Hong Kong Court Freezes $1.8 Billion In Wahaha Inheritance Battle
The judgment by Deputy High Court Judge Gary Lam Chin-ching announced on Friday prohibits Kelly Zong, his daughter by marriage also known as Zong Fuli, from "withdrawing or encumbering" any asset from a HSBC account owned by Jian Hao Ventures Ltd., a British Virgin Island company incorporated by her father, pending the conclusion of a parallel lawsuit in Hangzhou or until further court orders, the China Daily said. (See report here.)
Kelly Zong, Wahaha's current CEO, is the defendant and has succeeded her father as Jian Hao's sole director; she is being sued by three reported extramarital children: Jacky Zong, Jessie Zong Jieli and Jerry Zong Jisheng. The trio allege that Kelly Zong breached an agreement to set up offshore trusts worth $2.1 billion after Zong Qinghou died last year, and sought a court order banning Kelly Zong from selling or transferring assets held in the now-frozen account, China Daily said.
Kelly Zong, a graduate of Pepperdine University in California, ranked No. 9 on a list of China's top businesswomen published by Forbes China earlier this year.
Zong Qinghou founded China's beverage giant Hangzhou Wahaha Group in 1987, and went on become the country's richest person over the course of his career.
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