/raid1/www/Hosts/bankrupt/TCRAP_Public/060615.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
Thursday, June 15, 2006, Vol. 9, No. 118
Headlines
A U S T R A L I A & N E W Z E A L A N D
228 ORAKEI ROAD: Liquidation Process Commenced
AIR NEW ZEALAND: Defends Qantas Code-Share Deal
AJ ANNESLEY: Members Agree to Wind up Firm
ALPHASOFT COMPUTER: Enters Voluntary Liquidation
ALTUS CONSULTING: Members and Creditors to Review Wind-up Report
ARCHITECTURAL COMPOSITES: Creditors Must Prove Debts by July 15
ASTER CONSTRUCTION: Court Orders Wind-up
BLUEPRINT DEVELOPMENTS: To Declare Dividend to Creditors
BRIAN UNTHANK: Placed Under Voluntary Liquidation
CP DEVELOPMENTS: Appoints Official Assignee as Liquidator
DAP SERVICES: Members and Creditors to Meet on June 16
EASTERN ROAD PROFILING: To Distribute Dividend on June 16
EQUIPMENTNZ.COM LIMITED: Court Orders Appointment of Liquidators
FORTESCUE METALS: Fights for Pilbara Rail Network Access
FRIVERT PTY: Winds Up Business
FUTURE CARD: Shareholders Agree on Voluntary Liquidation
GBT CORPORATION: Appoints Receiver and Manager
KEVNDI PTY: Enters Voluntary Liquidation
LJR ASSETS: Members Resolve to Wind Up Firm
NEALE EDWARDS: Names John Woods as Liquidator
PLT ENGINEERING: Prepares to Pay Dividend on June 16
PROVINCIAL FINANCE: A.M. Best Downgrades Tasman's Rating to B-
RIVERVALE WATERS: Liquidator Presents Wind-up Report
RONEC HOLDINGS: Decides to Close Operations
SELDIRMA PTY: Members Opt for Voluntary Liquidation
SHALAA PTY: Receiver and Manager Ceases to Act for Company
SLICK SPORTSWEAR: Creditors' Proofs of Debt Due on June 20
SPRINGSTON MANAGEMENT: To Receive Claims Until June 30
TELSTRA CORPORATION: Loses AU$5 Million in "Grey Market" Scam
TRACS MANUFACTURING: Members Agree to Wind Up Business
TOWNSENDS FARMS: Names Farac as Liquidator
VANCLOTHING AUSTRALIA: Final Meeting Set Today
WESTPOINT GROUP: ASIC Seeks Wind-Up of Lanepoint Enterprises
WESTPOINT GROUP: Investors Sue Financial Planner M. Brannelly
C H I N A & H O N G K O N G
ADDCORE DEVELOPMENT: Creditors Must Prove Debts by June 23
BEYOND COMMUNICATION: Disposes of Goodwill and Assets
CWT TEXTILE: Creditors & Contributories Meetings Set on June 21
HOPSON DEV: Moody's Reviews Ba1 Ratings for Possible Downgrade
LA MONTRE: To Transfer Business to LMH Pacific
PO WING: Contributories and Creditors to Meet on June 21
REGAL SKY: Creditors Meeting Slated for July 11
STAR WILL: Inks Agreement to Transfer Business
I N D I A
BRITISH INDIA: Fails to Get Revival Approval from Panel
HINDUSTAN PETROLEUM: Strikes Joint Venture Pact with GAIL
I N D O N E S I A
* Government Completes Restructuring of Central Bank Debts
J A P A N
DAIEI INC: To Sell Original Japanese Beef to Customers
JAPAN AIRLINES: Hikes Cargo Fuel Surcharge on Rising Costs
LIVEDOOR CO: To Sell Stake in Non-Core Asset to Invoice Inc.
K O R E A
LG CARD: Sale May Be Delayed Due to Regulation Review
M A L A Y S I A
ANTAH HOLDINGS: Restructuring Plan Awaits Necessary Approvals
AYER MOLEK: Members to Receive 2005 Audited Accounts at AGM
BIMB HOLDINGS: Suffers MYR67.5-Mln Pre-tax Loss in Third Quarter
FARLIM GROUP: To Hold 24th AGM on June 27
FARLIM GROUP: Extraordinary General Meeting Fixed for June 27
KIG GLASS: To Convene 18th Annual General Meeting on June 30
KRAMAT TIN: Revamp Completion Deadline Extended Until Feb. 2007
LANKHORST BERHAD: Delays Submission of Annual Audited Accounts
METROPLEX BERHAD: Court Strikes Out MSEM's Wind-Up Petition
SUGAR BUN: Notes Variances Between Audited & Unaudited Accounts
TALAM CORPORATION: To Oppose Wind-Up Bid Against Unit
P H I L I P P I N E S
LAFAYETTE MINING: Greenpeace Criticizes Decision to Reopen Mine
STENIEL MANUFACTURING: Creditors Seek to Rescind Firm's Sale
UNIOIL RESOURCES: Posts PHP10.24-Mil Net Loss for First Quarter
S I N G A P O R E
DIGILAND INTERNATIONAL: Members Approve Rights Issue
ROGERS WORLDWIDE (SINGAPORE): Wind-up Hearing Set June 10
STARTECH ELECTRONICS: Books Closure Date Fixed on June 30
STARTECH ELECTRONICS: All EGM Resolutions Get Shareholders' Nod
WEE SIANG: Pays Dividend to Preferential Creditors
T H A I L A N D
CIRCUIT ELECTRONICS: 2005 Net Loss Reaches THB1.6 Billion
- - - - - - - -
============================================
A U S T R A L I A & N E W Z E A L A N D
============================================
228 ORAKEI ROAD: Liquidation Process Commenced
----------------------------------------------
The liquidation of 228 Orakei Road Ltd commenced on May 31,
2006.
Subsequently, Richard Dale Agnew and John Anthony Waller were
appointed as liquidators.
The Liquidators require the Company's creditors to submit their
proofs of claim by June 26, 2006, in order to share in any
distribution the Company will make.
Contact: Richard Dale Agnew
Rees Logan, PricewaterhouseCoopers
Private Bag 92-162, Auckland
New Zealand
Telephone: (09) 355 8000
Facsimile: (09) 355 8013
AIR NEW ZEALAND: Defends Qantas Code-Share Deal
-----------------------------------------------
Air New Zealand Ltd. said that it may be forced to cut flights
to Australia if its code-sharing proposal with Qantas Airways
Ltd is rejected, the Australian Associated Press reports.
AAP relates that Air New Zealand chief executive officer, Rob
Fyfe, also denied claims of an increase in trans-Tasman airfares
if the deal pushes through.
As reported in the Troubled Company Reporter - Asia Pacific on
April 13, 2006, Air New Zealand and Qantas have signed a code-
share agreement for their trans-Tasman routes. The code-share
deal will allow both airlines to reduce cost by removing some
surplus or duplicated capacity and utilizing aircraft more
efficiently, while increasing the number of flights available to
their customers.
According to the TCR-AP, the proposed code-share deal will be
supported by revenue, pricing and scheduling arrangements. Once
it becomes effective, all revenue earned by Air New Zealand and
Qantas on the Tasman routes will be allocated on an agreed
basis.
However, business and political leaders, as well as the
Wellington International Airport, have reacted angrily to the
code-share proposal, expressing concerns of a lack of
competition, higher prices and reduced access to Australia.
The code-share deal still needs to be authorized by the New
Zealand Minister of Transport and the Australian Competition and
Consumer Commission.
Radio New Zealand cites Mr. Fyfe as saying that he expects the
ACCC to release a draft finding on the code-sharing deal by July
or August 2006, and expects that New Zealand's Transport
Ministry would rule at the end of the year, after the ACCC makes
its final determination.
"We believe code share is the best way to address the losses
we've been making in that market," Mr. Fyfe told reporters in
Christchurch.
Mr. Fyfe adds that, "It's very unlikely that we'd stop flying
any [Tasman] routes although there are some routes that are
marginal."
Without naming destinations, Radio NZ notes, Mr. Fyfe said that
Air New Zealand would consider culling underperforming
international routes if they did not pay their way. He
explained that without code sharing, capacity would have to be
reduced across Tasman.
The airline boss said that competition from other airlines would
stop fares from rising under a Qantas-Air New Zealand deal, AAP
says.
AAP adds that Mr. Fyfe also revealed that the airline was
examining the prospects of another 50%-rise in the cost of fuel.
About Air New Zealand
Based in Auckland, New Zealand, Air New Zealand is the country's
flag air carrier, with domestic and international passenger and
freight operations, and an aviation engineering business.
As reported in the Troubled Company Reporter - Asia Pacific on
September 2, 2005, Moody's Investors Service affirmed its Ba1
issuer rating on Air New Zealand Limited after the airline
announced its annual results for FY2005. Air NZ's rating
reflected its dominant position in the New Zealand domestic
market, with around 80% market share, and the profitability of
domestic operations following their restructuring to a low-cost
network model. Also supporting Air NZ's rating was its solid
liquidity position, with cash balances of NZ$1,071 million held
as at June 30, 2005. However, while Air NZ has a solid position
in New Zealand and other parts of the international network are
performing well, intense competition on trans-Tasman routes has
resulted in it being unprofitable for Air NZ. International
competition also limits Air NZ's ability to expand. Its
management is also aware of the airline's vulnerability to
external shocks and the actions of key competitors.
AJ ANNESLEY: Members Agree to Wind up Firm
------------------------------------------
The members of AJ Annesley Pty Limited held a meeting on May 2,
2006, and agreed to shut down the Company's business operations.
Schon Condon and Bruce Gleeson were consequently appointed as
joint liquidators.
