/raid1/www/Hosts/bankrupt/TCRAP_Public/010402.MBX             T R O U B L E D   C O M P A N Y   R E P O R T E R

                        A S I A   P A C I F I C

                 Friday, March 30, 2001, Vol. 4, No. 63


                               Headlines

A U S T R A L I A

ANSETT AUSTRALIA: Expects Loss To Balloon To $170M
BHP LIMITED: Stops Orinoco HBI Investment
HIH INSURANCE: Collapse Hurts Legal Services
RECKON LIMITED: Attempt to Sell Software Business Fails


C H I N A   &   H O N G  K O N G

GOGOOD COMPANY: Faces Winding Up Petition
HUGO WEALTH: Petition To Wind-Up
JILIN CHEMICAL: Reports Worse-Than-Expected Loss
LONG DO: Faces Petition To Wind Up
RECKON HONGKONG: Likely To Appoint Liquidator
SIU WIN: Faces Petition To Wind Up
ZHENGZHOU BAIWEN: Faces Chances Of Delisting


I N D O N E S I A

APAC GROUP: In Talks For Debt Restructuring
ARTHA GRAHA: Approval Likely For Debt Restructuring


J A P A N

FUKUTOKU BANK: Ex-Execs Acquitted In Breach-Of-Trust Case
MITSUI CONSTRUCTION: Creditors To Grant Y142-B Debt Waiver


K O R E A

HAITAI CONFECTIONARY: Gets Extension On Debt Repayment
HYUNDAI ENGINEERING: Huge Bailout by Creditors Likely
KOREA DELPHI: On The Verge Of Bankruptcy
SSANGYONG CORPORATION: Under The Charge Of Exchange


M A L A Y S I A

ANSON PERDANA: Restraining Order Expires
CELCOM TIMUR: TRI Considers To Sell Stake
OPTICS STORAGE: Enters Into Debt Restructuring Deal


P H I L I P P I N E S

MAYNILAD WATER: ADB Rejects Bid To Restructure Loan
METRO PACIFIC: Receives $90M Aid From First Pacific
URBAN BANK: Banco de Oro Stops Talks


S I N G A P O R E

FHTK HOLDINGS: Posts Loss Of S$37.2M In 9 Months
RECKON SINGAPORE: To Appoint Liquidator


T H A I L A N D

SIAM CITY: ECD Finds Irregularities In Loan Grants
SINO-THAI: Sells Subsidiary
THAI PETROCHEMICAL: Report On Plan Progress Revealed


     -  -  -  -  -  -  -  -  -  -

=================
A U S T R A L I A
=================


ANSETT AUSTRALIA: Expects Loss To Balloon To $170M
--------------------------------------------------
Ansett Australia expects that its $119-million loss in the first
half would burgeon to $170 million for the year ending in June,
Sydney Morning Herald reported citing securities analysts.

Mr. Selwyn Cushing, chairman of Air New Zealand that owns Ansett,
said the group is expecting this figure as Australia's economic
conditions, plus the competition, has affected the business.

Following these disheartening projections, investors have left
Air NZ and Qantas shares, leading to a drop in trading share
prices.


BHP LIMITED: Stops Orinoco HBI Investment
-----------------------------------------
BHP Limited (BHP) announced Thursday at the Australian Stock
Exchange it would write-off its equity investment in the
Venezuela Hot Briquetted Iron (HBI) facility, cease any further
investment, and raise provisions to support BHP's total financial
obligations in relation to the asset.

The Orinoco HBI plant is operated by Orinoco Iron and is a joint
venture between International Briquettes Holding (IBH) and BHP.

The decision follows completion of a detailed review of the
future economic value of the asset initiated as a result of a
poorer-than-expected commissioning performance, a deterioration
in the market for HBI, and a requirement for significant
additional capital and other expenditures.

The review identified that, in the context of changed operating
and market conditions, BHP does not expect the plant to meet
BHP's operational and financial performance targets necessary to
justify any further investment in the project, nor would it
satisfy bank completion requirements for project financing.

The financial consequences of BHP's decision are a write-off of
the carrying value of the asset of US$168 million, the raising of
a provision to cover its financial liability to the banks of
US$313 million including interest costs, and legal, direct and
indirect costs amounting to US$34 million. This will result in an
after tax charge of approximately US$410 million. The charge will
be taken in the quarter ending March 31, 2001.

