{"id":"court_ctb_871_0","court":"CTB","case_no":"22-50073","doc_number":871,"sub_number":0,"doc_type":"ORDER","filed_date":null,"title":"UNITED STATES BANKRUPTCY COURT DISTRICT OF CONNECTICUT BRIDGEPORT DIVISION In re:","summary_zh":null,"summary_en":null,"body_en":"## **UNITED STATES BANKRUPTCY COURT DISTRICT OF CONNECTICUT BRIDGEPORT DIVISION**\n\nIn re:\n\nHO WAN KWOK<sup>1</sup>\n\nChapter 11 Case No. 22-50073 (JAM)\n\nSeptember 23, 2022\n\nDebtor.\n\nRe: ECF No. 728\n\n# **PACIFIC ALLIANCE ASIA OPPORTUNITY FUND L.P.'S LIMITED OBJECTION TO HK INTERNATIONAL FUNDS INVESTMENTS (USA) LIMITED, LLC'S MOTION TO ESTABLISH REPAIR RESERVE FOR THE LADY MAY**\n\nPacific Alliance Asia Opportunity Fund L.P. (\"PAX\"), by and through its undersigned counsel, hereby submits this limited objection to HK International Funds Investments (USA) Limited, LLC's (\"HK USA\") *Motion for Order Establishing a Repair Reserve for the Lady May* [ECF No. 728] (the \"Reserve Motion\").\n\n# **I. INTRODUCTION**<sup>2</sup>\n\n1. The Reserve Motion—based on high-level reports from vendors who have not conducted a thorough inspection of the Lady May—seeks to establish a \\$759,836.41 repair reserve (the \"Proposed Repair Reserve\") to return the Lady May to good working order. The Proposed Repair Reserve underestimates significant costs associated with the repairs, including (i) the marine-industry-accepted risk factors associated with project delay, supply-chain issues, and securing technicians; (ii) certain repairs that reasonably could arise based on the known issues; and (iii) ancillary costs related to the repair project. As such, the Proposed Repair Reserve poses a significant threat to an asset that Justice Ostrager of the New York Supreme\n\n<sup>1</sup> The last four digits of the Debtor's taxpayer identification number are 9595.\n\n<sup>2</sup> Unless otherwise stated all citations and quotations are omitted, all emphasis is added, and all defined terms have the same meaning as in the Reserve Motion [ECF No. 728].\n\nCourt has already found to be \"beneficially own[ed] and control[ed]\" by the Debtor,<sup>3</sup> that was improperly kept away from New York by the Debtor's daughter and an affiliated shell company for over a year and a half, and that was only grudgingly returned to the jurisdiction.\n\n2. Additionally, the Reserve Motion does not adequately identify how the Repair Reserve will be funded. The Stipulated Order provides that any repair reserve should be \"sourced . . . from the proceeds of the Escrow Funds.\" This approach ensures that the repair reserve is established either simultaneously with or *before* the Escrow Funds are returned to HK USA, as contemplated by the Stipulated Order. The simple solution to this is that, for a repair reserve to be established in accordance with the Stipulated Order, HK USA should be instructed to direct the Escrow Agent to transfer to a fiduciary account at the law firm of the Trustee (if he is willing to accept such funds, and, if not, in an alternative suitable account under control of the Trustee for purposes of disbursement) an amount sufficient to pay for *all* required repairs. PAX has proposed a mechanism for doing so in its proposed order which is attached to this Limited Objection as **Exhibit A** (the \"PAX Proposed Order\").<sup>4</sup>\n\n3. For these reasons, and as discussed in detail below, PAX respectfully requests that the Court establish a \\$3,761,080.00 repair reserve (the \"Repair Reserve Amount\"), sourced from the Escrow Funds, as set forth in the PAX Proposed Order.\n\n#### **II. BACKGROUND**\n\n4. On February 3, 2021, the New York County Clerk of Court entered a judgment against the Debtor in the amount of \\$116,402,019.57 (the \"Judgment\").<sup>5</sup> To ensure satisfaction\n\n<sup>3</sup> Decision and Order on Motion at 4, *Pac. All. Asia Opportunity Fund L.P. v. Kwok*, Index No. 652077/2017 (N.Y. Sup. Ct. Feb. 9, 2022), NYSCEF Doc. No. 1181 [ECF No. 183-1 (Friedman Decl., Ex. 2)].\n\n<sup>4</sup> PAX will continue to endeavor to reach consensus with HK USA and other parties regarding the terms of an order. 5 Judgment, *Pac. All. Asia Opportunity Fund L.P. v. Kwok*, Index No. 652077/2017 (N.Y. Sup. Ct. Feb. 3, 2021) (the\n\n<sup>&</sup>quot;New York Action\"), NYSCEF Doc. No. 716 [ECF No. 183-1 (Friedman Decl., Ex. 1)].