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This reddit comment explains this quite well: https://old.reddit.com/r/Economics/comments/1adnx32/evergran...

> HK is sort of what NY is to the US. It is a peripheral region with some minor degree of autonomy but because it just so happens to house the Chinese version of Wall Street this means it’s judiciary is a little bit special when it comes to dealing with insolvency and other corporate issues.

This means that it very likely means liquidation in China as well.



I have looked at the comment and this person is clueless. What matters here is jurisdiction, and Hong Kong is certainly a different jurisdiction. Political independence of Hong Kong is immaterial.

If you want some actual information I recommend "Cross-Border Insolvency between Chinese Mainland and Hong Kong: The Past, the Present, and the Future" (2022). https://ssrn.com/abstract=4100844


Technically, I think replacing NY with Delaware may be a better comparison - specifically with respect to the Delaware Court of Chancery in which most large US companies litigate business issues.


Even more like City of London vs England.


Not really, if a company goes bankrupt in the City it is bankrupt. There’s no distinction, where’s as here most people believe the Chinese entity will continue to operate as a separate company.


Comparing HK to NYC is very reductive lol.

Though it's kinda funny to imagine the Dutch held onto NYC until the 1990s after which there was some sort of unification process.


> In 1664, the English took over New Amsterdam and renamed it New York after the Duke of York (later James II & VII).

That’s a good 300 years before 1990 :)

https://en.m.wikipedia.org/wiki/New_Amsterdam


GP is talking about an imaginary hypothetical situation in which NYC would be dutch held until the 1990s, not the real-world timeline


If DC took NYC by force.




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