President of BHP Minerals, Ron McNeilly, said: "The action is an
appropriate portfolio management decision given the new
information in relation to the outlook for the economic value of
BHP's investment and the requirements for additional
expenditures. Effective immediately BHP will not invest further
financial resources in the development of this project."

BHP initiated a detailed review of the Orinoco Iron HBI facility
late last year. As of December 31, 2000, the plant had produced
139,000 tons of briquettes against a forecast of 214,000 tons
since commissioning. Production in the third quarter has
continued to be seriously diminished.

In combination with commissioning difficulties, pricing for the
product from the plant has also deteriorated significantly over
the last twelve months, associated with the weakness in the
demand by the United States steel industry. A recovery of prices
into this market is not expected to occur over the short to
medium term.

BHP is assisting Orinoco Iron and International Briquettes
Holding in seeking alternative sources of funding required for
the project to continue.


HIH INSURANCE: Collapse Hurts Legal Services
--------------------------------------------
The collapse of HIH Insurance has hurt the legal service sector,
casting shadows on their professional indemnity insurances, which
then led to suspension of legal services by 150 community legal
centers in Australia, Courier Mail reported Friday.

Indemnity insurance gives financial protection to service
providers in the event of legal actions against their practice or
profession.

Among the large legal services centers that put off operations
are Caxton Legal Center in Queensland, Brisbane's women's and
prisoners' legal services and the Townsville Community Legal
Service, Courier Mail said.


RECKON LIMITED: Attempt to Sell Software Business Fails
-------------------------------------------------------
Reckon Limited reported Thursday to the Australian Stock Exchange
that negotiations to sell 80 percent of the software businesses
in Singapore and Hong Kong to local management have been
unsuccessful. In the negotiations, Reckon would retain only a
minority stake of 20 percent.

Reckon Limited advised the directors of Reckon Singapore Pte Ltd
and Reckon Hong Kong Limited that it has withdrawn its financial
support for those companies, effective immediately. As those
companies have a net deficiency of assets, it is likely the
directors of Reckon Singapore Pte Ltd and Reckon
Hong Kong Limited will appoint liquidators to those businesses.

As of December 31, 2000, Reckon Limited had fully provided for
its exposure to these companies. No further losses are expected
to arise.


================================
C H I N A   &   H O N G  K O N G
================================


GOGOOD COMPANY: Faces Winding Up Petition
-----------------------------------------
Gogood Company Limited is facing a petition to wind up filed in
the High Court of Hong Kong on January 29, 2001, by Silverwood
Limited, registered office at 26th floor, MassMutual Tower, 38
Gloucester Road, Wanchai, Hong Kong. The petition is scheduled to
be heard before the court on April 11, 2001 at 10 a.m.


HUGO WEALTH: Petition To Wind-Up
--------------------------------
Hugo Wealth Limited is facing a winding-up petition filed in the  
High Court of Hong Kong on February 28, 2001, by the Man Kam
Tong, registered office at flat B, 3rd floor, 166-170 Apliu
Street, Kowloon, Hong Kong. The petition will be heard before the
court on May 9, 2001.


JILIN CHEMICAL: Reports Worse-Than-Expected Loss
------------------------------------------------
Jilin Chemical kicked off the H-share petrochemical stocks
reporting season with a worse-than-expected net loss of 835.99
million yuan last year, raising concerns about the effect of high
oil prices on other stocks in the sector.  

The loss by the chemical and synthetic rubber-maker compares with
a profit of 148.8 million yuan in 1999, despite a 26.9 percent
rise in turnover to 13.39 billion yuan.

The loss was attributed to a 670 million yuan write-off of old
equipment, announced in December last year, and 300 million yuan
of redundancy costs.  

But BNP Prime Peregrine analyst Eva Chu believes poor cost
control amid rising prices for crude oil, the major raw material
for its end-products, caused the poor performance.

Goldman Sachs (Asia) director of research Huang Shuming said she
expected many mainland petrochemical firms to post poorer second-
half results.


LONG DO: Faces Petition To Wind Up
----------------------------------
Hong Kong Long Do Dyeing & Finishing Fty Limited is facing a
petition to wind up filed with the High Court of Hong Kong on
February 22, 2001, by Wong Min whose registered office is located
at flat G, 10th floor, Block 8, Richland Garden, Kowloon, Hong
Kong. The petition will be heard before the court on May 2, 2001,
at 9:30 a.m.


RECKON HONGKONG: Likely To Appoint Liquidator
---------------------------------------------
Reckon Hong Kong, one of the two Asian ventures of Reckon
Limited, may appoint liquidators, AAP reported Friday.