\n\nof the Judgment, Justice Ostrager issued multiple orders restraining the Debtor's interest in the Lady May. The Court first issued a temporary restraining order on September 30, 2020, preventing, among other things, the Debtor's \"interference with any property in which he has an interest.\"<sup>6</sup> Shortly thereafter, the Court entered an order on October 15, 2020, restraining the Debtor from transferring ownership of his assets, or transferring those assets themselves, outside the New York courts' jurisdiction.<sup>7</sup> That order specified that \"Mr. Kwok and/or the registered owners of . . . the yacht, 'the Lady May' are restrained from making or causing any sale, assignment, transfer, or interference with those assets.\"<sup>8</sup> Nevertheless, just over two weeks later, in violation of the Court's unambiguous October 15 restraining order, the Debtor moved the yacht out of the United States, to the Bahamas. On March 16, 2021, the Court, on PAX's motion, entered a conditional order of civil contempt requiring Kwok to return the Lady May to the Court's jurisdiction by May 15, 2021, or else pay a fine of \\$500,000 for every day the ship is not returned after that date.<sup>9</sup>\n\n5. The First Department affirmed Justice Ostrager's order holding the Debtor in conditional civil contempt, and directed the trial court to hold an evidentiary hearing \"to resolve a dispute as to ownership and control of the yacht, and to assess appropriate penalties.\"<sup>10</sup> That hearing was held on February 2, 2022. One week later, Justice Ostrager issued an order, finding that \"the testimony . . . out of the mouths of [the Debtor's own] witnesses clearly and convincingly demonstrated that [the Debtor] beneficially owns and controls the Lady May and\n\n<sup>6</sup> Decision and Order on Motion, *Pac. All. Asia Opportunity Fund L.P. v. Kwok*, Index No. 652077/2017 (N.Y. Sup. Ct. Sept. 30, 2020), NYSCEF Doc. No. 591 [ECF No. 183-3 (Friedman Decl., Ex. 22)].\n\n<sup>7</sup> Decision and Order on Motion, *Pac. All. Asia Opportunity Fund L.P. v. Kwok*, Index No. 652077/2017 (N.Y. Sup. Ct. Oct. 15, 2020), NYSCEF Doc. No. 630 [ECF No. 183-3 (Friedman Decl., Ex. 23)]. 8 *Id.* at 1.\n\n<sup>9</sup> Decision and Order on Motion, *Pac. All. Asia Opportunity Fund L.P. v. Kwok*, Index No. 652077/2017 (N.Y. Sup. Ct. Mar. 16, 2021), NYSCEF Doc. No. 728 [ECF No. 183-4 (Friedman Decl., Ex. 36)].\n\n*<sup>10</sup> Pac. All. Asia Opportunity Fund L.P. v. Wan*, 199 A.D.3d 423 (1st Dep't 2021).\n\nhas utter contempt for this Court and the judicial process,\" and ordering the Debtor to remit \\$134,000,000 to PAX by February 16, 2022.<sup>11</sup> On February 15, 2022, the Debtor filed for bankruptcy.<sup>12</sup>\n\n6. On March 1, 2022, PAX moved for relief from the automatic stay, to institute further proceedings to enforce Justice Ostrager's February 9 order and compel the return of the Lady May from foreign waters.<sup>13</sup> On April 11, 2022, HK USA consented to the entry of an order compelling the return of the Lady May to the jurisdiction of this Court,<sup>14</sup> and on April 29, 2022, the Court entered the Stipulated Order.\n\n7. In accordance with the Stipulated Order and to secure its obligation to deliver the\n\nLady May to the navigable waters of Connecticut, HK USA deposited \\$37 million (the \"Escrow\n\nFunds\") with U.S. Bank National Association.<sup>15</sup> The Stipulated Order also requires HK USA \"at\n\nits sole expense . . . to restore the Lady May to good working order.\"<sup>16</sup>\n\n8. To that end, Section 11 of the Stipulated Agreement contemplates a Repair\n\nReserve. Section 11 provides:\n\nHK USA shall cause, at its sole expense, the service and maintenance identified in the Declaration and otherwise, if necessary, to restore the Lady May to good working order to be performed either prior to the satisfaction of the Delivery Obligation or thereafter upon order entered by this Court after notice and a hearing specifically delineating the time, place and manner by which such service and maintenance shall be performed, including, but not limited to *a separate cash reserve (sourced, if available, from the proceeds of the Escrow Funds) in an amount sufficient to pay the estimated costs of the uncompleted service and*\n\n<sup>11</sup> Decision and Order on Motion at 4, 10, *Pac. All. Asia Opportunity Fund L.P. v. Kwok*, Index No. 652077/2017 (N.Y. Sup. Ct. Feb. 9, 2022), NYSCEF Doc. No. 1181 [ECF No. 183-1 (Friedman Decl., Ex. 2)].