Contact: Schon G. Condon Rfd
Bruce Gleeson
Liquidators
c/o Jones Condon Chartered Accountants
Level 1, 34 Charles Street
Parramatta, New South Wales
Australia
Telephone: (02) 9893 9499
ALPHASOFT COMPUTER: Enters Voluntary Liquidation
------------------------------------------------
After an extraordinary general meeting on May 1, 2006, the
members of Alphasoft Computer Solutions Pty Limited decided to
voluntarily wind up the Company's operations.
V. R. Dye and N. Giasoumi were named joint and several
liquidators at a creditors' meeting held that same day.
Contact: V. R. Dye
N. Giasoumi
Joint & Several Liquidators
Dye & Rennie Chartered Accountants
Suite 8, 260 Auburn Road
Hawthorn 3122, Australia
ALTUS CONSULTING: Members and Creditors to Review Wind-up Report
----------------------------------------------------------------
Members and creditors of Altus Consulting Pty Limited will hold
a final meeting on June 16, 2006, at 10:30 a.m., to receive
Liquidator David G. Young's final account showing how the
Company was wound up and how its property was disposed.
Contact: David G. Young
Liquidator
Pitcher Partners Chartered Accountants
Level 3, 60 Castlereagh Street,
Sydney, Australia
ARCHITECTURAL COMPOSITES: Creditors Must Prove Debts by July 15
---------------------------------------------------------------
Liquidator Peter Reginald Jollands require the creditors of
Architectural Composites Ltd to submit their proofs of claim by
July 15, 2006.
Failure to comply with the requirement will exclude a creditor
from sharing in any distribution the Company will make.
Contact: Peter Reginald Jollands
Jollands Callander
Level Four, 3-13 Shortland Street
Auckland, New Zealand
Web site: www.jollandscallander.co.nz
ASTER CONSTRUCTION: Court Orders Wind-up
----------------------------------------
The Supreme Court of New South Wales ordered the winding up of
Aster Construction & Design Pty Limited on May 4, 2006.
The Court also appointed David Lewis Clout as liquidator.
Contact: David Lewis Clout
Liquidator
Woodgate & Co.
Australia
Telephone: (02) 9233 6088
Fax: (02) 9233 1616
BLUEPRINT DEVELOPMENTS: To Declare Dividend to Creditors
--------------------------------------------------------
Blueprint Developments No. 4 (Australia) Pty Limited will
declare a dividend on June 16, 2006.
Creditors who were not able to prove their claims are excluded
from sharing in any distribution the Company will make.
Contact: M. G. McCann
Liquidator
Grant Thornton House
Level 4, 102 Adelaide Street
Brisbane, Queensland 4000
Australia
BRIAN UNTHANK: Placed Under Voluntary Liquidation
-------------------------------------------------
The members of Brian Unthank Rodwell 1997 Pty Limited convened
on May 1, 2006, and decided that the Company should wind up its
operations voluntarily.
John W. Woods was subsequently appointed as liquidator.
Contact: John W. Woods
Liquidator
Wilson Woods & Partners
30 Davey Street, Hobart
Tasmania 7000, Australia
Telephone: 03 6223 4343
CP DEVELOPMENTS: Appoints Official Assignee as Liquidator
---------------------------------------------------------
The Official Assignee was on June 1, 2006, appointed as
liquidator of CP Developments Ltd.
Contact: Official Assignee
Insolvency and Trustee Service
Private Bag 4714, Christchurch
New Zealand
Telephone: 0508 467 658
Web site: www.insolvency.govt.nz
DAP SERVICES: Members and Creditors to Meet on June 16
------------------------------------------------------
The members and creditors of Dap Services (Kempsey) Pty Limited
will convene on June 16, 2006, at 10.00 a.m..
During the meeting, members will receive Liquidator P. Ngan's
report on the activities that took place during the Company's
wind-up period as well as the manner by which the Company's
property was disposed of.
Contact: P. Ngan
Liquidator
Ngan & Co.
Level 5, 49 Market Street
Sydney, New South Wales 2000
Australia
EASTERN ROAD PROFILING: To Distribute Dividend on June 16
---------------------------------------------------------
Eastern Road Profiling Pty Ltd will distribute its first and
final dividend on June 16, 2006.
Creditors who were unable to prove their claims are excluded
from sharing in the dividend distribution.
Contact: Warren White
Liquidator
c/o PPB Chartered Accountants
Level 10, 90 Collins Street
Melbourne, Victoria 3000
Australia
EQUIPMENTNZ.COM LIMITED: Court Orders Appointment of Liquidators
----------------------------------------------------------------
The High Court on May 29, 2006, ordered the appointment of
Stephen John Tubbs and Warren Michael Johnstone as liquidators
to act jointly and severally for EquipmentNZ.Com Ltd.
The Joint Liquidators require the creditors of the Company to
submit their proofs of claim by July 31, 2006.
Contact: Warren Michael Johnstone
C/O Wendy Somerville, BDO Spicers
Level 6, Spicer House
148 Victoria Street, Christchurch
New Zealand
Telephone: (03) 379 5155
Facsimile: (03) 353 5526
e-mail: wendy.somerville@chc.bdospicers.com
FORTESCUE METALS: Fights for Pilbara Rail Network Access
--------------------------------------------------------
The Troubled Company Reporter - Asia Pacific reported that in
May 2006, the Australian Government barred Fortescue Metals
Group Ltd. from gaining access to BHP Billiton's Pilbara rail
line. The BHP rail deal would have allowed Fortescue to use its
trains to cart 60-70 million tonnes of iron ore in the next
decade on BHP's rail line from the small Mindy Mindy deposit to
Port Hedland.
According to the TCR-AP report, Federal Treasurer Peter Costello
rejected Fortescue's application to use BHP's 295-kilometer rail
line to Port Hedland despite the National Competition Council's
recommendation that the miner be granted the right to negotiate
with BHP.
Treasurer Costello did not give details on what prompted his
decision, but press reports noted that his ruling follows news
that the Western Australian state government switched support
from Fortescue and lobbied Canberra to reject the NCC
recommendation on the basis that a state-based regime would be
more effective. Treasurer Costello's decision, made amid
surging iron ore profits and royalties, came a month after the
state government blocked explorer Cazaly Resources Ltd. from
developing a Pilbara iron ore deposit and returned it to Rio
Tinto Plc.
In an update, The Australian relates that Fortescue Chief
Executive Officer Andrew Forrest appealed to the Australian
Competition Tribunal on June 13, 2006, to have BHP Billiton's
Mt. Newman rail line opened to third-party access under the
Trade Practices Act.
Fortescue believes that "an appeal is warranted, given the
Treasurer's decision was contrary to the strong final
recommendation made by the National Competition Council," The
Australian notes.
According to reports, Fortescue's fight is now set to drag on
for months, and BHP Billiton has already begun legal action in
the Federal Court challenging the jurisdiction of the NCC to
hear Fortescue's application for access.
Andrew Trounson of The Australian says that while Fortescue is
already planning a rail line as part of its AU$2.5-billion
development of the Chichester Ranges iron ore mine, access to
the Mt. Newman line is key to developing Fortescue's much
smaller Mindy Mindy prospect.
Should Fortescue succeed, BHP, as well as Rio Tinto, will face
having to open up much of their Pilbara rail network to third
parties.
Mr. Trounson says that BHP and Rio have argued that their rail
lines are integrated production processes, and so exempt from
the Trade Practices Act. They have warned that allowing third
parties to use the tracks would cause inefficiencies and
threaten investment in Australia's largest export commodity.
BHP said it would vigorously defend its position and warned
Fortescue that it faced a potentially expensive legal fight.
According to The Australian, the dispute has sparked a renewed
effort in Western Australia to establish a more workable regime
under which BHP and Rio are required to offer to carry third-
party ore, in line with their state agreements. The West
Australian Government has now established an inter-departmental
committee to examine the issue.
About Fortescue
Headquartered in West Perth, Western Australia, Fortescue Metals
Group Limited -- http://fmgl.com.au/-- is involved in the
exploration of iron ore through a project to mine iron ore in
the Chichester Ranges, in the Pilbara region of Western
Australia and exporting it from Port Hedland.
Fortescue's troubles began when its Chief Executive Officer,
Andrew Forrest, admitted to a AU$500-million blowout on the cost
of port and rail infrastructure in the Pilbara Project because
of price hikes for steel, fuel, construction materials and
contract labor. The Company also disclosed that the hampered
progress brings in the possibility that the Company may not meet
its ore delivery schedule and pushes up costs at resource
developments across Western Australia. In May 2005, the
Australian Stock Exchange pressured Fortescue to explain matters
about the project and to explain how the Company would be able
to dispose of its lower grade order for 95% of the price
obtained by rivals BHP Billiton and Rio Tinto for their top-
quality products. The ASX referred the Fortescue matter to the
Australian Securities and Investments Commission, which recently
commenced a legal action against the Company.
ASIC alleges that Fortescue is engaged in misleading and
deceptive conduct and has failed to comply with its continuous
disclosure obligations when it announced various contracts with
Chinese entities on Aug. 23 and November 5, 2004. In
particular, Fortescue did not disclose that the Chinese parties
had not reached a concluded agreement on fundamental aspects of
the projects and they had merely agreed that they would in the
future jointly develop and agree on the "agreed" matters. ASIC
is seeking civil penalties of up to AU$3 million against
Fortescue.
FRIVERT PTY: Winds Up Business
------------------------------
The members of Frivert Pty Limited convened on May 1, 2006, and
decided that the Company should wind up its operations
voluntarily.
Ian John Snook was subsequently appointed as liquidator.
Contact: Ian John Snook
Liquidator
William Buck, 48 Greenhill Road
Wayville, South Australia 5034
Australia
Telephone: (08) 8272 2333
Fax: (08) 8272 1972
FUTURE CARD: Shareholders Agree on Voluntary Liquidation
--------------------------------------------------------
Shareholders of Future Card Investments Twenty Three Ltd on
May 29, 2006, passed a resolution to liquidate the Company and
appoint liquidator Richard Bertram Walton for the purpose.
