HSBC Sued Over Alleged False Submissions to Court in Hong Kong

HSBC Holdings Plc (HSBA) was sued by a Hong Kong businessman who alleged the bank made false representations to the city’s Court of Appeal to win a decision over the sale of a commercial property in 1987.

HSBC made false submissions to the court to wrongfully procure a judgment, Gurdas Choithramani said in a writ filed today. Gurdas said at a press conference that he is seeking damages for losses in the “hundreds of millions of dollars.”

Esquire Electronics Ltd., the now defunct company owned by Gurdas and his brother, lost an attempt in 2007 to appeal a ruling that HSBC didn’t breach its duty or employ economic duress and undue influence in requiring Esquire to sell a commercial building in Hong Kong’s Kowloon district.

Gareth Hewett, a spokesman for HSBC in Hong Kong, said the bank will vigorously defend the case and declined to comment further.

Gurdas didn’t take any questions at the press conference.

The case is Gurdas S Choithramani and The Hongkong and Shanghai Banking Corporation Ltd., HCA2073/2011, Hong Kong Court of First Instance.

To contact the reporter on this story: Stephanie Tong in Hong Kong at stong17@bloomberg.net

To contact the editors responsible for this story: Douglas Wong at dwong19@bloomberg.net; Chitra Somayaji at csomayaji@bloomberg.net

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