\n\n<sup>12</sup> *Voluntary Petition for Individuals Filing for Bankruptcy*, ECF No. 1.\n\n<sup>13</sup> *Motion of Pacific Alliance Asia Opportunity Fund L.P. for Entry of an Order Confirming the Inapplicability of the Automatic Stay or, in the Alternative, Relief from the Automatic Stay Pursuant to Section 362(d)(2) of the Bankruptcy Code*, ECF No. 57.\n\n<sup>14</sup> *Statement of HK International Funds Investments (USA) Limited, LLC Regarding Motion of Pacific Alliance Asia Opportunity Fund L.P. for Entry of an Order Confirming the Inapplicability of the Automatic Stay or, in the Alternative, Relief from the Automatic Stay Pursuant to Section 362(d)(2) of the Bankruptcy Code*, ECF No. 203.\n\n<sup>15</sup> Stipulated Order at ¶¶ 1, 3, 11.\n\n<sup>16</sup> *Id.* at ¶ 11.\n\n*maintenance tasks identified in the Declaration and otherwise to restore, if necessary, the Lady May to good working order (the \"Repair Reserve\") and such funds in the Repair Reserve shall not be released until the service and maintenance tasks have been completed.* HK USA shall permit representatives of PAX and/or the Committee to inspect the Lady May upon reasonable request.<sup>17</sup>\n\n9. On July 13, 2022, PAX's expert, Dexter White of Engineering Operations &\n\nCertification Services, LLC, conducted his initial inspection of the Lady May afloat in its slip at Steelpointe Harbor Marina in Bridgeport, CT.<sup>18</sup> Specifically, Mr. White conducted a visual inspection of the Lady May's engine room, midship hold, anchor locker, tender stowage, galley and crew quarters, owner and guest accommodations, salon, dining room, bar, bridge, decks, and freeboard above the waterline.<sup>19</sup> This initial inspection revealed deficiencies requiring repair, for example:\n\n- The starboard diesel engine fuel pump must be replaced.<sup>20</sup> Because of this issue, the Lady May is not seaworthy.<sup>21</sup> Once the new part is installed, a postinstallation test must confirm the operational status of the engine.<sup>22</sup> Based on this deficiency, it is possible that there are issues with the port diesel engine that will likely require an inspection of the port diesel fuel pump to rule out.<sup>23</sup>\n- The starboard stabilizer exhibits a hydraulic noise during operation due to a faulty check valve.<sup>24</sup> Once replaced with a new check valve, further testing is required to verify the issue has been resolved.<sup>25</sup>\n- The bow thruster brakes are in \"bypass\" mode.<sup>26</sup> The condition requires troubleshooting to determine the root cause and repairs if necessary.<sup>27</sup>\n\n<sup>17</sup> *Id.*\n\n<sup>18</sup> *See* September 23, 2022 Declaration of Dexter White in Support of Pacific Alliance Asia Opportunity Fund L.P.'s Limited Objection to HK International Funds Investments (USA) Limited, LLC's Motion to Establish Repair Reserve for the Lady May (\"White Decl.\") at ¶ 3.\n\n<sup>19</sup> *See id*.\n\n<sup>20</sup> *See id*. at ¶ 4.\n\n<sup>21</sup> *See id*.\n\n<sup>22</sup> *See id*.\n\n<sup>23</sup> *See id*.\n\n<sup>24</sup> *See id*.\n\n<sup>25</sup> *See id*.\n\n<sup>26</sup> *See id*.\n\n<sup>27</sup> *See id*.\n\n There is paint damage on an area of approximately three feet by three feet on the starboard bow near the anchor.<sup>28</sup> To create an even appearance, a larger paint repair area should be used.<sup>29</sup> Moreover, a structural inspection is necessary to verify the damage is to the paint only.<sup>30</sup>\n\n10. In addition, 26 valves require testing (i.e., the \"Valve Service\" described in the Reserve Motion).<sup>31</sup> The Valve Service will require technicians to remove, test, and, reinstall each valve.<sup>32</sup> This testing may reveal the need for additional work (such as removal of interferences or installation of replacement parts) and subsequent retesting.<sup>33</sup>\n\n11. On August 25, 2022, Harrington Diving & Marine Services conducted a dive inspection at Mr. White's direction (the \"Dive Inspection\").