Mr. Walton requires the creditors of the Company to submit their
proofs of claim by June 16, 2006.
Contact: Richard Bertram Walton
Timpany Walton, Solicitors
11 Strathallan Street, Timaru
New Zealand
Telephone: (03) 688 6056
Facsimile: (03) 688 8037
GBT CORPORATION: Appoints Receiver and Manager
----------------------------------------------
Morgan & Banks Investments Pty Limited appointed Frank Lo Pilato
as the receiver and manager of the rights, title, interest and
assets of GBT Corporation Pty Limited on May 12, 2006.
Contact: Frank Lo Pilato
Receiver
RSM Bird Cameron Partners
Level 1, 103-105 Northbourne Avenue
Canberra, Australian Capital Territory 2601
Australia
KEVNDI PTY: Enters Voluntary Liquidation
----------------------------------------
The sole member of Kevndi Pty Ltd passed a Special Resolution to
liquidate the Company.
Subsequently, D. R. Vasudevan was appointed to oversee the
Company's liquidation.
Contact: D. R. Vasudevan
Liquidator
Pitcher Partners
Level 19, 15 William Street
Melbourne, Victoria 3000
Australia
LJR ASSETS: Members Resolve to Wind Up Firm
-------------------------------------------
At an extraordinary general meeting on May 1, 2006, the members
of LJR Assets Pty Limited opted to voluntarily wind up the
Company's operations.
Creditors nominated V. R. Dye and N. Giasoumi as liquidators at
a meeting held that same day.
Contact: V. R. Dye
N. Giasoumi
Joint & Several Liquidators
Dye & Rennie Chartered Accountants
Suite 8, 260 Auburn Road
Hawthorn 3122, Australia
NEALE EDWARDS: Names John Woods as Liquidator
---------------------------------------------
At a general meeting of Neale Edwards (Trading) Pty Limited held
on May 1, 2006, John W. Woods was appointed as liquidator to
supervise the Company's wind-up activities.
Contact: John W. Woods
Liquidator
Wilson Woods & Partners
30 Davey Street, Hobart
Tasmania 7000, Australia
Telephone: 03 6223 4343
PLT ENGINEERING: Prepares to Pay Dividend on June 16
----------------------------------------------------
PLT Engineering Pty Limited will declare its first and final
dividend on June 16, 2006, to the exclusion of its creditors who
were not able to prove their claims.
Contact: Adrian Brown
Liquidator
Ferrier Hodgson
Level 29, 600 Bourke Street
Melbourne, Victoria 3000
Australia
PROVINCIAL FINANCE: A.M. Best Downgrades Tasman's Rating to B-
--------------------------------------------------------------
A.M. Best Co. has downgraded the financial strength rating to B-
(Fair) from B+ (Very Good) of Tasman Pacific Insurance Limited.
The rating remains under review with negative implications.
The rating action reflects the deterioration in the company's
operating performance as a result of Provincial Finance Limited
being placed in receivership. A significant volume of Tasman's
business is generated through Provincial Finance; therefore, the
recent development in PFL will severely affect Tasman's
financial performance.
The rating also considers Tasman's relatively weak risk-adjusted
capitalization and the risk of potential impairment associated
with its receivables from and investments in PFL. A.M Best will
continue to closely monitor the situation as it develops.
RIVERVALE WATERS: Liquidator Presents Wind-up Report
----------------------------------------------------
A final meeting of the members and creditors of Rivervale Waters
Pty Limited will be conducted today, June 15, 2006.
During the meeting, Liquidator A. R. M. Taylor will present
final accounts of the Company's wind-up activities.
Contact: A. R. M. Taylor
Liquidator
Meertens Chartered Accountants
Level 10, 68 Grenfell Street
Adelaide, South Australia 5000
Australia
RONEC HOLDINGS: Decides to Close Operations
-------------------------------------------
The members of Ronec Holdings Pty Limited held a meeting on
May 1, 2006.
At the meeting, members agreed to shut down the Company's
business operations and appoint Victor Raymond Dye and Nicholas
Giasoumi as liquidators.
Contact: Victor R. Dye
Nicholas Giasoumi
Joint & Several Liquidators
Dye & Rennie Chartered Accountants
Suite 8, 260 Auburn Road
Hawthorn 3122, Australia
SELDIRMA PTY: Members Opt for Voluntary Liquidation
---------------------------------------------------
The members of Seldirma Pty Limited met on May 2, 2006, and
agreed to:
-- voluntarily wind up the Company's business operations; and
-- appoint Edgar Reginald Hewitt as liquidator to manage the
wind-up activities.
Contact: Edgar R. Hewitt
Liquidator
4 Karoola Crescent, Caringbah
New South Wales, Australia
SHALAA PTY: Receiver and Manager Ceases to Act for Company
----------------------------------------------------------
Gideon Isaac Rathner ceased to act as the receiver and manager
of the assets and properties of Shalaa Pty Limited on May 1,
2006.
SLICK SPORTSWEAR: Creditors' Proofs of Debt Due on June 20
----------------------------------------------------------
Liquidator Graeme McDonald require the creditors of Slick
Sportswear Ltd to submit their proofs of debt on or before June
20, 2006.
Failure to comply with the requirement will exclude a creditor
from sharing in any distribution the Company will make.
Contact: Graeme McDonald
Apex Accounting Limited
P.O. Box 7719, Wellesley Street
Auckland, New Zealand
Telephone: (09) 573 5840
Facsimile: (09) 573 5359
SPRINGSTON MANAGEMENT: To Receive Claims Until June 30
------------------------------------------------------
Joint Liquidators Murray Eric Judge and Christine Joy Henderson
will be receiving proofs of claim from creditors of Springston
Management Services Ltd until June 30, 2006.
Failure to meet the requirement will exclude a creditor from
sharing in any distribution the Company will make.
Contact: Christine Joy Henderson
HWI Limited Chartered Accountants
Level 3, 139 Carlton Gore Road
Newmarket, Auckland
New Zealand
Telephone: (09) 307 8500
TELSTRA CORPORATION: Loses AU$5 Million in "Grey Market" Scam
-------------------------------------------------------------
Telstra Corporation has lost up to AU$5 million in a bungled
mobile phone promotion deal that has seen the Asian market
flooded with cheap Motorola handsets and local pubs with bargain
SIM cards that the telco purchased, The Australian reports.
According to Michael Sainsbury, of The Australian, the deal was
part of a concerted push by Telstra into the lower-value prepaid
market, part of the its drive to increase its market share from
its all-time low of 44% at December 31, 2005.
The newspaper recounts that earlier this year, Telstra bought
somewhere between 100,000 and 200,000 V360 handsets from
American manufacturer Motorola.
In Asia, Mr. Sainsbury notes, the phone retails at about AU$200,
but Telstra is believed to have bought them for about AU$130.
In April 2006, Telstra then put them on the market for a three-
month promotion, together with AU$10 in calls on a SIM card, and
sold them for only AU$99.
The Australian explains that the so-called "grey market"
operators buy up large volumes of the phones, often using
university students who are paid about AU$8 per handset. The
groups crack the code that Telstra and other operators use to
"lock" the phones.
The grey marketers sell SIM cards for a handful of dollars in
pubs and clubs. They are used once, then tossed away, but,
according to the report, Telstra can still count a connection
for six months, boosting its market share.
Mobile phone industry sources said that tens of thousands of the
Motorola handsets showed up in Singapore, Indonesia and Malaysia
within days.
Motorola is offering Telstra discounts to improve its local
market share, taking advantage of an ongoing arm wrestle between
Telstra and market leader Nokia over distribution.
About Telstra
Headquartered at Melbourne, in Victoria, Australia, Telstra
Corporation -- http://www.telstra.com.au/-- is an Australian
telecommunications and information services company. Telstra
offers a full range of services and compete in all
telecommunications markets throughout Australia, providing more
than 10.3 million Australian fixed line and more than 6.5
million mobile services. In September 2005, Telstra suffered an
earnings downgrade and share price fall. The Company announced
that its earnings before interest and tax in 2005/06 are
expected to decline by 7-10% compared to that of 2004/05 as a
result of accelerating declines in public switched telephone
network revenues and softening growth in the mobiles market due
to aggressive pricing. Also, the political furor surrounding
Telstra has strengthened the Government's resolve to dispose of
its remaining 51% majority interest in the Company. The
Australian Securities and Investment Commission then commenced
an investigation into Telstra in connection with the Company's
compliance with its disclosure obligations following the
earnings downgrade. This led to a number of Telstra
shareholders and class action claimants showing anger and dismay
over the telco's behavior. In November 2005, after a four-month
review, Telstra Chief Executive Officer Sol Trujillo announced a
major restructure of the Company, one which involves the loss of
thousands of jobs over the next five years and a massive
investment in new networks which will help deliver bigger profit
margins.
TRACS MANUFACTURING: Members Agree to Wind Up Business
------------------------------------------------------
At an extraordinary general on May 1, 2006, members of Tracs
Manufacturing Pty Limited agreed that the Company must
voluntarily commence a wind-up of its operations.
V. R. Dye and N. Giasoumi were named as liquidators to manage
the wind-up activities.
Contact: V. R. Dye
N. Giasoumi
Joint & Several Liquidators
Dye & Rennie Chartered Accountants
Suite 8, 260 Auburn Road
Hawthorn 3122, Australia
TOWNSENDS FARMS: Names Farac as Liquidator
------------------------------------------
Shareholders of Townsends Farms on May 29, 2006, passed a
resolution to liquidate the Company and appoint John Ivan Farac
as liquidator.
Contact: John Ivan Farac
P.O. Box 8722, Symonds Street
Auckland, New Zealand
Telephone: (09) 303 2200
Facsimile: (09) 307 2074
VANCLOTHING AUSTRALIA: Final Meeting Set Today
----------------------------------------------
The members and creditors of Vanclothing Australia Pty Limited
will hold a final meeting today, June 15, 2006.
