because there's been some confusion |\n| 18 | about what caption to use. |\n| 19 | THE COURT:
The caption that you use is the main |\n| 20 | case caption.
Mr. Kwok's case.
That's the first name. |\n| 21 | And have we gotten that order? |\n| 22 | THE COURTROOM DEPUTY: I was just going to check. |\n| 23 | THE COURT:
We're just checking.
But we were in |\n| 24 | court all day Friday so we still had other work to do today. |\n| 25 | (Pause.) |\n| | |\n\nCase 22-50073 Doc 1200 Filed 12/06/22 Entered 12/06/22 08:49:13 Page 29 of 29\n\n| | Ho Wan Kwok and Genever Holdings Corp. - November 21, 2022
29 |\n|----|------------------------------------------------------------------|\n| 1 | THE COURT:
All right.
We'll take a look at that |\n| 2 | order right after we complete this hearing and we'll try to |\n| 3 | get it entered within the next half an hour, okay? |\n| 4 | UNIDENTIFIED:
Thank you so much, Your Honor. |\n| 5 | THE COURT:
All right.
Thank you. |\n| 6 | MR. DESPINS:
Thank you. |\n| 7 | THE COURT:
All right.
Court is adjourned. |\n| 8 | (Proceedings adjourned at 2:56 p.m.) |\n| 9 | I, CHRISTINE FIORE, Certified Electronic Court Reporter and |\n| 10 | Transcriber, certify that the foregoing is a correct |\n| 11 | transcript from the official electronic sound recording of |\n| 12 | the proceedings in the above-entitled matter. |\n| 13 | |\n| 14 | |\n| 15 | December 4, 2022 |\n| 16 | Christine Fiore, CERT |\n| 17 | |\n| 18 | |\n| 19 | |\n| 20 | |\n| 21 | |\n| 22 | |\n| 23 | |\n| 24 | |\n| 25 | |\n| | |","body_zh":null,"key_entities":["Kwok","Ho Wan Kwok","Despins","Je","Guo","Paul Hastings","CIPA","Luc Despins","CCP"],"ecf_references":[],"word_count":8194,"status":"published","published_at":"2022-12-06 00:00:00","created_at":"2022-12-06","updated_at":"2026-07-07 07:48:59"}