"As those companies have a net deficiency of assets, it is likely
the directors of Reckon Singapore and Reckon Hong Kong will
appoint liquidators to those businesses," Reckon explained.

This came out following the announcement made by Reckon Limited
that it had withdrawn its financial support from these companies,
a move resulting from the failed negotiations to sell 80 percent
of its Asian ventures to local management in the two countries.

In December Reckon projected losses reaching $23 million.


SIU WIN: Faces Petition To Wind Up
----------------------------------
Siu Win Holdings Company Limited is facing a petition to wind up
filed in the High Court of Hong Kong on February 26, 2001, by The
Daiwa Bank Limited, registered office located at 2-2-1 Bingo-
Machi, Chuo-ku, Osaka City, Oaka, Japan. The agent and wholly
owned subsidiary are on the 11th floor, United Center, 95
Queensway, Hong Kong. The petition will be heard before court on
May 9, 2001 at 9:30 a.m.


ZHENGZHOU BAIWEN: Faces Chances Of Delisting
--------------------------------------------
Zengzhou Baiwen, incurring net losses for three consecutive
years, has been placed under "Particular Transfer" (PT), making
it the first stock in the PT trading curb in Shanghai, China
Daily reported. Under PT, the company has suspended stock
trading.

According to the Daily, analysts said that if Zhengzhou Baiwen
could not come up with and pull off a rescue plan, it would most
likely head for delisting. The debt-laden Zhengzhou-based
retailer has been in the red since 1998 and is now facing
bankruptcy due to the bad performance of its restructuring
program. The petition to declare the company bankrupt was filed
by Cinda, the asset management company, which assumed Zhengzhou
Baiwen's debts from the China Construction Bank, to which the
retailer owes 2.5 billion yuan.

However, an analyst noted that the survival of the company would
now depend on the results of its asset restructuring.


=================
I N D O N E S I A
=================


APAC GROUP: In Talks For Debt Restructuring
-------------------------------------------
Apac Group is undergoing negotiations in its bid for debt
restructuring at the Indonesian Bank Restructuring Agency, Bisnis
Indonesia reported Friday.

Apac Group's debts amount to Rp472 billion and Rp657.8 billion in
foreign currency. Two of its debts are still in the negotiations
process, while two are in the process of signing memorandum of
agreement, and three of them had inked MoUs, Bisnis said.

"Most of the companies under this group are in the textile
industry," said Riswinandi, division head of Loan Work Out II AMC
of IBRA. He also added, Bisnis said, that there won't be major
impediments to the approval of Apac's debts.


ARTHA GRAHA: Approval Likely For Debt Restructuring
---------------------------------------------------
According to an IBRA official, the Artha Graha Group will likely
get an approval for its bid for debt restructuring at the
Indonesian Bank Restructuring Agency (IBRA), Bisnis Indonesia
reported Friday. The proposal is still undergoing negotiation
process.

Artha Graha, Bisnis said, has debt obligations to IBRA amounting
to Rp1.02 trillion. Its six debtors are under negotiations, while
two others are underway into signing a memorandum of
understanding (MoU). One debtor had already signed credit
agreement and one debtor had made cash payments.

"Some of the shares of companies under this group are owned by
Tommy Winata," said IBRA official said.


=========
J A P A N
=========


FUKUTOKU BANK: Ex-Execs Acquitted In Breach-Of-Trust Case
---------------------------------------------------------
Koji Oike, 60, and Mutsuo Higashi, 60, former top officials of
the defunct Fukutoku Bank were cleared Wednesday by the Osaka
District Court of aggravated breach of trust charges, Yomiuri
Shimbun reported Thursday. Both were accused of extending illegal
loans, which allegedly caused damages to the bank's finances, the
report said.

The District Court Judge Nobuyuki Yokota ruled that the bank's
former president and former executive director had knowledge of
the legal implications of extending "bad" loans. Also, they
executed the actions with the intention that such would be
beneficial to the bank and not for personal gains, Shimbun said.
In addition, the court also cited that the two believed their
actions were intended to reduce the number of bad loans held by
the bank, and advance its then-proposed merger with Naniwa.

Oike and Higashi were indicted in 1999 on charges of causing
losses amounting to about Y8.2 billion, the same amount of loans
extended to three affiliates of three of the bank's major
borrowers. Only about Y2.5 billion was collected from the parent
companies.