<sup>34</sup> The Dive Inspection involved a close visual and physical examination of the entire submerged components of the vessel. The Dive Inspection found (i) a loose anode bolt at the bow thruster, which caused the anode to rattle, and (ii) that the hull of the vessel was covered in sea growth.<sup>35</sup> According to Mr. White, (i) if the loose bolt is left unaddressed, extended bow-thruster operation could cause the anode to break free, which could in turn damage the bow thruster; and (ii) to fully understand the Lady May's condition, a more detailed inspection is necessary after the vessel is hauled out and the bottom is power washed to clear away the sea growth.<sup>36</sup>\n\n12. At the July 21, 2022 status conference (the transcript of which is attached as **Exhibit B**), HK USA's counsel stated that it would \"present [an] estimate\" for the cost of\n\n<sup>28</sup> *See id*.\n\n<sup>29</sup> *See id*.\n\n<sup>30</sup> *See id*.\n\n<sup>31</sup> *See id*. at ¶ 5.\n\n<sup>32</sup> *See id.*\n\n<sup>33</sup> *See id.*\n\n<sup>34</sup> *See id*. at ¶ 6.\n\n<sup>35</sup> *See id*. at ¶¶ 7–8.\n\n<sup>36</sup> *See id*.\n\nrepairs, and would ask the Court \"to order that . . . those amounts be reserved.\"<sup>37</sup> At that same hearing, HK USA's counsel described what it believed to be the extent of the \"damage\" needing repair—specifically, (1) issues with the sea valves, (2) a broken fuel pump, and (3) paint damage.<sup>38</sup> In the Reserve Motion, HK USA reiterated its view that the only repairs the reserve needed to cover are: (i) servicing valves in the hull; (ii) painting a portion of the hull; (iii) replacing the bilge boards; and (iv) repairing the starboard main engine (the \"Proposed Repairs\").<sup>39</sup>\n\n### **III. OBJECTION**\n\n#### **A. The Proposed Repair Reserve is Inadequate**\n\n13. The Reserve Motion underestimates significantly the costs that may be required to restore the Lady May to \"good working order,\" as contemplated by the Stipulated Order. In particular, the Reserve Motion omits costs relating to (i) the risks associated with not having a fully defined scope of repairs, or prolonged time out of water awaiting repairs; (ii) other costly repair items and/or tasks; and (iii) other ancillary costs.\n\n14. **Risk.** The Proposed Reserve Amount does not factor in the industry-standard risk. In the marine industry, there is an accepted risk classification system that provides for riskfactor multipliers to cost estimates.<sup>40</sup> For example, for a repair project with the lowest level of risk—Class 1—project-cost estimates should be increased by up to 15%.<sup>41</sup> Class 1 repair projects are characterized by (i) a full and detailed understanding of the necessary repairs and deliverables, and (ii) a low likelihood that new repairs or issues will arise as the repair project\n\n<sup>37</sup> Ex. B at 59:15-18.\n\n<sup>38</sup> *See id*. at 58:19-59:14.\n\n<sup>39</sup> Reserve Motion at 1.\n\n<sup>40</sup> *See* White Decl. at ¶ 10.\n\n<sup>41</sup> *See id*.\n\nprogresses.<sup>42</sup> At the other end of the spectrum are Class 5 repair projects, for which project-cost estimates should be increased by up to 100%.<sup>43</sup> Class 5 repair projects are characterized by (i) an incomplete and generalized understanding of the necessary repair projects, and (ii) a high likelihood that new repairs or issues will arise as the repair project progresses.<sup>44</sup> Projects move through the intervening risk classifications based on the level of project detail and the likelihood of discovering new issues.<sup>45</sup> According to Mr. White, the Lady May repair project represents a Class 5 risk (for which a 100% risk adjustment is appropriate), because (i) the vendor estimates are based on brief, high-level descriptions of the currently identified repairs —not a thorough inspection —and (ii) potential high-risk and cost issues (e.g., total engine replacement) that have not yet been ruled out.<sup>46</sup>\n\n15. Nor does the Reserve Motion factor in the risk associated with current supplychain issues or with securing technicians to service the yacht.