Over 500 ex-staff of defunct Hong Kong newspaper Apple Daily may receive HK$49 million in back pay, court hears
Hong Kong Free Press
Hong Kong’s defunct newspaper Apple Daily, founded by jailed media mogul Jimmy Lai, may be able to pay HK$49 million to more than 500 former staff, a court has heard in a winding-up petition hearing.
The High Court on Wednesday heard an application from two former employees of Apple Daily Limited, who urged the court to wind up the company that ceased operations in June 2021 after its senior executives were arrested and later charged under the national security law.
Local media reported that the liquidation request was filed on April 12 by Chan Hon-wing and Yeung Yu-ching, who claimed that more than 580 employees had not been paid.
During Wednesday’s hearing, representatives of the petitioners revealed that the Employees Compensation Assistance Fund Board had intervened. Former Apple Daily staff may receive compensation totalling HK$49 million, media reports read.
Master Hui Ka-ho adjourned the case until November 6 for both parties to make further discussions.
Rare wind-up request from gov’t
In a rare move, Hong Kong’s Financial Secretary Paul Chan in September 2021 asked the High Court to wind up Next Digital, Apple Daily’s parent company, citing “public interest.” With no opposition, the High Court ordered Next Digital to wind up in December that year. Provisional liquidators were appointed to take over proceedings to wind up the company.
Apple Daily’s founder Lai and three companies linked to the shuttered media outlet are currently on trial for an alleged conspiracy to collude with foreign forces and conspiring to publish “seditious materials.”
The trial was adjourned on its 90th day last month after prosecutors officially closed their case against the 76-year-old pro-democracy tycoon, who could face up to life imprisonment if convicted. He is currently serving a jail term of five years and nine months for a separate fraud conviction.
The case will resume on July 24 to hear the defence arguments. Lai’s team is expected to present a “no case to answer” argument, in which the defence seeks the acquittal of the defendant by putting to the court that the prosecution’s evidence is insufficient.
Beijing inserted national security legislation directly into Hong Kong’s mini-constitution in June 2020 following a year of pro-democracy protests and unrest. It criminalised subversion, secession, collusion with foreign forces and terrorist acts – broadly defined to include disruption to transport and other infrastructure. The move gave police sweeping new powers and led to hundreds of arrests amid new legal precedents, while dozens of civil society groups disappeared. The authorities say it restored stability and peace to the city, rejecting criticism from trade partners, the UN and NGOs.
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