During the meeting, Liquidator Paul Burness will report on the
activities that took place during the wind-up period as well as
the manner by which the Company's property was disposed of.
Contact: Paul Burness
Liquidator
Worrells Solvency & Forensic Accountants
Level 5 15 Queen Street
Melbourne Victoria 3000
Australia
Telephone:(03) 9613 5524
Facsimile:(03) 9614 3233
WESTPOINT GROUP: ASIC Seeks Wind-Up of Lanepoint Enterprises
------------------------------------------------------------
On June 2, 2006, the Australian Securities and Investments
Commission filed an application with the Federal Court in Perth
for the winding up of another company related to Westpoint Group
-- Lanepoint Enterprises Pty Ltd.
ASIC alleges that Lanepoint is insolvent and is seeking the
appointment of Simon Read and Andrew Birch, of PPB, as
liquidators for the company.
According to ASIC records, Karen Carey is the sole director of
Lanepoint. Ms. Carey is the sister of Westpoint director Norm
Carey. ASIC notes that Ms. Carey took over as Lanepoint
director after another of her brothers, Allan Frank Carey, on
April 12, 2006.
The sole shareholder of Lanepoint is a company called Bowesco
Pty Ltd, which is subject to orders obtained by ASIC and of
which Ms. Carey is also the sole director.
ASIC's wind-up application against Lanepoint is due to be heard
in the Federal Court on July 18, 2006.
About Westpoint Group
Headquartered in Perth, Western Australia, the Westpoint Group
-- http://westpoint.com.au/-- is engaged in property
development and owns or manages retail and commercial properties
with a total value of over AU$300 million. The Group's troubles
began in 2005 when the Australian Securities and Investments
Commission commenced a series of legal proceedings in relation
to a number of companies within the Westpoint Group. ASIC
contends that Westpoint projects are suffering from significant
shortfall of assets over liabilities so that hundreds of
investors are at serious risk of not receiving repayment of
their investments. These investigations were then followed by
the winding up of a number of Westpoint's mezzanine companies.
ASIC also sought wind-up orders after the Westpoint companies
failed to comply with ASIC's requirement to lodge accounts for
certain financial years. These wind-up actions are still
continuing.
In February 2006, a wind-up order was issued by the Federal
Court in Perth against Westpoint Corporation Pty Ltd. ASIC had
applied to wind up the company on grounds of insolvency. ASIC
believes that Westpoint Corporation is responsible for
arranging, managing and coordinating Westpoint Group's property
projects as well as holding money for other group companies.
ASIC was concerned that Westpoint Corporation was unable to pay
its debts, including its obligations under the guarantees given
to the mezzanine companies to make good expected shortfalls in
the repayment of amounts owed to investors. The Westpoint
Group's collapse is considered by many as the largest of its
type in recent years, with small investors being the biggest
group affected. Investors are currently joining forces to
commence a class action against Westpoint and its advisors.
WESTPOINT GROUP: Investors Sue Financial Planner M. Brannelly
-------------------------------------------------------------
Lawyer Mitchell Brown from Slater and Gordon is suing Matthew
Brannelly Financial on behalf of investors who were advised to
invest in Westpoint Corp., ABC Queensland reports. The suit was
filed in Brisbane Supreme Court by Queensland clients who
collectively lost $1.6 million in an investment to Westpoint,
which went into liquidation in February.
According to the Class Action Reporter, the lawsuit seeks
between $150,000 and $610,000 plus interest and costs. It names
as defendant Deakin Financial Services, which trades as the
listed DKN Financial Group, and managing director Matthew
Brannelly. Mr. Brannelly is accused of breaching the
Corporations Act and the Trade Practices Act, negligence, breach
of contract and failure to disclose commissions.
Slater and Gordon previously named at least 30 companies and 120
financial planners who might be involved in a lawsuit relating
to the collapse of Westpoint Group's financing firms. Joanne
Rees of Slater and Gordon said they are targeting financial
planners because there is little chance anything can be
recovered from Westpoint.
For more information, contact Slater and Gordon, Web site:
http://www.slatergordon.com.au
About Westpoint Group
Headquartered in Perth, Western Australia, the Westpoint Group
-- http://westpoint.com.au/-- is engaged in property
development and owns or manages retail and commercial properties
with a total value of over AU$300 million. The Group's troubles
began in 2005 when the Australian Securities and Investments
Commission commenced a series of legal proceedings in relation
to a number of companies within the Westpoint Group. ASIC
contends that Westpoint projects are suffering from significant
shortfall of assets over liabilities so that hundreds of
investors are at serious risk of not receiving repayment of
their investments. These investigations were then followed by
the winding up of a number of Westpoint's mezzanine companies.
ASIC also sought wind-up orders after the Westpoint companies
failed to comply with ASIC's requirement to lodge accounts for
certain financial years. These wind-up actions are still
continuing.
In February 2006, a wind-up order was issued by the Federal
Court in Perth against Westpoint Corporation Pty Ltd. ASIC had
applied to wind up the company on grounds of insolvency. ASIC
believes that Westpoint Corporation is responsible for
arranging, managing and coordinating Westpoint Group's property
projects as well as holding money for other group companies.
ASIC was concerned that Westpoint Corporation was unable to pay
its debts, including its obligations under the guarantees given
to the mezzanine companies to make good expected shortfalls in
the repayment of amounts owed to investors. The Westpoint
Group's collapse is considered by many as the largest of its
type in recent years, with small investors being the biggest
group affected. Investors are currently joining forces to
commence a class action against Westpoint and its advisors.
================================
C H I N A & H O N G K O N G
================================
ADDCORE DEVELOPMENT: Creditors Must Prove Debts by June 23
----------------------------------------------------------
Liquidator Jacky C W Muk requires the creditors of Addcore
Development Ltd to submit their proofs of claim by June 23,
2006.
Failure to comply with the requirement will exclude a creditor
from sharing in any distribution the Company will make.
Contact: Jacky C W Muk
27th Floor, Alexandra House
16-20 Chater Road, Central
Hong Kong
BEYOND COMMUNICATION: Disposes of Goodwill and Assets
-----------------------------------------------------
Beyond Communication Ltd has agreed to sell its goodwill and
assets to Beyond Communications Hong Kong Ltd.
Completion of the transfer will take place on June 30, 2006.
The transferee intends to carry on the business of the
transferor under the name Beyond communications Hong Kong Ltd.
All debts and obligations incurred by the transferor up to the
transfer date shall be paid by the transferor absolutely and
that liabilities of the transferee shall cease after one month
of the date of the last publication of this notice, unless
proceedings are instituted prior to such expiration.
CWT TEXTILE: Creditors & Contributories Meetings Set on June 21
---------------------------------------------------------------
Creditors and contributories of CWT Textile Supplies Company Ltd
will convene for their annual meetings on June 21, 2006, at
11:00 a.m. and 11:30 p.m. respectively.
The meetings will be held at 13/F., Gloucester Tower, the
Landmark, 11 Pedder Street, Central, Hong Kong.
HOPSON DEV: Moody's Reviews Ba1 Ratings for Possible Downgrade
--------------------------------------------------------------
Moody's Investors Service placed the Ba1 corporate family and
senior unsecured ratings of Hopson Development Holdings Ltd on
review for possible downgrade.
In a statement on June 13, 2006, Moody's lead analyst Kaven
Tsang said that the review of the Company has been prompted by
the rating agency's:
- weak debt protection measures; and
- weak liquidity profile caused by
* weaker-than-anticipated result for FY2005;
* aggressive capex spending for the first five months of
the year; and
* recent acquisition of 61% of Beijing Dongfangwenhua
International Properties Company Limited.
Moody's review will focus on evaluating the likelihood of Hopson
successfully achieving its expected sales and the measures in
place to strengthen its financial buffer. The rating agency
would also examine how would the Company ensure availability of
alternative liquidity to support its capex and investment
programs amidst tightening of macro-economic measures affecting
the property development sector in China.
* * *
Hopson Development Company Holdings Limited is one of the
largest property developers in China. Its principal businesses
are residential property developments in 4 major cities:
Guangzhou, Beijing, Shanghai and Tianjin.
LA MONTRE: To Transfer Business to LMH Pacific
----------------------------------------------
Switzerand-based jeweler La Montre Hermes S.A. has agreed to
transfer its business together with various assets constituting
the business of the Hong Kong branch to LMH Pacific Ltd.
The transferee -- located at 22nd Floor, Chinachem Leighton
Plaza, 29 Leighton Road, Causeway Bay, Hong Kong -- intends to
carry on the business under the name LMH Pacific Ltd.
All debts and obligations incurred by the transferor up to the
transfer date shall be paid by the transferor absolutely and
that liabilities of the transferee shall cease after one month
of the date of the last publication of this notice, unless
proceedings are instituted prior to such expiration.
PO WING: Contributories and Creditors to Meet on June 21
--------------------------------------------------------
Contributories and creditors of Po Wing (International)
Construction Ltd will convene for their first meetings on June
21, 2006, at 10:00 a.m. and 10:30 a.m., respectively.
The meetings will be held at Room 103, Duke of Windsor Social
Service Building, 15 Hennessy Road, Wanchai, Hong Kong.
REGAL SKY: Creditors Meeting Slated for July 11
-----------------------------------------------
Creditors of Regal Sky Knitters Ltd will meet on July 11, 2006,
at 3:30 in the afternoon for the purpose of considering matters
under Companies Ordinance.
The meeting will be held at Units C & D, 9/F., Neich Tower, 128
Gloucester Road, Wanchai, Hong Kong.
Contact: Chan Chun Chung
Liquidator
Units C & D, 9/F., Neich Tower
128 Gloucester Road
Wanchai, Hong Kong
STAR WILL: Inks Agreement to Transfer Business
----------------------------------------------
Star Will Holding Ltd -- which is carrying on a club and
catering business under the name of "The Tree House" -- has
agreed to transfer its business and certain assets to Fame home
Ltd on June 1, 2006.