<sup>47</sup> According to Mr. White, a reserve should take into account the foreseeable delay in obtaining necessary parts or securing technicians.<sup>48</sup> In the current environment, delays could extend repair times by 45 to 150 days.<sup>49</sup> Such a delay would also increase risks and costs.<sup>50</sup>\n\n16. **Additional Repairs.** The Proposed Repairs are necessary, but may not be sufficient to bring the Lady May to good working order. For example, the Reserve Motion omits\n\n- <sup>45</sup> *See id*.\n- <sup>46</sup> *See id*.\n\n- <sup>48</sup> *See id*.\n- <sup>49</sup> *See id*.\n\n<sup>42</sup> *See id*.\n\n<sup>43</sup> *See id*.\n\n<sup>44</sup> *See id*.\n\n<sup>47</sup> *See id*. at ¶ 11.\n\n<sup>50</sup> *See id*.\n\nthe following repair items/tasks that could prove necessary as time passes and as more is\n\nunderstood about the Lady May's condition:\n\n- a. *Starboard engine replacement parts*. Until technicians are able to inspect the engine in detail and determine the extent of the damage, it is impossible to rule out repairs and/or replacements of other parts of the starboard engine.<sup>51</sup>\n- b. *Engine-to-shaft alignment.* To lift out the engine for repair, the shaft must be disconnected. When the engine is lowered into place on mounts, the shaft is reconnected and checked for proper alignment, including the clearance outboard at the steady bearings near the propeller.<sup>52</sup> If the shaft is not aligned correctly, it creates vibrations that will wear the engine and bearings and may damage the propeller if it contacts the hull.<sup>53</sup>\n- c. *Unforeseen hull-valve replacement parts.* Some valves removed from the ship may not pass testing. When the valve is opened to inspect the cause of failure, some internal parts will likely need replacement (e.g., ball, stem, seats, o-rings, or gaskets).<sup>54</sup> Which parts will need replacement cannot be known until the valve is opened up and inspected.<sup>55</sup>\n- d. *A fuel pump inspection for the port engine.* An inspection of the port fuel pump has not been conducted yet, and could reveal similar wear as the starboard fuel pump.<sup>56</sup> If there is wear, but it is not as severe as the starboard pump, it may only require a new pump, alignment, and changing the lube oil.<sup>57</sup> But if the wear is more severe, then work similar to the starboard engine repairs will be required.<sup>58</sup>\n- e. *Repairs to the port engine if damage to the fuel pump is found*. Given the extent of known damages to the starboard engine, it is possible that the port engine will also require repairs.<sup>59</sup> The extent to which the port engine will need repairs is thus far unknown and will only be assessable if/when the engine is examined by technicians.<sup>60</sup>\n- f. *The need for an entirely new engine or set of engines.* It is possible that, over the course of conducting repairs, the technicians will determine that, due to extensive manhours and/or repair time and lack of available parts, a new set of engines is\n\n<sup>51</sup> *See id*. at ¶ 12.\n\n<sup>52</sup> *See id*.\n\n<sup>53</sup> *See id*.\n\n<sup>54</sup> *See id*.\n\n<sup>55</sup> *See id*.\n\n<sup>56</sup> *See id*.\n\n<sup>57</sup> *See id*.\n\n<sup>58</sup> *See id*.\n\n<sup>59</sup> *See id*.\n\n<sup>60</sup> *See id*.\n\nneeded.<sup>61</sup> This option may be a \"last resort,\" but could become the best choice.<sup>62</sup> At this stage, the need for a new set of engines cannot be ruled out.<sup>63</sup>\n\n17. **Ancillary Costs.** The Repair Reserve Amount does not account for costs associated with (i) retaining a crew for the duration of repairs; or (ii) certifying the hull and shaft (by Lloyd's Register of Shipping or the American Bureau of Shipping).<sup>64</sup> Although not specifically related to repairs, these ancillary costs are necessary to bring the yacht to good working order and should be paid for out of the Repair Reserve, if the Court establishes one.\n\n18. In sum, taking into account (i) industry-accepted risk factors related to delay in sourcing parts, securing technicians, and/or making repairs (i.e., up to 150 days),\n\n(ii) unaccounted-for potential repair items/tasks, and (iii) the associated ancillary costs, an appropriate amount to put in the repair reserve, so as to ensure that the Lady May will be brought to good working order, is \\$3,761,080.