The prosecutors of the case demanded 5 years' and 3 years'
imprisonment for Oike and Higashi respectively, the report said.


MITSUI CONSTRUCTION: Creditors To Grant Y142-B Debt Waiver
----------------------------------------------------------
Mitsui Construction Company will get a Y142-billion debt waiver
on outstanding loans from nine major creditors, Japan Times
Online reported Friday. This came, Times said, after Sakura Bank
and other financial institutions under the Mitsui group reached a
decision to waive Y126.18 billion as per request of Mitsui
Corporation.

This course of action, which will cover third-party allocation of
new shares, is included in the financially troubled company's
rehabilitation plan, Times said.

With this plan, Mitsui Construction is expected to post Y141.97
in extraordinary profit, to set off losses amounting to Y170
billion yen in fiscal year 2000 ending March 31, 2001, Times
said.

The company's original debt waiver proposal would have covered
Y163 billion, which creditors disapproved, and thus was cut down
to Y142 billion.

The construction firm will cut its workforce by 10 percent to
2,900 by until end of March 2003 and its affiliates to 28 from
42, as stipulated in the company's five-year rehabilitation plan,
the Times said.

In June, its president Kazuhiro Inamura is scheduled to resign
from his post, the Times reported as told by company officials.


=========
K O R E A
=========


HAITAI CONFECTIONARY: Gets Extension On Debt Repayment
-------------------------------------------------------
Haitai Confectionary, formerly a subsidiary of Haitai Group,
received an extension on its debt repayments for maturing loans
as the company's creditors approved to defer payments on
Thursday, The Digital Chosun reported. The deferment will take
effect until the company is sold at the end of September.


HYUNDAI ENGINEERING: Huge Bailout by Creditors Likely
-----------------------------------------------------
Creditors of Hyundai Engineering & Construction Company (HECC)
are deciding whether to provide the ailing contractor a bailout
package worth W2.9 trillion to rescue company's operations,
Bloomberg reported Thursday, citing an official of Korea Exchange
Bank. This proposed bailout package is broken down into a debt-
to-equity conversion worth W1.4 trillion and a buy-out of about
W1.5 trillion of convertible bonds and new shares.

Bloomberg reported investors are confident that this move will be
helpful in salvaging the company from possible court receivership
or closure.

Last year HECC incurred W3 trillion in losses. It also had
written off overdue overseas contracts for the last 20 years in
the 2000 earnings. The company is currently having a hard time
fulfilling its agreement with the government and banks aimed to
refinance its debts in exchange for reduction of debts amounting
to W4.5 trillion, because the amount exceeds its assets of W900
billion.

In February HECC was able to source W57.1 billion in cash in
self-rescue efforts. This month it had to secure another 40
billion won under the same plan as agreed with its creditors.


KOREA DELPHI: On The Verge Of Bankruptcy
----------------------------------------
Korea Delphi, the largest Daewoo supplier, is on the brink of
bankruptcy, Asia Pulse reported Wednesday, joining 25 other
Daewoo primary and secondary Daewoo contractors that have
plummeted into insolvency . Citing the Korean automaker, the
Pulse said 30 more parts suppliers are bound for closure in the
near future.

Korea Delphi provides Daewoo 75 percent of its auto parts
production requirement, including air conditioners and brakes.
The supplier was able to trade W81.6 billion in new notes from
Daewoo, which comprised about 28 percent of the whole amount that
came from the automaker.

Delphi has outstanding debts totaling W95.3 billion owed to Korea
Development Bank and obligations amounting to W22.2 billion,
including matured notes to 222 subcontracting suppliers, two
months' back wages to about 2,000 workers, and technical
licensing fees.


SSANGYONG CORPORATION: Under The Charge Of Exchange
---------------------------------------------------
Ssangyong Corporation has been reassigned by the Korea Stock
Exchange (KSE) under supervised stocks today, the Korea Herald
reported. This decision was affirmed after the company's auditors
rejected KSE's request to articulate its notes and opinion on
company's financial statements. Trading will be suspended on
April 2.


===============
M A L A Y S I A
===============


ANSON PERDANA: Restraining Order Expires
----------------------------------------
At the Kuala Lumpur Stock Market, Anson Perdana Berhad announced
that the Restraining Order granted by the Kuala Lumpur High Court
under Section 176 of the Companies Act, 1965 expires on March 24,
2001.

The company has also submitted an application to the High Court
for an extension of the Restraining Order. A hearing is pending.