The transferee -- located at 10th Floor, Radiant Centre, 7
Cannon Street, Causeway Bay, Hong Kong -- intends to carry on
the business of the transferor under the name The Tree House.
All debts and obligations incurred by the transferor up to the
transfer date shall be paid by the transferor absolutely and
that liabilities of the transferee shall cease after one month
of the date of the last publication of this notice, unless
proceedings are instituted prior to such expiration.
=========
I N D I A
=========
BRITISH INDIA: Fails to Get Revival Approval from Panel
-------------------------------------------------------
The high-level state administrative committee refused to support
state textile firm British India Corporation Limited's revival,
Hindustan Times reveals.
The Times says that the British India management did not expect
the decision since it had long been seeking relief from state
authorities. The Company had been requesting the Government to
exempt it from converting landed property from lease land to
free hold, and from paying sale tax, house tax and water tax.
However, the Panel, chaired by chief secretary Naveen Chand
Bajpai, was not impressed by the proposals presented by director
for textile Uma Devi from Union Ministry of Textile, chief and
managing director VK Goel, and other senior officers of British
India Corp.
According to The Times, the State authorities rejected British
India's proposals despite their knowledge about the sick state
of the mills.
Meanwhile, the Troubled Company Reporter - Asia Pacific recounts
that the national president of trade union, Bharatiya Mazdoor
Sangh, urged the Indian Government to take suitable steps to
revive British India.
About British India Corporation
The British India Corporation Ltd was taken over by the
Government of India in 1981 through the acquisition of all
private shares. The Company has two woolen mills -- Cawnpore
Woollen Mills Branch (Lalimli) at Kanpur in Uttar Pradesh and
New Egerton Woollen Mills Branch at Dhariwal in Punjab -- under
its direct control. It also has two cotton subsidiaries, Elgin
Mills Co. Ltd. and Cawnpore Textiles Ltd., at Kanpur in Uttar
Pradesh. In 1993, the Company was referred to the Board for
Industrial and Financial Reconstruction, which declared it a
Sick Industrial Company. The BIFR passed orders on October 31,
1994, recommending the winding up of the Company. Against this
order of BIFR, the Company filed an appeal before the Appellate
Authority of Industrial and Financial Reconstruction on Dec. 26,
1996. The AAIFR also dismissed BIC's appeal on May 9, 1997, as
the AAIFR felt that no rehabilitation scheme was feasible for
the Company. In 1999, BIC's two cotton subsidiaries were wound
up by the High Court. The Company has been implementing a
INR214 crore rehabilitation scheme since early 2003 as per BIFR
orders.
HINDUSTAN PETROLEUM: Strikes Joint Venture Pact with GAIL
---------------------------------------------------------
Hindustan Petroleum Corporation Limited has set up a joint
venture with GAIL India Limited to implement city gas projects
for the supply of piped natural gas to domestic, commercial and
industrial consumers and compressed natural gas to automobile
consumers in Madhya Pradesh, Business Standard reports.
The new entity -- Aavantika Gas Limited -- will commence the
project implementation in Indore, The Standard reports. The
project will eventually expand to other cities such as Gwalior
and Ujjain on the basis of financial viability and gas
availability.
According to the report, the Jagoti-Pithampur pipeline being
laid by GAIL is expected to provide pipeline connectivity for
the Indore city gas project.
With the incorporation of Aavantika Gas, the residents of Madhya
Prasedh cities will enjoy sufficient PNG and CNG supply. In
addition, the residents of these cities will benefit by the use
of clean, green and economical fuel for their energy
requirements.
GAIL has so far formed eight joint venture companies to
implement the city gas projects in various parts of India,
including Mumbai and Pune, My Iris News says. It is also
planning to form state-wise JVs along with oil marketing
companies for the states of Rajasthan, Gujarat, Kerala,
Karnataka and West Bengal in near future.
About Hindustan Petroleum Corporation
Mumbai-based Hindustan Petroleum Corporation Ltd
-- http://www.hindustanpetroleum.com/-- was formed in 1974 on
nationalization of ESSO India operations. The operations of
Caltex were merged in 1976. With two refineries at Mumbai and
Vizag, Hindustan Petroleum is currently is the second largest
player in both the Indian oil sector as well as the highly
competitive lubricants market. However, the Company has lately
been incurring losses due to a government mandate to sell fuel
at subsidized prices. The Company is counting on a Government
bailout to save it from bankruptcy.
=================
I N D O N E S I A
=================
* Government Completes Restructuring of Central Bank Debts
----------------------------------------------------------
The Indonesian Government has completed restructuring its legacy
debts to the state central bank incurred when the Government
supported troubled banks that were hit by the Asian financial
crisis in 1997, the Jakarta Post says.
According to The Post, from 1998 to 2001, the Government sold
six series of bonds -- SU-001 to SU-006 -- worth IDR238.27
trillion to Central Bank Indonesia to aid the troubled banks.
Bank Indonesia had already injected IDR400 trillion in
recapitalization bonds to the ailing banks to keep them afloat.
The Post relates that the Government plans to issue soft bonds
worth IDR54.8 trillion in order to replace existing debts with
increasing interest, pending approval from the House of
Representatives.
The new SU-007 bonds, which have a 0.1% interest rate, would
replace accrued inflation-adjusted principal and interest from
the Government's SU-002 and SU-004 bonds held by Bank Indonesia,
as well as extend the maturity of the previous bonds from 2018
to 2025. Bank Indonesia would continue to hold the SU-002 bonds
with IDR20 trillion face value, as well as the SU-004 bonds
worth IDR53.7 trillion.
Finance Minister Sri Mulyani Indrawati said that the total
repayment of the restructured debts amounts to IDR154 trillion,
from IDR247.9 trillion prior to restructuring, which leads to
some IDR90 trillion in savings.
=========
J A P A N
=========
DAIEI INC: To Sell Original Japanese Beef to Customers
------------------------------------------------------
Retail chain operator Daiei Inc. will launch an original brand
of Japanese cow beef, or "wagyu" to customers beginning today,
June 15, 2006, Crisscross News reveals.
Daiei beef would be sold under the brand name "Satsuma
Himeushi," and comes from cows raised under a production control
system at a Company ranch in Kagoshima Prefecture.
The Company plans to win back its customers who shied away from
buying beef after rumors of mad cow disease led to a ban on
imports of beef products from the United States. It expects
annual turnover to reach JPY 2 billion from beef sales.
Headquartered in Hyogo, Tokyo, Daiei Incorporated --
http://www.daiei.co.jp/-- operates about 3,000 stores through
its subsidiaries and franchisees. Its retail businesses include
supermarkets, discount stores, department stores, and specialty
shops. Other businesses include restaurants, hotels, and real
estate services. Domestic sales make up more than 90% of its
revenues. Daiei diversified haphazardly during the 1980s
loading up on debt and failing to keep up with new, more
efficient competitors. Daiei, with the support of the
Industrial Rehabilitation Corporation of Japan, has decided to
close 54 stores nationwide, including subsidiaries, as part of
its new business reconstruction plan.
JAPAN AIRLINES: Hikes Cargo Fuel Surcharge on Rising Costs
----------------------------------------------------------
Japan Airlines Corp. plans to increase its fuel surcharges for
international cargo services on rising aviation fuel costs, Dow
Jones relates.
The Company submitted a plan to the Ministry of Land,
Infrastructure and Transport, seeking to increase its fuel
surcharge to JPY54 per kilogram from the current rate of JPY48
per kilogram. It plans to implement the fuel surcharge on
July 1, 2006.
Tokyo-based Japan Airlines International Company, Limited --
http://www.jal.com/en/-- was created as a result of the merger
of Japan Airlines and Japan Air Systems to boost domestic
coverage. JAL's international passenger operations incurred
losses in recent years due to negative factors such as the
severe acute respiratory distress syndrome epidemic and
terrorism fears. Due to a series of safety related incidents,
the JAL Group was subjected to a business improvement order and
administrative warnings relating to assurances on air
transportation safety issued by the Ministry of Land,
Infrastructure and Transport in March 2005. For the JAL Group,
there was a year-on-year decline in passenger demand on
international routes, due mainly to a delay in the recovery of
demand on routes to China and Southeast Asia. Domestic
passenger demand also fell below its year-earlier level,
particularly among individual passengers, as a result of factors
such as the series of safety problems that occurred. Demand for
international cargo services also fell year-on-year, due to weak
demand on routes from Japan to East Asian countries and the
United States. Rising aviation fuel prices compounded JAL's
situation.
Japan Airlines currently needs to refinance a JPY100 billion
debt in order to graduate from rehabilitation by its March 2007
deadline.
The Troubled Company Reporter - Asia Pacific reported on May 12,
2006, that Japan Airlines posted a consolidated net loss of
JPY47.24 billion for the business year 2005 ended March 31,
2006, due to safety-related incidents and rising aviation fuel
costs to JPY88.2 billion, compared to an operating profit of
JPY56.15 billion in 2004.
LIVEDOOR CO: To Sell Stake in Non-Core Asset to Invoice Inc.
------------------------------------------------------------
Internet firm Livedoor Co. Ltd will sell its stake in Dynacity
Corp. to telecommunications firm Invoice Inc. as part of its
efforts to dispose of its non-core assets, Reuters News reports.
The value of the sale has yet to be decided, according to
Invoice Inc. However, the Nihon Keizai Business Daily reveals
that the transaction could be worth around JPY30 billion.
In the wake of an accounting scandal that caused a sharp drop in
share prices and tarnished its image, Livedoor Co. is selling
off its non-core assets in order to avoid bankruptcy.
* * *
Headquartered in Tokyo, Japan, Livedoor Company, Limited --
http://corp.livedoor.com/en/-- is involved in out portal site
"livedoor," financial business, corporate web solutions, data
center and IP telephony business.