<sup>65</sup>\n\n### **B. The Repair Reserve Should be Sourced from the Escrow Funds.**\n\n19. The Stipulated Order exhibits a clear preference that the funds be \"sourced, if available, from the proceeds of the Escrow Funds.\"<sup>66</sup> The Escrow Funds are available and in the possession of the Escrow Agent. To ensure that the Repair Reserve is established before the Escrow Funds are returned to HK USA, PAX requests that any order issued in connection with the Reserve Motion include an instruction that the Escrow Agent transfer the Repair Reserve Amount in good funds from the Escrow Funds to a fiduciary account at the law firm of the Trustee (if he is willing to accept such funds, and, if not, in an alternative suitable account under\n\n<sup>61</sup> *See id*.\n\n<sup>62</sup> *See id*.\n\n<sup>63</sup> *See id*.\n\n<sup>64</sup> *See id*. at ¶ 13.\n\n<sup>65</sup> *See id*. at ¶ 14.\n\n<sup>66</sup> Stipulated Order at ¶ 11.\n\ncontrol of the Trustee for purposes of disbursement), which transfer shall establish the Repair\n\nReserve in accordance with Section 11 of the Stipulated Order.\n\n## **IV. CONCLUSION**\n\n20. For the foregoing reasons, PAX respectfully requests that the Court establish a\n\nRepair Reserve in the amount of \\$3,761,080.00, sourced from the Escrow Funds, in accordance with the Stipulated Order.<sup>67</sup>\n\nDated: September 23, 2022 Hartford, Connecticut\n\n## **Pacific Alliance Asia Opportunity Fund L.P.**\n\n*By: /s/ Patrick M. Birney*\n\nPatrick M. Birney (CT No. 19875) Annecca H. Smith (CT No. 31148) **ROBINSON & COLE LLP**  280 Trumbull Street Hartford, CT 06103 Telephone: (860) 275-8275 Facsimile: (860) 275-8299 E-mail: pbirney@rc.com asmith@rc.com\n\n-and-\n\nPeter Friedman (admitted *pro hac vice*) Stuart M. Sarnoff (admitted *pro hac vice*) Laura S. Aronsson (admitted *pro hac vice*) **O'MELVENY & MYERS LLP**  Seven Times Square New York, NY 10036 Telephone: (212) 326-2000 Facsimile: (212) 326-2061 Email: pfriedman@omm.com ssarnoff@omm.com laronsson@omm.com\n\n<sup>67</sup> PAX reserves the right to address other arguments Debtor may raise in his pleading.\n\n### **CERTIFICATE OF SERVICE**\n\nI hereby certify that on September 23, 2022, a copy of the foregoing was filed electronically and shall be served as required by Local Bankruptcy Rule 9013-2(b), with notice of this filing being sent by email to all Notice Parties by operation of the court's electronic filing system or by First Class U.S. mail to anyone unable to accept electronic filing as indicated on the Notice of Electronic Filing. Parties in interest may access this document through the court's CM/ECF System.\n\n> */s/ Patrick M. Birney\\_\\_*  Patrick M. Birney","body_zh":"UNITED STATES BANKRUPTCY COURT DISTRICT OF CONNECTICUT BRIDGEPORT DIVISION（美国康涅狄格区破产法院布里奇波特分院）\n\n案件涉及：\n\nHO WAN KWOK（郭文贵）1\n\n第 11 章破产案号：22-50073 (JAM)\n\n2022年9月23日\n\n债务人。\n\n关于：ECF No. 728\nPACIFIC ALLIANCE ASIA OPPORTUNITY FUND L.P. 对 HK INTERNATIONAL FUNDS INVESTMENTS (USA) LIMITED, LLC 设立 Lady May 号维修备用金动议的有限异议\n\nPacific Alliance Asia Opportunity Fund L.P.（以下简称“PAX”），由其下述签署律师代表，特此对 HK International Funds Investments (USA) Limited, LLC（以下简称“HK USA”）关于发布命令为 Lady May 号设立维修备用金的动议 [ECF No. 728]（以下简称“备用金动议”）提出此项有限异议。\n一、引言2\n\n1. 备用金动议——依据未对 Lady May 号进行全面检查的供应商提供的高级别概括性报告——申请设立 759,836.41 美元的维修备用金（以下简称“拟议维修备用金”），以使 Lady May 号恢复良好运行状态。拟议维修备用金低估了与维修相关的大量成本，包括 (i) 航运业公认的与项目延误、供应链问题和聘请技术人员相关的风险因素；(ii) 基于已知问题合理可能出现的某些维修项；以及 (iii) 与维修项目相关的附属成本。因此，拟议维修备用金对一项资产构成了重大威胁，而 New York Supreme Court（纽约州最高法院）的 Ostrager（奥斯特拉格）法官\n\n1 债务人纳税人识别号的后四位数字为 9595。\n\n2 除非另有说明，所有引文和引述均已省略，所有强调均为后加，所有已定义术语与备用金动议 [ECF No. 728] 中的含义相同。\n\n已认定该资产由债务人“实际拥有并控制”3，且该资产曾被债务人的女儿及一家关联壳公司不当藏匿在纽约管辖范围之外超过一年半之久，直到最近才勉强交还给该管辖区。\n\n2. 此外，备用金动议未充分说明维修备用金的资金来源。Stipulated Order（约定裁定）规定，任何维修备用金均应“来源于……托管资金收益”。这种方式确保了维修备用金要么与托管资金退还给 HK USA 同时设立，要么在此之前设立，正如约定裁定所预期的那样。对此的简单解决办法是，为了按照约定裁定设立维修备用金，应指示 HK USA 指令 Escrow Agent（托管代理人）向 Trustee（破产受托人）所在律师事务所的信托账户（如果其愿意接受此类资金；如果不同意，则转入由受托人控制的用于资金拨付的其他合适账户）转入足额款项，以支付所有必要的维修费用。PAX 已在其拟议命令中提出了实现此目的的机制，该拟议命令作为附件 A 附于本有限异议之后（以下简称“PAX 拟议裁定”）。4\n\n3. 基于上述理由，并如下文详细论述，PAX 谨请求法院按照 PAX 拟议裁定中所陈述的方式，从托管资金中设立 3,761,080.00 美元的维修备用金（以下简称“维修备用金金额”）。\n二、背景\n\n4. 