HongKong and Shanghai Banking Corporation Limited (Appellant) v Bettas Limited (Respondent) (Bahamas)

Case summary

Case ID

JCPC/2025/0055

Jurisdiction

Bahamas

Parties

Appellant(s)

The HongKong and Shanghai Banking Corporation Limited

Respondent(s)

Bettas Limited

Issue

Did the judge err in ordering HSBC to repay to Bettas the funds in its HSBC account together with both: (i) interest (to be assessed if not agreed) from the commencement of proceedings in 2011 until the date of judgment; and (ii) statutory interest from the date of judgment until the date of payment?

Facts

HSBC is a bank registered in Hong Kong. Bettas is a Liberian company. In 1986, Bettas opened an account at HSBC’s branch in The Bahamas and deposited $26.4 million in the account. In 2011, Mr Adrian Kundanmal (“AK”), the son of one of Bettas’s founders, contacted HSBC seeking a statement for the account. AK claimed to be a director (and sole shareholder of) Bettas. HSBC was not satisfied that AK had authority to act on behalf of Bettas. HSBC refused to provide a statement without a court order requiring it to do so. In 2011, Bettas sued HSBC for, inter alia, a declaration that Bettas was entitled to repayment of the funds in the account. In 2023, the judge found in favour of Bettas, concluding that AK had had authority to act on behalf of Bettas and making the declaration sought. The judge’s order also awarded Bettas: (i) “interest on the funds held by [HSBC], from the commencement of proceedings to the date of the Judgment; such interest to be heard and determined by a Judge in Chambers, if not agreed”; and (ii) “interest at the statutory rate of 6.25% per annum from the date of Judgment to the date of payment on the funds held to its order”. HSBC appealed on various grounds, but did not appeal against elements (i) or (ii) of the judge’s order. The Court of Appeal dismissed the substantive parts of HSBC’s appeal, and did not vary (i) or (ii). HSBC then sought permission to appeal on the single issue of whether the judge erred in ordering both (i) and (ii). The Court of Appeal granted HSBC leave to appeal to His Majesty in Council.

Date of issue

19 June 2025

Case origin

Appeal As of Right

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