Lutheran Church–Missouri Synod Sues Hong Kong International School over Operating Agreements and Assets

The dispute between the Hong Kong International School (HKIS) and the Lutheran body that the school’s operator calls the LCMS has grown more tense amid a recent wave of regulatory attention. The United States Lutheran Council issued a statement accusing the school of being opaque about three properties in Bay of Light, Chikhu and Grand Mount, which it said have assets worth more than $650 million with no restrictions on sale. The council said this contradicted earlier assurances to the school’s holders that the assets “can’t be sold or converted into coins.”

The conflict dates to September 2025, when the LCMS brought legal proceedings in the High Court against HKISAL. The LCMS alleged that the school had for years violated the operating agreements and the Education Rules of both sides. The school’s administration responded to the LCMS’s letter, which the source describes as unsubstantiated and misleading. HKISAL later called for a parent council to explain the situation to parents and school owners.

The school disputes the council’s account of its property. It says the properties in Bay of Light and Chikhu are staff dormitories, with three uninhabited units currently rented to ensure “best use.” It describes the so-called resort accommodation in Grand Mount as a stone house at “Bast Head Camp” on the Great East Mountain, given to the school by missionaries in the 1970s. According to the school, the building is currently uninhabitable and is used by students for field study and exploration.

The Lutheran council made further claims about the school’s finances. It said HKISAL had mortgaged the Bay of Light property, obtained $720 million, and rented an apartment for $96,000 per month. Citing an estimate of the property values, it said the total for 2025 and 2026 was over $650 million, and that the market value might be higher. It also questioned the school’s statement that it depends on school fees, saying HKISAL accumulated nearly $800 million in surplus in the five years up to 2024. The source does not provide independent verification of these figures, and they remain the council’s claims.

The council’s statement expressed disappointment at the way HKISAL had, in its view, misled the school’s holders. It urged the school to communicate with those holders honestly and transparently, speaking the truth in love (Ephesians 4:15). The school responded that on several occasions it had invited the parties to visit the properties, though not to take them over, and that it remained open to conversations between the two sides.

The school rejected what it called unsubstantiated and misdirected charges, and said that its legal action against the Lutheran body was not for profit.

Source: Read the original report (translated from Mandarin Chinese)