What suspicion did the court have regarding the 2011 contract?

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The court suspected the 2011 exclusive management contract was created by Yu’s younger brother after tax scrutiny began.

The Hong Kong High Court found it highly likely that a purported 2011 exclusive management contract was “created” by Samuel Yu Yuk-hing’s younger brother. This was linked to the timing after Hong Kong’s Inland Revenue Department began investigating a HK$40 million payment AEG made to Cecilia Cheung in July 2011.
The contract’s origin was questioned after an Inland Revenue probe began
The court treated the 2011 contract as highly likely to have been manufactured rather than genuinely executed. It pointed to the start of Inland Revenue investigation into AEG’s HK$40 million payment to Cheung in July 2011 as a key turning point in the timeline.
The court tied the suspected creation to Samuel Yu’s family
The judge concluded that the contract was likely created by Yu’s younger brother. This finding addressed the foundation of Yu’s case, where Yu relied on the exclusive management agreement that the court said Cheung never signed.
The judge found Yu’s evidence unreliable on multiple points
The court described Samuel Yu as an “incredible” witness, citing evasive behaviour and internally inconsistent evidence. It also stated Yu demonstrated poor business ethics by being willing to forge documents to mislead tax authorities.
The ruling ended Yu’s multimillion-dollar claim over film appearances
The dispute involved Yu’s claim that Cheung breached agreements to appear in films produced by AEG between 2011 and 2019. The High Court dismissed the HK$12 million claim by ruling that Yu failed to establish the contractual basis and failed to prove advance payments totalling HK$2.76 million for two AEG films between 2011 and 2014.

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What suspicion did the court have regarding the 2011 contract?

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