                    Background

Anson Perdana Berhad was originally solely involved in plantation
activities in Kelantan. Between 1987 and 1988, its Kelantan
estates were sold. Following this, the company acquired
plantation interests in Perak and also moved into property
development activities. The latter has become its core business
since.

Through its subsidiary, the company is also involved in the
trading of building materials and timber products and
manufacturing of large diameter concrete pipes and sound barrier
system.

The 1997 financial crisis had had an adverse effect on the
operations of the Group and the company. In view of these adverse
financial conditions, the Group had in December 1998 sought the
assistance of the Corporate Debt Restructuring Committee (CDRC)
to restructure the maturities of its short-term debts.

The company has appointed Arthur Andersen Corporate Advisory Sdn
Bhd as an independent financial consultant to provide advisory
services pursuant to a scheme.

In October 1999, the company also appointed Moores Rowland
Consulting Sdn Bhd as an additional advisor to act directly on
behalf of the Group to develop and negotiate with the financial
institutions, trade and other creditors on an integrated debt-
restructuring scheme.

On September 25, 2000, the High Court granted a three-month
restraining order for the company to implement the scheme.


CELCOM TIMUR: TRI Considers To Sell Stake
-----------------------------------------
Technology Resources Industries Berhad (TRI) announced at the
Kuala Lumpur Stock Exchange that its subsidiary Celcom Timur
(Sarawak) Sdn Bhd (CTS) has filed a claim against another
subsidiary, Celcom (M) Sdn Bhd (Celcom) for RM102,616,990.79
for fibre optics links.

Celcom admits the debt but disputes the amount, as both parties
could not agree on charging methods.

As Celcom and CTS are still negotiating for an out-of-court
settlement and the other shareholder of CTS, Sarawak Electricity
Supply Corporation (SESCO), has indicated their interest to
acquire the company's stake in CTS, TRI would consider all
options.


OPTICS STORAGE: Enters Into Debt Restructuring Deal
---------------------------------------------------
Trans Capital Holding Berhad (TCHB) announced on Wednesday at the
Kuala Lumpur Stock Exchange that its wholly-owned subsidiary
Trans Capital Sdn Bhd (TCSB) entered into a trade debt
restructuring agreement with Optics Storage Pte Ltd on March 23,
2001. The agreement was made for the following:

1) The amount owing to TCSB by Optics amounting to S$4,002,106
(the optics debt) will be fully converted into 4,002,106 shares
of S$0.25 each (the new shares) in Optics and the Optics Debt
will be wholly and irrevocably cancelled. The New Shares will be
issued at S$1.00 each.

2) Optics will as soon as possible after the signing of the
agreement and in any event not later than seven (7) days from the
date of the agreement issue the new shares to TCSB.

3) The agreement is to formalize the terms of the memorandum of
understanding which TCSB signed with Optics and Edwin Long, Chew
Juan and Ashburton Minerals Limited on November 24, 2000.

                      Salient Terms of Agreement

The parties agree that it will at all times:

- Use all means reasonably available to them (including their
voting power, direct or indirect, in relation to Optics) to
ensure that Optics and any director of Optics and/or its
subsidiaries (and any alternate to such director) shall implement
the provisions of the agreement relating to Optics; and

- Cooperate in good faith and execute such further documents and
such other action as may be reasonably required in order to give
full effect to the provisions and intent of the agreement.

The Agreement constitutes the entire agreement between the
parties, and supersedes any previous agreement, understanding,
arrangement, communication or expression of intent, with respect
to the subject matter thereof whether oral or reduced to writing.

Some of the salient conditions set out in the agreement are as
follows:

- No amendment of or addition shall be made to the agreement
unless it is in writing and signed by or on behalf of the
parties,

- If there is any inconsistency between the provisions of the
agreement and the memorandum and articles of association of
Optics. The parties agree to make such amendments to the
memorandum and articles of association of Optics as may be
necessary to render such memorandum and articles of association
consistent with the provisions of the agreement.

- If at any time any one or more of the provision of the
agreement therein is or becomes illegal, invalid or unenforceable
in any respect under the applicable laws of any jurisdiction,
neither the legality, validity or enforceability of the remaining
provisions thereof, nor the legality, validity or enforceability
of such provision under the applicable laws of any other
jurisdiction, shall in any way be affected or impaired thereby.

                   Optics, Its Background

Optics was incorporated in Singapore on June 23, 1993 as a
private limited company under its present name. Its present
authorized share capital is S$8 million divided into 32 million
ordinary shares of S$0.25 each, of which 22,179,480 shares of
S$0.25 each are issued and fully paid-up.

