Court nullifies EGM called by Indian Corridor

  • Business
  • Saturday, 26 Jan 2008

PETALING JAYA: The EGM called by Indian Corridor Sdn Bhd that was to be held today in Penang seeking the removal of six directors of Golden Plus Holdings Bhd (GPlus) was nullified by the Shah Alam High Court yesterday. 

In a statement, GPlus said the company obtained the order that nullified the special notice dated Dec 27, 2007.  

The statement said Justice Datuk Mariana Yahya at the hearing declared the: 

1) Special notice dated Dec 27 purporting to call for an EGM of GPlus today ultra vires Section 144 Companies Act, 1966 is null and void; 

2) Special notice for the en bloc removal of GPlus directors at the proposed EGM ultra vires Section 128 Companies Act, 1965 is null and void; and 

3) Convening of the proposed EGM by Indian Corridor and Pembangunan Qualicare Sdn Bhd (PQ) at a venue in Penang outside the place of the registered office of GPlus is mala fide and invalid. 

In a separate statement, Indian Corridor chief executive officer Datuk Alex Ooi said: “We are disappointed that GPlus board has taken drastic steps to stop shareholders from exercising their rights to decide and vote on who should manage their company. Nevertheless, we respect the court’s decision. 

“As shareholders ourselves, we will not give up this right to protect shareholders’ interest and investment. We will be filing an appeal.'' 

Ooi's contention was that the rate of return from GPlus' property development in Shanghai was too low and the management fee charged by China Ideal Development too high. 

That is why GPlus is embroiled in a battle for board control whereby Indian Corridor and PQ, which has nearly 19% stake in GPlus, want to remove all the GPlus directors via the EGM and replace them with their own five directors. 

The GPlus statement said: “We had on Jan 24 lodged an official complaint with the SC concerning Ooi’s involvement in market manipulation activities as well as his role in providing false information to the public. 

“Further, we are of the opinion that Ooi’s actions had been improper as he had continuously made damaging and baseless allegations against the GPlus board to the mass media.'' 

The statement, quoting a companyspokesman, further said: “In the latest development, three GPlus directors – Tan Sri Lamin Mohd Yunus, Yeoh Hor San and Jeyaraj Ratnaswamy – had individually obtained an ex parte injunction restraining PQ, Indian Corridor and Ooi from making any further defaming statements against the present GPlus board to the public. These orders are being served.'' 

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