A Hong Kong court dismissed a HK$12 million claim against actress Cecilia Cheung by her former agent Samuel Yu Yuk-hing, president of Asia Entertainment Group (AEG), on June 16. The claim alleged Cheung reneged on promises to star in multiple AEG-produced films between 2011 and 2019 [1, 2, 3].
The High Court found that Cheung, 46, never signed the exclusive management contract Yu relied on and did not receive any advance payments for the films in question. The court ruled that the contract from 2011 was likely fabricated by Yu’s younger brother to evade tax liabilities [1, 2, 3].
Yu also failed to prove he had paid Cheung HK$2.76 million in advances for appearances in two films from 2011 to 2014 [1, 2, 3]. The Inland Revenue Department previously investigated a HK$40 million payment made by AEG to Cheung in July 2011 [1, 2, 3].
Mr Justice Herbert Au-yeung Ho-wing described Yu as an “incredible” witness who was evasive and inconsistent across multiple subjects. The judge said Yu exhibited "low business morality" and was willing to forge documents to deceive tax authorities [2].
The court accepted Cheung’s testimony as credible but found that her assistant Emily Chow withheld key information regarding contract preparation [3].
Following the ruling, Cheung was awarded her legal costs by the High Court [1].
The lawsuit was initially filed by Asia Entertainment Group and Samuel Yu in 2020, accusing Cheung of contract breaches. The June 16 judgment puts an end to the six-year dispute [1].
