Koo Ming-kown and 5 Other Pui Ching Primary School Alumni Sue Baptist Convention, Alleging Unlawful Misappropriation of Trust Donations for Teaching Building Renovation
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Koo Ming-kown, nicknamed the “Electronics King,” along with 5 other Pui Ching Primary School alumni, has filed a writ at the High Court against the school’s sponsoring body, the Baptist Convention of Hong Kong (BCHK), alleging that BCHK induced alumni to donate under the pretext of renovating the Pui Ching Primary School teaching building, but the new teaching building was in fact occupied by the BCHK Academy. They are seeking the return of the building’s construction costs. The case opened at the High Court today, with the alumni side arguing that BCHK held the Pui Ching bank account in trust, but the area above the 7th floor of the teaching building concerned was not used for Pui Ching Primary School teaching purposes, contrary to the donors’ intentions and amounting to improper misappropriation of trust funds.
🏛️ Plaintiffs Say Donations Totalled Over HK$30 Million, Seek Return
The plaintiffs are Lai Chik-kun, Koo Ming-kown, Chieng Sai-yung, Woo Hon-yue, Chan Tak-wah and Ko Jack-lum, represented by Senior Counsel Suen Ching-kin and Barrister Ng Ka-cheung. The defendant is the Baptist Convention of Hong Kong, represented by Senior Counsel Chan Lok-shun, Barrister Yip Hoi-long and Ko Lun. The plaintiffs’ writ alleges that BCHK raised funds from alumni years ago under the name of renovating the Pui Ching Primary School teaching building, with the plaintiffs donating over HK$30 million in total, but most of the teaching building was allocated for use by the BCHK Academy, and expenses such as construction and management fees were borne by Pui Ching Primary School. The plaintiffs contend that BCHK made false representations and seek the return of donations.
💬 Plaintiffs: BCHK Is Merely a Manager, Holding Property on Trust for Pui Ching
The plaintiffs’ opening submissions today stated that BCHK manages assets for Pui Ching Primary School in the form of a charitable trust, but BCHK improperly misappropriated donations in the Pui Ching Primary School bank account at the time, whereas alumni expected donations to be used for Pui Ching Primary School, not other purposes. The plaintiffs also mentioned that Koo Ming-kown donated HK$20 million in the matter, and that this donation had earlier been returned by BCHK, although BCHK publicly claimed it was a procedural defeat, which was not in fact the case. The plaintiffs argued that BCHK differs from ordinary sponsoring bodies in that it did not fund the establishment of Pui Ching Primary School. The original funders handed it to BCHK to serve as sponsoring body only because of changes in the domestic situation at the time. The Pui Ching Primary School land lease is held by Pui Ching forebears, and the related construction costs were paid by alumni, unrelated to BCHK. BCHK is merely a manager, holding the property on trust on behalf of Pui Ching and managing the bank account.
🏫 Floors 8 to 15 of the Building Concerned Not Permitted for Pui Ching Students
The area above 24 metres in the new teaching building concerned—that is, floors 8 to 15 and the rooftop—is not permitted for use by Pui Ching Primary School students, nor will those floors be used for Pui Ching teaching purposes. The building contains a gym and adult toilets, among other facilities, none of which are suitable for primary school students. The new building does not represent proper use of Pui Ching Primary School’s resources and is contrary to alumni intentions. The plaintiffs also argued that the BCHK Academy is profit-making in nature, while Pui Ching Primary School is funded by alumni donations, equivalent to a subsidised school.