The principal activities of Optics are research and development,
manufacture and sale of optical storage devices for the computer
and electronics industry.

Optics has the following subsidiaries and associated companies:
Moss Labs Pte Ltd, engaged in research and development of
Singapore Optical Storage Devices; and Vega Technologies Pte Ltd
engaged in the distribution of computer.

                           Rational

In order to facilitate the proposed listing of Optics and the
subsequent proposed raising of working capital through a public
issue, Optics would be required, as a condition precedent, to
retire its outstanding debt with major creditors. In view of
this, the debts owing by Optics to TCSB is proposed to be settled
via the issue of Optics shares which will subsequently be
converted to Ashburton shares per the terms of the MOU.

None of the Directors, substantial shareholders and persons
connected with the Directors and/or substantial shareholders of
TCHB has any interest, direct or indirect, in the proposed
investment.



=====================
P H I L I P P I N E S
=====================


MAYNILAD WATER: ADB Rejects Bid To Restructure Loan
---------------------------------------------------
Asian Development Bank (ADB) has denied Maynilad Water Services
Incorporated of the approval to Maynilad's bid to restructure the
loans it took after Metropolitan Waterworks and Sewerage System
(MWSS), Business World reported. The debt-restructuring proposal
was sighted by the Lopez-controlled water supply provider as one
of the means that would pluck the company out of its financial
woes, which was aggravated by hefty losses from the peso plunge.

Francis Giles B. Puno, Maynilad director for project finance,
suggested the government should spearhead new talks with ADB and
World Bank's International Bank for Reconstruction and
Development, World said.

However, Gunther Hecker, ADB country director, said such
renegotiation would only serve as a stop-gap measure which may
not completely solve Maynilad's problem, resulting from further
plunge of the peso against the dollar, World said.

Maynilad took $800 million in debt from MWSS, $249.23 million of
which came from ADB. In 1999, Maynilad received another loan
worth $170 million intended for its expansion and improvement
projects. Of the sum of these, $200 million had been repaid.


METRO PACIFIC: Receives $90M Aid From First Pacific
---------------------------------------------------
Metro Pacific Corporation (MPC) has received $90 million in  
temporary funding from Hong Kong-based conglomerate First Pacific
Company Limited, and will use it to pay for $8 million of
convertible funds due in April, Business World reported.

According to MPC vice-president for corporate development Michael
P. Goco, the World report said, the transaction had to seek
approval from shareholders of First Pacific and the Bangko
Sentral ng Pilipinas (BSP), among other conditions. Also, he
added, the financing bears a 15 percent interest and payable
within the period until December.

MPC owes $125 million in debts to wholly owned subsidiary Metro
Pacific Capital Limited. In addition, the property firm has long-
term debt obligations amounting to P8.11 billion and interest-
bearing debts worth P18 billion. Only P4.5 billion of the amount
has been paid. It also has incurred foreign exchange losses of
P394 million.   

Goco said MPC intends to reduce its obligations, compelling it to
divest its interests in non-property related subsidiaries, which
has already generated revenues totaling P16.08 billion. He added
that these divestments are also under the company's plan to focus
on real property development.


URBAN BANK: Banco de Oro Stops Talks
------------------------------------
Banco de Oro Universal Bank has dropped its bid to buy the closed
Urban Bank, as it backed out of ongoing negotiations with
Philippine Deposit Insurance Corporation (PDIC), Urban Bank's
appointed receiver, Business World reported.

Banco de Oro, the World said, was turned off by bank's "skeletons
in the closet", referring to legality of the bank's closure which
is being questioned in court by regulators.

Citing a source close to the negotiations, the World reported
that Banco de Oro has been apprehensive about reopening Urban
Bank, as it might take more than the projected amount of P3.4
billion as big depositors have started seeking advantageous "exit
terms" for their deposits.

However, PDIC said that court actions taken against Urban Bank
would not effect its sale and rehabilitation.


=================
S I N G A P O R E
=================


FHTK HOLDINGS: Posts Loss Of S$37.2M In 9 Months
------------------------------------------------
FHTK Holdings Limited announced at the Singapore Stock Exchange
that the group incurred S$37.2 million for the nine months ended
December 31, 2000.

The group recorded a turnover of S$122.6 million, an increase of
S$35.2 million or 40 percent when compared to the turnover of the
previous corresponding nine months ended December 31, 1999.