2021年2月3日，New York County Clerk of Court（纽约县法院书记官）对债务人作出了金额为 116,402,019.57 美元的判决（以下简称“判决书”）。5 为确保履行\n\n3 动议判决与命令第 4 页，Pac. All. Asia Opportunity Fund L.P. v. Kwok，案号 652077/2017 (N.Y. Sup. Ct. 2022年2月9日)，NYSCEF 档号 1181 [ECF No. 183-1 (Friedman 声明附件 2)]。\n\n4 PAX 将继续努力与 HK USA 及其他各方就裁定条款达成共识。\n5 判决书，Pac. All. Asia Opportunity Fund L.P. v. Kwok，案号 652077/2017 (N.Y. Sup. Ct. 2021年2月3日)（以下简称“纽约诉讼”），NYSCEF 档号 716 [ECF No. 183-1 (Friedman 声明附件 1)]。\n\n该判决书，Ostrager 法官发布了多项限制债务人在 Lady May 号中权益的命令。法院首先于 2020年9月30日发布了一项临时限制令，除其他事项外，禁止债务人“干预其拥有权益的任何财产”。6 此后不久，法院于 2020年10月15日发布裁定，限制债务人将其资产所有权或将这些资产本身转移出纽约法院的管辖范围。7 该裁定明确规定，“郭先生和/或……游艇‘Lady May’号的登记所有人均被限制对此类资产进行或导致任何出售、转让、转移或干预”。8 尽管如此，就在两周多之后，债务人违反了法院明确无误的 10月15日限制令，将游艇移出了美国境，驶往巴哈马。2021年3月16日，法院根据 PAX 的动议作出了一项附条件民事民事藐视法庭裁定，要求郭文贵在 2021年5月15日之前将 Lady May 号归还至法院管辖范围内，否则自该日期之后船舶每逾期归还一天，即处以 500,000 美元的罚款。9\n\n5. First Department（第一分部/第一上诉分部）维持了 Ostrager 法官认定债务人构成附条件民事藐视法庭的裁定，并指示初审法院举行证据听证会，“以解决有关游艇所有权和控制权的争议，并评估适当的处罚”。10 该听证会于 2022年2月2日举行。一周后，Ostrager 法官发布了一项裁定，认定“出自[债务人自己的]证人口中的证词……清楚且令人信服地证明，[债务人]实际拥有并控制 Lady May 号，\n\n6 动议判决与命令，Pac. All. Asia Opportunity Fund L.P. v. Kwok，案号 652077/2017 (N.Y. Sup. Ct. 2020年9月30日)，NYSCEF 档号 591 [ECF No. 183-3 (Friedman 声明附件 22)]。\n\n7 动议判决与命令，Pac. All. Asia Opportunity Fund L.P. v. Kwok，案号 652077/2017 (N.Y. Sup. Ct. 2020年10月15日)，NYSCEF 档号 630 [ECF No. 183-3 (Friedman 声明附件 23)]。\n8 同上，第 1 页。\n\n9 动议判决与命令，Pac. All. Asia Opportunity Fund L.P. v. Kwok，案号 652077/2017 (N.Y. Sup. Ct. 2021年3月16日)，NYSCEF 档号 728 [ECF No. 183-4 (Friedman 声明附件 36)]。\n\n10 Pac. All. Asia Opportunity Fund L.P. v. Wan, 199 A.D.3d 423 (1st Dep't 2021).\n\n并且对本法院和司法程序抱有彻底的藐视”，并命令债务人在 2022年2月16日之前向 PAX 支付 134,000,000 美元。11 2022年2月15日，债务人申请破产。12\n\n6. 2022年3月1日，PAX 申请解除自动中止，以提起进一步程序执行 Ostrager 法官 2月9日的裁定，并强制作出将 Lady May 号从外国水域归还的指令。13 2022年4月11日，HK USA 同意法院发布强制将 Lady May 号归还至本法院管辖范围内的裁定，14 并且在 2022年4月29日，法院签署并下达了约定裁定。\n\n7. 按照约定裁定，并为了担保其将 Lady May 号交付至康涅狄格州通航水域的义务，HK USA 向 U.S. Bank National Association（美国银行全国协会）存入了 3700 万美元（以下简称“托管资金”）。15 约定裁定还要求 HK USA“自担费用……使 Lady May 号恢复良好运行状态”。16\n\n8. 为此，约定协议第 11 条设想了设立维修备用金。第 11 条规定：\n\nHK USA 应当自担费用，在交付义务完成之前，或者在此之后根据本法院在通知及听证后发布的专门明确具体进行此类检修和维护的时间、地点和方式的裁定，安排执行在《声明》中指明的以及其他在必要时使 Lady May 号恢复良好运行状态所需的检修和维护，包括但不限于设立一笔单独的现金备用金（若可行，来源于托管资金的收益），其金额足以支付在《声明》中指明的未完成检修和\n\n11 动议判决与命令第 4、10 页，Pac. All. Asia Opportunity Fund L.P. v. Kwok，案号 652077/2017 (N.Y. Sup. Ct. 2022年2月9日)，NYSCEF 档号 1181 [ECF No. 183-1 (Friedman 声明附件 2)]。\n\n12 个人申请破产自愿请愿书，ECF No. 1。\n\n13 Pacific Alliance Asia Opportunity Fund L.P. 申请作出确认自动中止不适用或根据《破产法典》第 362(d)(2) 条给予自动中止救济的裁定的动议，ECF No. 57。\n\n14 HK International Funds Investments (USA) Limited, LLC 关于 Pacific Alliance Asia Opportunity Fund L.P. 申请作出确认自动中止不适用或根据《破产法典》第 362(d)(2) 条给予自动中止救济的裁定的动议的陈述，ECF No. 203。\n\n15 约定裁定第 1、3、11 段。\n\n16 同上，第 11 段。\n\n维护任务的预计费用，以及其他在必要时使 Lady May 号恢复良好运行状态的费用（以下简称“维修备用金”），且在检修和维护任务完成之前，不得释放维修备用金中的此类款项。经合理要求，HK USA 应允许 PAX 和/或委员会的代表视察 Lady May 号。17\n\n9. 2022年7月13日，PAX 的专家、来自 Engineering Operations & Certification Services, LLC 的 Dexter White 对停泊在康涅狄格州布里奇波特 Steelpointe Harbor Marina（钢点港游艇码头）泊位上浮于水面的 Lady May 号进行了初步视察。18 具体而言，White 先生对 Lady May 号的机舱、中段船舱、锚链舱、附属艇存放处、厨房和船员宿舍、船东和宾客住宿区、沙龙厅、餐厅、酒吧、驾驶台、甲板以及水线以上的干舷进行了外观视察。19 该初步视察发现了需要维修的缺陷，例如：\n\n- 右舷柴油发动机燃油泵必须更换。20 由于该问题，Lady May 号不具备适航性。21 安装新部件后，必须进行安装后测试以确认发动机的运行状态。22 基于该缺陷，左舷柴油发动机可能也存在问题，很可能需要对左舷柴油机燃油泵进行检查以排除故障。23\n- 由于单向阀损坏，右舷减摇鳍在运行过程中出现液压噪音。24 一旦更换为新的单向阀，需要进行进一步测试以验证问题是否已解决。25\n- 艏侧推器制动器处于“旁路”模式。26 该状况需要进行故障排查以确定根本原因，并在必要时进行维修。27\n\n17 同上。\n\n18 参见 Dexter White 2022年9月23日关于支持 Pacific Alliance Asia Opportunity Fund L.P. 对 HK International Funds Investments (USA) Limited, LLC 设立 Lady May 号维修备用金动议的有限异议的声明（以下简称“White 声明”）第 3 段。\n\n19 参见同上。\n\n20 参见同上，第 4 段。\n\n21 参见同上。\n\n22 参见同上。\n\n23 参见同上。\n\n24 参见同上。\n\n25 参见同上。\n\n26 参见同上。\n\n27 参见同上。\n\n 右舷船艏靠近锚链处有约三英尺乘三英尺面积的油漆破损。28 为达到平整外观，应采用更大的油漆修复面积。29 此外，必须进行结构检查以核实是否仅为油漆受损。30\n\n10. 此外，有 26 个阀门需要进行测试（即备用金动议中所述的“阀门检修”）。31 阀门检修将需要技术人员拆卸、测试并重新安装每个阀门。32 该测试可能会揭示需要进行额外工作（例如消除妨碍物或安装更换部件）以及后续重新测试的必要性。33\n\n11. 2022年8月25日，Harrington Diving & Marine Services（哈灵顿潜水与海事服务公司）在怀特先生的指示下进行了潜水检查（“潜水检查”）。34 潜水检查包括对该船只全部水下部件进行仔细的目视和物理检查。潜水检查发现：(i) 艏侧推器处有一枚阳极螺栓松动，导致阳极发出咔哒声；以及 (ii) 该船只的船体布满了海洋附着生物。35 据怀特先生称：(i) 如果松动的螺栓未得到处理，长时间运行艏侧推器可能导致阳极脱落，进而可能损坏艏侧推器；以及 (ii) 为了全面了解 Lady May（五月夫人号）的状况，有必要在船只起吊出水并对底部进行高压清洗以清除海洋附着生物后，进行更详细的检查。