The Troubled Company Reporter - Asia Pacific reported that in
January 2006, Livedoor ex-president and founder Takafumi Horie,
and other Livedoor directors were found to have conspired to
cover up the Company's JPY310 million pre-tax loss for the
business year ended September 2004, by doctoring financial
accounts to instead show an inflated pre-tax profit of JPY5.03
billion. Moreover, Mr. Horie and the Company executives
allegedly relayed false information on a merger, with the intent
to boost the stock price of Livedoor's subsidiary, Livedoor
Marketing Co.
The TCR-AP recounts that following the accounting scandal in
January, Livedoor's stock price plunged to JPY94 per share from
over JPY300 per share. Livedoor was delisted from the Tokyo
Stock Exchange on April 14, 2006.
Four Livedoor ex-directors, two external accountants, and both
Livedoor and subsidiary Livedoor Marketing Limited, have pled
guilty to charges of accounting fraud and violating the
Securities Exchange Law at their trial's first hearing on
May 26, 2006. This while Mr. Horie denied the charges against
him. The directors currently stand trial for the fraud charges,
while Mr. Horie is scheduled to stand trial within June 2006.
=========
K O R E A
=========
LG CARD: Sale May Be Delayed Due to Regulation Review
-----------------------------------------------------
The Financial Supervisory Service said that it is conducting a
legal review of the sale of LG Card Co. Ltd. for it to decide
whether the creditors of the credit card issuer should suspend
their sale plan and opt for a tender offer method, the Korea
Herald reports.
The Korea Times recounts that state-run Korea Development Bank
-- LG Card's largest shareholder with a 23% stake -- recently
requested the FSS to review the bidding procedure of LG Card
after receiving complaints from potential bidders.
The KDB, which is managing the sale, has been offering a due
diligence report to potential bidders on behalf of other
creditors for the sale of their controlling stake at LG Card,
The Times relates.
The Times cites bank officials as saying that a winning bidder
for LG Card is obliged to buy stocks held by minority
shareholders as it is an open tender, but KDB failed to give
notice about this to potential bidders in advance.
However, KDB claimed that it did not know about the regulation.
Korea Herald explains that, according to the Korean security
trading regulations, if more than 10 shareholders sell shares in
a company outside the market within six months, it should be a
tender offer. A tender offer is a takeover bid in the form of a
public invitation to shareholders to sell their stock, generally
at a price above the market price.
Companies in restructuring, however, are exempt from the rules.
The Herald says that LG Card's creditors did not follow the rule
because they regarded the card issuer as a company under
restructuring.
LG Card is shared by KDB and 13 other lenders.
The FSS is now looking into the case to determine whether KDB
has implemented the sales procedure for LG Card in accordance
with the securities laws. The FSS said that it may take several
weeks to complete its review on the case.
According to The Times, LG Card creditors are likely to delay
the sale until early 2007.
The Troubled Company Reporter - Asia Pacific reported on May 24,
2006, that Shinhan Financial Group Co. and National Agricultural
Cooperative Federation have emerged as the most likely winners
in the bid for LG Card, while Hana Financial Group Inc. follows
close behind.
About LG Card Co.
Headquartered in Seoul Korea, LG Card Co. --
http://www.lgcard.com/-- provides installment finance services
and credit card, as well as leasing services to credit worthy
companies while acquiring valuable assets from merchant banks
and leasing firms. LG Card also finances families wishing to
purchase big ticket items such as automobiles, appliances and
computers. At the end of October 2003, LG Card had KRW3.24
trillion more debt than assets and had faced threats of
liquidity crisis and court receivership. LG Card has been in
the hands of creditors since it was rescued from bankruptcy
through a KRW5 trillion (US$4.78 billion) debt-for-equity swap
and a further KRW1 trillion bailout in late 2004. Creditors are
hoping to recover the bailout amount through a sale of the
credit card issuer.
LG Card made a recovery last year after posting a net profit of
KRW1.36 trillion.
===============
M A L A Y S I A
===============
ANTAH HOLDINGS: Restructuring Plan Awaits Necessary Approvals
-------------------------------------------------------------
Antah Holdings Berhad will implement its restructuring scheme as
soon as it obtains the approvals of relevant authorities.
The Troubled Company Reporter - Asia Pacific recounts that on
May 9, 2006, the Company submitted its proposed restructuring
scheme to the Securities Commission and Foreign Investment
Committee for approvals.
Antah's Proposed Restructuring Scheme involves:
* the acquisition of the PIPO Group;
* a scheme of arrangement with shareholders;
* the acquisition of Lekas;
* the acquisition of certain other properties;
* a scheme of arrangement with creditors;
* the issuance of NewCo shares;
* the offer for sale of NewCo shares;
* the transfer of listing status; and
* the disposal of the Company.
About Antah Holdings Berhad
Headquartered in Petaling Jaya, Selangor Darul Ehsan, Malaysia,
Antah Holdings Berhad -- http://www.antah.com.my/--
manufactures and trades pharmaceutical products and fluid
engineering and manufacturing. The Company's other activities
include retailing of houseware and kitchenware, property
development, insurance broking, provision of management services
and investment holding. The Group discontinued its beverage and
security services operations. The Group operates in Malaysia,
Australia, United Kingdom and Singapore.
In 2003, the Company announced that it was undertaking a
Proposed Debt Restructuring Exercise involving the Company's
financial institution lenders and other creditors of Antah
Group. The Debt Restructuring Exercise was subsequently
approved by the Company's scheme creditors. However, due to the
adverse financial position of the Company and changes to certain
key components in the Proposed Debt Restructuring Exercise, the
Company was unable to proceed with the implementation of the
aforesaid Debt Restructuring Exercise
On February 6 and May 8, 2006, the Company entered into several
agreements with certain parties to undertake a proposed
restructuring scheme with the intention of restoring the Company
onto stronger financial footing via an injection of new viable
businesses.
According to the Troubled Company Reporter - Asia Pacific on
May 11, 2006, financial institutions extended a total loan
facility of MYR281,401,000 to the Company. To date, Antah paid
MYR48,247,000. As of April 30, 2006, Antah's total loan default
plus interest has reached MYR286,442,000.
The Company's balance sheet as of March 31, 2006, revealed that
it is suffering tight liquidity with current liabilities of
MYR626,846,000 exceeding total current assets of MYR82,422,000.
AYER MOLEK: Members to Receive 2005 Audited Accounts at AGM
-----------------------------------------------------------
The Ayer Molek Rubber Company Berhad's 19th Annual General
Meeting will be held at Baiduri Courtroom, Ball Room Level,
Hotel Istana, in 73 Jalan Raja Chulan, Kuala Lumpur, on June 28,
2006, at 10:00 a.m.
During the meeting, members will be asked to:
-- receive and adopt the the audited financial statements of
the Company for the year ended December 31, 2005, together
with the related reports of the Directors and Auditors;
-- re-elect as director Raja Dato' Abdul Rashid Bin Raja
Badiozaman;
-- approve the payment of Directors' fees of MYR20,000 for
the year ended December 31, 2005;
-- reappoint Moores Rowland as auditors for the ensuing year
and to authorize the board of directors to fix the
auditors' remuneration; and
-- transact any other ordinary business of the Company of
which due notice will have been given.
About Ayer Molek Rubber Company
Headquartered in Kuala Lumpur, Malaysia, Ayer Molek Rubber
Company Berhad is principally engaged in the leasing of its
entire plantation land to a third party. It operates solely in
the domestic market. Ayer Molek has suffered recurring losses
since the early 90s, which prompted the Company to propose a
rescue and restructuring scheme to fully redeem and settle
outstanding debts.
For the quarter ended March 31, 2006, the Group booked a net
loss of MYR281,000 and no revenue. No dividend has been paid or
proposed. The Company's March 31, 2006, balance sheet showed
tight liquidity with current assets of MYR1,037,000 available to
pay current liabilities of MYR5,503,000 coming due in the next
12 months.
BIMB HOLDINGS: Suffers MYR67.5-Mln Pre-tax Loss in Third Quarter
----------------------------------------------------------------
BIMB Holdings Berhad, on June 2, 2006, submitted for public
release its financial report for the third quarter ended
March 31, 2006.
For the quarter ended March 31, 2006, the Group incurred a pre-
tax loss of MYR67,494,000 on a revenue of MYR300,103,000,
compared with a pre-tax profit of MYR4,566,000 and revenue of
MYR235,971,000 in the same quarter last fiscal year.
The Group registered a net loss of MYR84,875,000 for the quarter
under review. There was no dividend declared or recommended for
the period.
As of March 31, 2006, the Company's balance sheet revealed total
assets of MYR17.7 million and total liabilities of
MYR14.3 million.
Summary of Key Financial Information
Individual Period Cumulative Period
Current Year Preceding Year Current Year Preceding Year
Quarter Corresponding to Date Corresponding
Quarter Period
31-03-2006 31-03-2005 31-03-2006 31-03-2005
MYR'000 MYR'000 MYR'000 MYR'000
* Revenue
300,103 235,971 859,638 715,774
* Profit/(loss) before tax
-67,494 4,566 -80,246 34,892
* Profit/(loss) after tax and minority interest
-84,875 -2,208 -120,424 17,008
* Net profit/(loss) for the period
-84,875 -2,208 -120,424 17,008
* Basic earnings/(loss) per shares (sen)
-15.08 -0.39 -21.39 3.02
* Dividend per share (sen)
0.00 0.00 0.00 0.00
* As at end of As at Preceding
Current Quarter Financial Year End
2.0800 2.2200
The Company's Third Quarter Report and its accompanying notes
are available for free at:
http://bankrupt.com/misc/tcrap_bimbholdings061406.xls
http://bankrupt.com/misc/tcrap_bimbholdingsnotes061406.doc
About BIMB Holdings Berhad
Headquartered in Kuala Lumpur, Malaysia, BIMB Holdings Berhad --
http://www.bankislam.com.my/-- is an investment holding
company, which operates along Islamic principles. The Company
was incorporated in Malaysia on March 20, 1997, and was listed
on the Main Board of the Kuala Lumpur Stock Exchange on
September 16 in the same year. Core subsidiaries of the Group
are involved in various Islamic financial service activities
including banking, stock-broking, leasing and other related
services. The Bank has incurred substantial losses since 2000
due to huge financing costs and high provisions for loss-making
offshore units. For the quarter ended December 31, 2005, the
Company posted a net loss of MYR20.78 million due to higher
allowance of non-performing financing of MYR102.24 million and
higher total operating expenses of MYR101.51 million.