Since the announcement of the interim six months results ended
September 2000, further losses were sustained on the sale of
bananas and on the disposal of old garlic stocks as a result of
intense competition which led to price erosion in the markets of
these core produce.

Operating expenses for the nine months decreased as compared to
the previous period. The improvement in operating expenses arose
mainly from a reduced provision for doubtful debts, reduction in
manpower costs and savings in outward and handling charges,
achieved mainly from a conscientious effort to cut operating
costs.

The group's nine months performance, after taking into account
the above showed an operating loss of S$37.2 million as compared
to a loss of S$36.2 million for the previous period.

The Restructuring Agreement, which was entered into on October
23, 2000 expired on February 20, 2001. The company has sought an
extension of the Restructuring Agreement to enable implementation
of the restructuring plan and is awaiting official response from
the bank creditors. Preliminary indication from most banks show
that they would extend the agreement and the company's advisors
are finalizing the details of the documentation for the
extension.

The restructuring plan is not expected to be completed by the
current financial year-end and therefore, the positive impact
from the discontinuance of the group's interest servicing burden
will not likely be reflected in the current results. As a result,
the group would have to continue incurring interest expense for
the remaining financial period.

For the current financial year, the group expects to face
continuing intense competition and difficult trading conditions
with softening prices for bananas. However, with on-going
stringent cost cutting efforts and vigilant monitoring of these
trading conditions, the group expects that its overall results
should be maintained as that achieved for the previous year.

The Group has unsecured debts repayable in a year or less,
amounting to S$183.795 million. A major part of the unsecured
indebtedness is expected to be extinguished upon implementation
of a debt-to-equity conversion exercise pursuant to a debt-
restructuring plan, which will be subject to shareholders'
approval at an extraordinary general meeting to be convened.


RECKON SINGAPORE: To Appoint Liquidator
---------------------------------------
Reckon Singapore might appoint a liquidator following the
withdrawal of financial backing from the company by Reckon
Limited, the financial software vendor, AAP reported Friday.

Reckon Limited, on Thursday, announced at the Australian Stock
Exchange that its negotiations to sell 80 percent of the software
businesses to local management in Hong Kong and Singapore had
been unsuccessful. In the same announcement, Reckon said it had
withdrawn financial support to these companies.


===============
T H A I L A N D
===============


SIAM CITY: ECD Finds Irregularities In Loan Grants
--------------------------------------------------
There are "irregularities" in the granting of loans totaling
Bt711 million by the defunct finance house, Siam City Credit Plc,
according to the Economic Crime Division, The Nation reported.
The loans were extended to the City Credit's 373 affiliated
firms.

A source told The Nation that these "irregularities" happened in
1995 and 1996.

The police discovered almost all of the company's affiliates were
dummy businesses which City Credit executives used to get loans
from the company, The Nation said. The loans were allegedly
invested in the stock market.


SINO-THAI: Sells Subsidiary
---------------------------
Sino-Thai Engineering & Construction Public Company Limited
(SET:STECON) has sold its subsidiary, Sino-Thai Construction
Service Co Ltd (STC), a company announcement at the Stock
Exchange of Thailand dated March 28 said. The subsidiary was sold
on March 27, 2001 to CTMC Company Limited for Bt299,993.

The purpose of the sale was to utilize the revenues as working
capital of Sino-Thai Engineering.

Sino-Thai Construction Service Co Ltd is a supplier of
construction equipment and dealer of heavy equipment, with
registered capital of Bt30 million. It had ceased operations as
its debts mounted to Bt245.139 million.


THAI PETROCHEMICAL: Report On Plan Progress Revealed
----------------------------------------------------
Thai Petrochemical Industry Public Company Limited (TPI) released
at the Stock Exchange of Thailand on March 29 its progress report
on the company's plan implementation.

Set out below is a summary of the progress report sent to the
Official Receiver on March 15, 2001. Thus:

                    Capital Increase

As the Bankruptcy Court approved on February 15, 2001 the
increase of the registered capital and paid-up capital of the
company from 1,950 million shares up to 8,100 million shares by
means of the issuance of up to 6,150 million ordinary shares.
Effective Planners Limited (the "Plan Administrator") then
completed the registration of such amendment with the Ministry of
Commerce (MOC) on March 2, 2001. On March 9, 2001, 5,915,214,948
shares were issued to creditors of the company. Creditors now
hold 75 percent of TPI's expanded capital.