36\n\n12. 在2022年7月21日的案件进展会议上（其记录作为证据 B 附后），HK USA（香港美国公司）的法律顾问表示将就维修费用“提出估算”，并将请求法院“下令……保留这些金额”。37 在同一次听证会上，HK USA 的法律顾问说明了其认为需要维修的“损坏”范围——具体而言为：(1) 通海阀问题，(2) 燃油泵损坏，以及 (3) 油漆破损。38 在保留款动议中，HK USA 重申其观点，即保留款仅需涵盖以下维修项目：(i) 检修船体内的阀门；(ii) 对部分船体进行涂漆；(iii) 更换舱底板；以及 (iv) 维修右舷主机（“拟议维修项目”）。39\n\n28 参见同上。\n\n29 参见同上。\n\n30 参见同上。\n\n31 参见同上，第5段。\n\n32 参见同上。\n\n33 参见同上。\n\n34 参见同上，第6段。\n\n35 参见同上，第7–8段。\n\n36 参见同上。\n\nIII. 异议\n\nA. 拟议维修保留款不足\n\n13. 保留款动议严重低估了将 Lady May 恢复至约定命令所设想的“良好工作状态”可能需要的费用。特别是，保留款动议遗漏了与以下各项相关的费用：(i) 与未完全确定维修范围或长时间出水等待维修相关的风险；(ii) 其他昂贵的维修项目和/或任务；以及 (iii) 其他附带费用。\n\n14. 风险。拟议保留款金额未将行业标准风险计入在内。在海运业中，存在公认的风险分类系统，该系统为成本估算提供了风险系数乘数。40 例如，对于风险等级最低的维修项目——第1级——项目成本估算最高应增加 15%。41 第1级维修项目的特点是：(i) 对必要的维修和交付成果具有全面且详细的了解，以及 (ii) 随着维修项目的推进，出现新的维修项目或问题的可能性较低。42\n\n37 证据 B，59:15-18。\n\n38 参见同上，58:19-59:14。\n\n39 保留款动议，第1页。\n\n40 参见怀特声明，第10段。\n\n41 参见同上。\n\n在光谱的另一端是第5级维修项目，对此类项目，项目成本估算最高应增加 100%。43 第5级维修项目的特点是：(i) 对必要的维修项目了解不完整且概括，以及 (ii) 随着维修项目的推进，出现新的维修项目或问题的可能性极高。44 项目根据项目详细程度和发现新问题的可能性，在各个介入风险等级之间变动。45 据怀特先生称，Lady May 维修项目属于第5级风险（适用 100% 的风险调整），因为 (i) 供应商的估算是基于对当前已识别维修项目的简要、高层面的描述——而非彻底检查——并且 (ii) 潜在的高风险和高成本问题（例如完全更换发动机）尚未被排除。46\n\n15. 保留款动议也未将与当前供应链问题或聘请技术人员维修游艇相关的风险计入在内。47 据怀特先生称，保留款应当考虑到在获取必要零件或聘请技术人员方面可预见的延误。48 在当前环境下，延误可能导致维修时间延长 45 至 150 天。49 此类延误还会增加风险和成本。50\n\n16. 额外维修。拟议维修项目虽属必要，但可能不足以使 Lady May 恢复到良好工作状态。例如，保留款动议遗漏了\n\n- 45 参见同上。\n- 46 参见同上。\n\n- 48 参见同上。\n- 49 参见同上。\n\n42 参见同上。\n\n43 参见同上。\n\n44 参见同上。\n\n47 参见同上，第11段。\n\n50 参见同上。\n\n以下随着时间的推移以及对 Lady May 状况了解的深入可能被证实属于必要的维修项目/任务：\n\n- a. 右舷发动机更换零件。在技术人员能够对发动机进行详细检查并确定损坏程度之前，无法排除对右舷发动机其他零件进行维修和/或更换的可能性。51\n- b. 发动机与传动轴对中。为了吊出发动机进行维修，必须断开传动轴。当发动机降下安装到基座上时，重新连接传动轴并检查对中情况，包括螺旋桨附近支承轴承处的外侧间隙。52 如果传动轴对中不正确，会产生振动并磨损发动机和轴承，若接触到船体，还可能损坏螺旋桨。53\n- c. 不可预见的船体阀门更换零件。从船上拆下的一些阀门可能无法通过测试。当打开阀门检查故障原因时，可能需要更换一些内部零件（例如球体、阀杆、阀座、O型圈或垫片）。54 只有在打开并检查阀门后，才能获知需要更换哪些零件。55\n- d. 左舷发动机燃油泵检查。目前尚未对左舷燃油泵进行检查，该检查可能会发现与右舷燃油泵类似的磨损。56 如果存在磨损，但不如右舷燃油泵严重，则可能只需要更换新泵、对中并更换润滑油。57 但如果磨损更为严重，则需要进行类似于右舷发动机维修的工作。58\n- e. 若发现燃油泵损坏，对左舷发动机进行维修。鉴于右舷发动机已知损坏的程度，左舷发动机可能也需要维修。59 迄今为止，左舷发动机需要维修的程度尚不清楚，只有在技术人员检查发动机时/之后才能进行评估。60\n- f. 需要全新发动机或整套发动机。在进行维修的过程中，技术人员有可能确定，由于工时繁重和/或维修时间漫长以及缺乏可用零件，需要一套全新的发动机。61\n\n51 参见同上，第12段。\n\n52 参见同上。\n\n53 参见同上。\n\n54 参见同上。\n\n55 参见同上。\n\n56 参见同上。\n\n57 参见同上。\n\n58 参见同上。\n\n59 参见同上。\n\n60 参见同上。\n\n这种选择可能是“万不得已的手段”，但可能会成为最佳选择。62 在现阶段，不能排除需要一套全新发动机的可能性。63\n\n17. 附带费用。维修保留款金额未计入与以下各项相关的费用：(i) 在维修期间留用船员；或 (ii) 船体和传动轴认证（由 Lloyd's Register of Shipping（英国劳氏船级社）或 American Bureau of Shipping（美国船级社）进行）。64 尽管与维修没有直接关联，但这些附带费用对于使游艇恢复到良好工作状态是必要的，如果法院设立维修保留款，则应从中支付。\n\n18. 总之，考虑到 (i) 与采购零件、聘请技术人员和/或进行维修方面的延误相关的行业公认风险因素（即长达 150 天），(ii) 未计入的潜在维修项目/任务，以及 (iii) 相关的附带费用，为了确保 Lady May 恢复至良好工作状态而在维修保留款中留存的适当金额为 $3,761,080。65\n\nB. 维修保留款应来源于托管资金。\n\n19. 约定命令明确倾向于资金“如果可行，从托管资金的收益中提取”。66 托管资金已到位并由托管代理人占有。为确保在托管资金退还给 HK USA 之前设立维修保留款，PAX 请求法院就保留款动议发布的任何命令均包含一项指示，即托管代理人将维修保留款金额以有效资金形式从托管资金转移至受托人所在律师事务所的信托账户（如果其愿意接受此类资金，如果不同意，则转移至由受托人控制的用于支取款项的其他合适账户），该转移应根据约定命令第 11 条的规定设立维修保留款。\n\n61 参见同上。\n\n62 参见同上。\n\n63 参见同上。\n\n64 参见同上，第13段。\n\n65 参见同上，第14段。\n\n66 约定命令，第11段。\n\nIV. 结论\n\n20. 基于上述理由，PAX 谨请求法院根据约定命令设立金额为 $3,761,080.00 的维修保留款，款项来源于托管资金。67\n\n日期：2022年9月23日 康涅狄格州哈特福德\nPacific Alliance Asia Opportunity Fund L.P.（太平洋联盟亚洲机会基金有限合伙）\n\n签署人：/s/ Patrick M. Birney\n\nPatrick M. Birney（康涅狄格州执业编号：19875）Annecca H. Smith（康涅狄格州执业编号：31148）ROBINSON & COLE LLP  280 Trumbull Street Hartford, CT 06103 电话：(860) 275-8275 传真：(860) 275-8299 电子邮件：pbirney@rc.com asmith@rc.com\n\n—以及—\n\nPeter Friedman（获准特许出庭）Stuart M. Sarnoff（获准特许出庭）Laura S. Aronsson（获准特许出庭）O'MELVENY & MYERS LLP  Seven Times Square New York, NY 10036 电话：(212) 326-2000 传真：(212) 326-2061 电子邮件：pfriedman@omm.com ssarnoff@omm.com laronsson@omm.com\n\n67 PAX 保留对债务人在其诉状中可能提出的其他论点进行回应的权利。\n\n送达证明\n\n本人特此证明，于2022年9月23日，前述文件的副本已通过电子方式提交，并将根据《地方破产规则》第 9013-2(b) 条的要求进行送达，本提交的通知已通过法院电子提交系统的运行通过电子邮件发送给所有通知当事方，或通过美国头等邮政平信寄送给电子提交通知上显示的任何无法接受电子提交的人员。利害关系方可通过法院的 CM/ECF 系统查阅本文件。\n\n/s/ Patrick M. Birney  Patrick M. Birney","key_entities":["Je","Kwok","Guo","Ho Wan Kwok"],"ecf_references":[{"doc_number":1,"court":"CTB"},{"doc_number":57,"court":"CTB"},{"doc_number":183,"court":"CTB"},{"doc_number":203,"court":"CTB"},{"doc_number":728,"court":"CTB"}],"word_count":3641,"status":"published","published_at":null,"created_at":null,"updated_at":"2026-08-23 13:47:34"}