FARLIM GROUP: To Hold 24th AGM on June 27
-----------------------------------------
Farlim Group (Malaysia) Berhad's 24th Annual General Meeting
will be held at Holiday Villa, Classics 2, No.9, Jalan SS12/1,
Subang Jaya, in 47500 Petaling Jaya Selangor Darul Ehsan on
June 27, 2006, at 10:00 a.m.
During the meeting, members will be asked to:
-- receive and adopt the Audited Financial Statements for the
year ended December 31, 2005, and the Directors' and
Auditors' Reports;
-- approve the payment of Directors' Fees for the year ended
December 31, 2005;
-- re-elect as directors:
* Dato' Haji Mohd Bin Kuppa Pitchai Rawther;
* Encik Ahmad Kamarudin Bin Ismail;
* Dato' Zainol Abidin Bin Dato' Haji Salleh; and
* Lam Chin Loong;
-- reappoint Messrs. Monteiro & Heng as auditors and to
authorize the Board to fix their remuneration;
-- authorize the Board to issue shares in the Company
provided that the aggregate number of shares issued does
not exceed 10% of the total issued capital of the Company
and that such approval will continue in force until the
conclusion of the Company's Annual General Meeting;
-- transact any other business for which due notice will be
given.
About Farlim Group (Malaysia) Berhad
Headquartered in Penang, Malaysia, Farlim Group (Malaysia) Bhd
-- http://www.farlim.com.my/-- is principally engaged in
property development. Due to the poor performance of its
Chinese arm, the Company's business operations are dependent on
the Malaysian economy and general market confidence. The Group
has registered continuous losses and has not declared any
dividend since fiscal 2000.
For the first quarter ended March 31, 2006, the Group booked a
turnover of MYR42.973 million and loss before tax of
MYR4.597 million, compared to the MYR54.455 million turnover and
MYR6.755 million pre-tax loss for the preceding year's
corresponding period. The losses were mainly attributable to
the operational losses of the Company's foreign operations in
the People's Republic of China.
FARLIM GROUP: Extraordinary General Meeting Fixed for June 27
-------------------------------------------------------------
An Extraordinary General Meeting of Farlim Group (Malaysia) Bhd
will be held at Holiday Villa, Classics 2, No. 9, Jalan SS12/1,
Subang Jaya, in 47500 Petaling Jaya, Selangor Darul Ehsan, on
June 27, 2006, at 10:15 a.m. or immediately following conclusion
of the Company's 24th Annual General Meeting.
During the meeting, members will be asked to consider and, if
thought fit, approve the proposed settlement of the outstanding
debt under the US$20-million syndicated Revolving Credit
Facility obtained from syndicated lenders:
* Maybank International (L) Limited who novated the loan to
Malayan Banking Berhad;
* Am International (L) Limited who novated the loan to
AmMerchant Bank Berhad; and
* Aseambankers Malaysia Berhad.
The settlement will be done through the issuance of redeemable
convertible secured bonds by the Company.
Members are also expected to approve the proposed settlement of
the outstanding debt under certain bilateral facilities due to
bilateral lenders:
-- Southern Bank Berhad;
-- EON Bank Berhad;
-- Danaharta Managers Sdn Bhd;
-- Malayan Banking Berhad;
-- AmBank Berhad;
-- AmMerchant Bank Berhad; and
-- Aseambankers Malaysia Berhad.
The debt will be settled through the issuance of redeemable
convertible secured loan stocks by the Company or conversion of
the outstanding debt into new term loans.
Furthermore, members will be asked to endorse the proposed
issuance of irredeemable convertible unsecured loan stocks by
the Company to Syndicated Lenders and Bilateral Lenders, as well
as the issuance of up to a nominal value of MYR27,002,560 RCSB,
MYR14,255,383 RCSLS, MYR20,326,100 ICULS and the new shares in
the Company pursuant to the conversion of the said RCSB, RCSLS
and ICULS.
Moreover, members will also pass the proposed increase of the
Company's share capital from MYR300,000,000 consisting of shares
of MYR1 each to MYR500,000,000 consisting of shares of MYR1
each.
About Farlim Group (Malaysia) Berhad
Headquartered in Penang, Malaysia, Farlim Group (Malaysia) Bhd
-- http://www.farlim.com.my/-- is principally engaged in
property development. Due to the poor performance of its
Chinese arm, the Company's business operations are dependent on
the Malaysian economy and general market confidence. The Group
has registered continuous losses and has not declared any
dividend since fiscal 2000.
For the first quarter ended March 31, 2006, the Group booked a
turnover of MYR42.973 million and loss before tax of
MYR4.597 million, compared to the MYR54.455 million turnover and
MYR6.755 million pre-tax loss for the preceding year's
corresponding period. The losses were mainly attributable to
the operational losses of the Company's foreign operations in
the People's Republic of China.
KIG GLASS: To Convene 18th Annual General Meeting on June 30
------------------------------------------------------------
The 18th Annual General Meeting of KIG Glass Industrial Berhad
will be held at Sri Pontian, Lower Ground Floor, Hyatt Regency
Hotel, in Jalan Sungai Chat, 80720 Johor Bahru, on June 30,
2006, at 10:00 a.m.
During the meeting, members will be asked to:
-- receive and adopt the Directors' Report and the Financial
Statements for the financial year ended December 31, 2005,
together with the related Auditors' Report;
-- approve Directors' fees of MYR 72,000 for fiscal 2005;
-- re-elect as directors Agus Nursalim and Tuan Hj. Ab.
Rahman Bin Mohammed;
-- reappoint Ernst & Young as auditors of the Company and to
authorize the Directors to fix their remuneration;
-- allow the Company and its subsidiaries to enter into
recurrent related party transactions of a revenue or
trading nature, provided that the transactions are
necessary for the Group's day-to-day operations, made at
arm's-length basis and on normal commercial terms which
are no more favorable to the related parties than those
extended to the public and are not detrimental to the
minority shareholders of the Company; and
-- transact any other business of which due notice has been
given.
About KIG Glass Industrial Berhad
Headquartered in Johor Darul Ta'zim, Malaysia, KIG Glass
Industrial Berhad -- http://www.kedaung.com/-- manufactured and
sold glassware, glass blocks and carton boxes. The firm's other
activities included manufacturing of ceramic roof tiles. Its
operations were carried out in Malaysia and China. Due its
inability to pay its debts, the Company ceased operation in May
2005.
As of December 31, 2005, the KIG Group's accumulated losses
stood at almost MYR300 million. The shareholders' funds of the
KIG Group was in deficit of approximately MYR93 million while
its total borrowings amounted to approximately MYR104 million.
To this end, KIG Glass announced its status as an affected
listed issuer pursuant to Practice Note 1/2001 and Practice Note
17/2005 of the Listing Requirements.
KRAMAT TIN: Revamp Completion Deadline Extended Until Feb. 2007
---------------------------------------------------------------
Kramat Tin Dredging Berhad asked the Securities Commission to
extend the deadline for the Company to implement its
restructuring exercises until February 28, 2007.
On June 5, 2006, the Commission granted Kramat Tin until
February 28, 2007, to complete its restructuring.
Kramat Tin, on April 24, 2004, entered into a restructuring
agreement with five other parties to address its position as an
affected listed issuer having an inadequate level of operations
under Practice Note 10/2001 of Bursa Malaysia's Listing
Requirements, the Troubled Company Reporter - Asia Pacific
recounts.
The parties involved with Kramat Tin in the proposed scheme of
arrangement are:
1. Prudent Location Sdn Bhd;
2. SP Setia Bhd;
3. Putrajaya Holdings;
4. Abad Kilat Sdn Bhd; and
5. Kelana Ventures Sdn Bhd.
About Kramat Tin Dredging Berhad
Headquartered in Kuala Lumpur, Malaysia, Kramat Tin Dredging
Berhad is currently in the process of identifying suitable
business opportunities. The Company ceased its mining
operations in 1988. In 2001, Bursa Malaysia Securities Berhad
classified Kramat Tin as a Practice Note 10 company, given its
inadequate level of operations. To avoid being de-listed,
Kramat Tin, in 2004, entered into an arrangement to restructure
its operational and financial position. Currently, Kramat Tin
is seeking the approval of the regulatory authorities for its
Proposed Restructuring Scheme. For the financial year ended
December 31, 2005, with the scheme still pending completion,
Kramat Tin registered a smaller loss of MYR524,000 compared with
the MYR1.3-million net loss in 2004.
LANKHORST BERHAD: Delays Submission of Annual Audited Accounts
--------------------------------------------------------------
Lankhorst Berhad has not yet submitted to Bursa Malaysia
Securities Berhad the audited annual accounts for the year ended
December 31, 2005.
The Company advised that the Company's auditors -- Messrs PKF --
commenced their audit of the 2005 Accounts on May 2, 2006, after
their appointment was approved at the annual general meeting on
April 28, 2006. They are in the midst of finalizing the
outstanding financial report.
As a consequence of the non-compliance of the Bourse's listing
requirements, Bursa Securities may take action against the
Company.
About Lankhorst Berhad
Headquartered in Selangor, Malaysia, Lankhorst Berhad engages in
civil and geotechnical engineering services, building
construction, trading and application of geosynthetic materials.