                   Regulatory Waivers

On February 15, 2001, the waivers required from the SEC in
relation to the Takeover Code were received by Johnson Stokes and
Master.  This was necessary for the issuance of the creditors'
equity.

        Changes to TPI's Articles of Association

As Bankruptcy Court approved on February 15, 2001 for the Plan
Administrator to amend the MOA and AOA in accordance with
Schedule 5 of the Financial Debt Restructuring Scheme.  The most
significant change is the expansion of TPI's authorized share
capital to enable the debt for equity swap to proceed.

             Creditor Currency Elections

After currency elections, the portion in each scheme currency is
as follows:
Currency      % of Total  
Thai Baht             47  
US Dollar             49  
Japanese Yen           3  
Euro                   1  

The allocation of scheme debt to tier (i) and (ii) is as follows:
                 Currency           Amount (Unit: million)  
Tier (i)                         
- Principal     
                 Thai Baht          32,401.28                  
                 US Dollar             878.88                    
               Japanese Yen          6,225.12                  
                    Euro                26.49  
- Working Capital  
                 Thai Baht           5,268.33  
                 US Dollar              42.42  
Tier (ii)                        
- Principal        Thai Baht        19,990.87         
                   US Dollar           455.88  
                   Japanese Yen      3,351.00    
                   Euro                 14.41  
- Working Capital  US Dollar            12.77

                         Interest

Interest rates applicable to January and February are set out in
the following table:
            
            Jan 2001         Feb 2001  
Thai Baht   9.75 percent     9.75 percent     
US Dollars  8.39875 percent  7.39 percent     
Yen         2.545 percent    2.48125 percent  
Euros       6.85438 percent  6.71313 percent
  
Tier (i) interest, calculated in accordance with the Plan, has
been paid to the Facility  Agent, Standard Charterd Bank, as
follows:

January
Currency    Amount (unit: million)  
Thai Baht                   180.13  
US Dollars                    5.57  
Yen                          12.15  
Euros                         0.15  

February
Currency    Amount (unit: million)  
Thai Baht                   187.66  
US Dollars                    4.53  
Yen                          11.88  
Euros                         0.14  

Due to continuing cash flow constraints, Tier (ii) interest for
the period of January to February 2001 amount of US$7.26 million
and US$6.2 million has been accrued.

                  Assets Sales

In October 2000, the Plan Administrator prepared a detailed
strategy paper on the sale of non-core assets.  This paper sought
to identify those assets which appear most suitable for disposal,
taking into account the likely funds they would raise against the
target of USD 200 million, the possible timing for a sale, as
well as the strategic and operational impact on the TPI Group of
selling them.  The strategy paper identified the following three
main groups of assets as meeting the requirements - the power
assets, land holdings and TPI's shares and debt in TPI Polene.  

The Plan Administrator has established an Asset Sales Task Force
(ASTF), comprising both key TPI and EPL staff, to execute the
asset sales strategy. Additionally, the Plan Administrator also
hired specialists in major asset groups in order to maximize the
value to TPI.

               Representations and Warranties

The Plan Administrator has delivered the Disclosure Letter on
behalf of TPI and its six subsidiaries to the Facility Agent, as
required by clause 21 of The Financial Debt Restructuring Scheme.

               Issue of New Equity

On March 9, 2001, 5,898,911,211 shares have been issued to
creditors of the company. These shares have been issued in
exchange for conversion by creditors of US$751.62 million accrued
interest. These shares constitute 75 percent of the total
expanded share capital of TPI.  In addition, 16,303,737 shares
were issued to related parties of the debtor settlement of
accrued interest at THB 89,896,812. This is required under Plan
to ensure equal treatment of all creditors.

       The Refusal of Assets or Contractual Rights

The Plan Administrator has rejected the assets or contractual
rights under certain contracts as outlined within the
Reorganization Plans, which subject TPI to obligations in excess
of the benefits to be obtained from the contracts (Section
90/41).
          
              Provision of Additional Security

All major assets of the company, including but not limited to
shares and land, which were not previously encumbered have been
encumbered in favor of all the creditors under the plan.


S U B S C R I P T I O N  I N F O R M A T I O N

Troubled Company Reporter -- Asia Pacific is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Trenton, NJ
USA, and Beard Group, Inc., Washington, DC USA. Lyndsey Resnick,
Ronald Villavelez, Maria Vyrna Ni¤eza, Editors.

Copyright 2000.  All rights reserved.  ISSN: 1520-9482.

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                      *** End of Transmission ***