Other activities include property development and investment,
water and wastewater treatment, oil and gas contracting and
supply, quarry operations, railway track construction,
mechanical and electrical construction, soil improvement
services and trading of construction supply. The Company has
been incurring a string of losses due to high operating costs
and its units are facing winding up actions. It also defaulted
on several loan facilities. As of December 31, 2005, the
Company's balance sheet showed MYR167,439,000 in total current
assets, MYR171,454,000 in total current liabilities, and
MYR1,781,000 in total stockholders' equity. The Company has a
deficit of MYR4,015,000.
On April 24, 2006, Lankhorst was classified as an affected
listed issuer and is required to comply with the provisions of
the Bourse's Practice Note 17/2005 category. In the event
Lankhorst fails to comply with all the provisions of PN 17/2005,
Bursa Securities may take any action against the Company
including but not limited to delisting proceedings against
Lankhorst. The Company is currently under the protection of a
Restraining Order pursuant to Section 176 of the Companies Act,
1965 and currently formulating a debt and capital restructuring
scheme to improve the Company's financial position to be
announced in due course.
METROPLEX BERHAD: Court Strikes Out MSEM's Wind-Up Petition
-----------------------------------------------------------
The Kuala Lumpur High Court, on June 2, 2006, heard Metroplex
Berhad's application to strike out a wind-up petition filed by
Morgan Stanley Emerging Markets Inc.
Subsequently, the High Court ruled in favor of Metroplex, and
did not issue a wind-up order against the Company.
According to The Troubled Company Reporter - Asia Pacific, the
wind-up petition had been served on Metroplex on April 26, 2005,
by the solicitors of Morgan Stanley. Morgan Stanley asserts
payment of its US$7,126,960 claim for the credit facilities
granted by a syndicate of lenders to Legend International
Resorts Limited, whose obligations were guaranteed by Metroplex.
The TCR-AP reported earlier that the Kuala Lumpur High Court had
issued an order appointing Kuan Mei Ling, of RSM Nelson Wheeler
Teo Corporate Advisory Services Sdn Bhd, as Metroplex's
provisional liquidator. The appointment, however, is limited to
the extent of Mertoplex's 100% equity interest in Metroplex
Holdings Berhad and the sale of the Putra Place property to
Lembaga Kumpulan Wang Simpanan Pekerja for the purposes of
ascertaining the disposal alternatives of the Property.
Meanwhile, the High Court will hear the Provisional Liquidator's
Report on June 27, 2006.
Trading in the shares of Metroplex Berhad had resumed on June 5,
2006.
About Metroplex Berhad
Headquartered in Kuala Lumpur, Malaysia, Metroplex Berhad's
activities are hotel and casino operations. Other activities
include property investment, property development, provision of
administrative services, general and building construction,
leasing and financing, trading of building materials and
operation of hotel management training school. Operations are
carried out in Malaysia, Hong Kong and Philippines. On April
28, 2005, Morgan Stanley Emerging Markets Inc. had filed a
winding-up petition on the Company to the Kuala Lumpur High
Court. Morgan Stanley also filed for a summons to appoint a
provisional liquidator for the wind up. Until and unless a
provisional liquidator is appointed pursuant to the application
to the Court by the Petitioner to appoint provisional liquidator
for Metroplex, the winding-up petition will not have significant
impact on the Group's operations as MB is currently working out
a debt-restructuring scheme. In the event the wind-up petition
succeeds, the Company will be put into liquidation.
SUGAR BUN: Notes Variances Between Audited & Unaudited Accounts
---------------------------------------------------------------
Sugar Bun Corporation Berhad's board of directors has noted
variances between the audited results as released by the Company
on May 31, 2006, and the unaudited results as announced on
March 31, 2006.
Group Loss for the year ended January 31, 2006, was:
Audited : MYR20.02 million
Unaudited : MYR17.23 million
Variance : MYR 2.79 million
The difference of MYR2.79 million or 16.2% is mainly due to
subsequent audit adjustments made to the accounts, such as:
* Share of result of an associated company
(The actual amount was only known following
the finalization and completion of the
audit of the associated company). MYR2.46 million
* Other miscellaneous audit adjustments MYR0.33 million
The Company's financial report is available for free at:
http://bankrupt.com/misc/tcrap_sugarbun040506.doc
About Sugar Bun Corporation Bhd
Sugar Bun Corporation Bhd -- http://www.sugarbun.com/-- is
engaged in the operation and franchising of restaurants,
bakeries and confectioneries. Its other activities include
general trading of machinery, spare parts and phone cards,
investment holding and provision of administrative, management
and marketing services. Operations of the Group are carried out
mainly in Malaysia. The Company is currently reorganizing the
Group's overall structure in a bid to curb losses it accumulated
in the past. The Company is employing various policies
formulated to streamline the Group's operations including cost
cutting measures. With the corporate exercises in place, Sugar
Bun Corporation is expected to recover this year.
Sugar Bun Corporation Berhad has incurred a fourth quarter net
loss of MYR9.38 million for the financial year ended January 31,
2006, as against a net loss of MYR4.58 million in the
corresponding quarter of the previous fiscal year. There was no
dividend paid in the current quarter ended January 31, 2006.
TALAM CORPORATION: To Oppose Wind-Up Bid Against Unit
-----------------------------------------------------
Talam Corporation Berhad's subsidiary -- Lestari Puchong Sdn Bhd
-- was served with a wind-up petition on June 2, 2006, by Low
Hock Chee.
Mr. Low claims that Lestari owes him MYR15,053 and further
annual interest of 8% from the date of default is agreed first
payment on October 19, 2005, until date of settlement as ordered
by the Wilayah Persekutuan Housing Tribunal on September 9,
2005.
Talam Corporation, which has a MYR1,001,700 investment in
Lestari, does not foresee the amount claimed to have a material
financial nor operational impact on the Group. The Company said
it is taking steps to strike out and oppose the wind-up petition
against its unit.
The petition will be heard on August 10, 2006.
About Talam Corporation
Headquartered in Kuala Lumpur, Malaysia, Talam Corporation
Berhad is principally engaged in property development. Its
other activities include trading building materials,
manufacturing of ready mixed concrete, provision for higher
educational programs, development and management of hotel, golf
and country club horticulturists, agriculturists and landscaping
designers and contractors and investment holding. Operations of
the Group are carried out in Malaysia and China. The Company
has accumulated losses and debt in the past few years. In a bid
to cut back on its borrowings, the firm has agreed to sell off
some of its assets. The sales are expected to slash the
Company's short-term debts, which amounted to MYR1.8 billion as
of January 31, 2005.
=====================
P H I L I P P I N E S
=====================
LAFAYETTE MINING: Greenpeace Criticizes Decision to Reopen Mine
---------------------------------------------------------------
Global environmentalist group Greenpeace (Southeast Asia)
attacked the Philippine Government's decision to reopen the
copper-zinc mine of Lafayette Philippines, Inc., located in
Rapu-Rapu, Albay, saying that the Government's decision meant
that environmental damage is just part of doing business, the
Philippine Daily Inquirer says.
The Troubled Company Reporter - Asia Pacific reported on
Nov. 14, 2005, that the Government forced Lafayette Philippines
to suspend its operations after two spill incidents from its
gold, copper and zinc mine in Rapu-Rapu, which polluted a nearby
river. The Department of Environment and Natural Resources
issued a cease-and-desist order against the Company, prohibiting
it from discharging wastewater into the environment. The
Government then created the Rapu-Rapu Fact Finding Commission in
March 2006 to investigate the spills and "evaluate all the facts
and circumstances surrounding the alleged threat to people's
health and environmental safety" and to submit a report before
the mine could be reopened.
A later report on June 14, 2006, stated that the Government had
allowed the Company to reopen its Rapu-Rapu mine for 30 days to
conduct a test run to determine whether its repairs pass
inspection and are consistent with environmental standards.
Greenpeace toxics campaign manager Beau Baconguis said that the
group is urging President Gloria Macapagal Arroyo to reverse the
decision, and that economic gains should not be prioritized over
a stable environment and marine ecosystem.
However, Press Secretary Ignacio Bunye said that the President
is supporting the decision to allow Lafayette to resume
operations in order to conduct a test run.
* * *
Lafayette Mining Philippines, Inc., is a subsidiary of
Australian firm Lafayette Mining, Incorporated --
http://www.lafayettemining.com/-- which has been listed on the
Australian Stock Exchange since August 1997. Lafayette
Philippines is currently developing a polymetallic project
involving copper, gold, zinc and silver on the Island of Rapu-
Rapu in the Philippines.
The Department of Environment and Natural Resources' former
secretary, Mike Defensor, ordered the closing of Lafayette
Philippines in 2005 when the Company's mine tailings were
accidentally spilled into the Albay Gulf last October, killing
thousands of fish and destroying the livelihood of fishermen in
the area. The Company was also fined PHP10.7 million for
violating the Clean Water Act and its environmental compliance
certificate.
STENIEL MANUFACTURING: Creditors Seek to Rescind Firm's Sale
------------------------------------------------------------
Creditor banks of corrugated fiberboard maker Steniel
Manufacturing Corp. sought to rescind the sale by Steniel
(Belgium) Holdings, N.V., of its stake in Steniel (Netherlands)
Holdings, B.V., to Citigroup's CVC Asia Pacific Limited within
this week, Manila Standard Today relates, citing sources close
to the matter.
Steniel, which owes around PHP700 million to banks, was declared
in default last week by creditor Metropolitan Bank & Trust Co.
to whom the Company owes 53% of its total debt.
Metropolitan Bank, along with Bank of the Philippine Islands,
Chinatrust Philippines and other banks, sent a letter to CVC
Asia Pacific, asking them to nullify the sale, otherwise they
would pursue legal action to foreclose on Steniel's assets.
The Standard writes that the Company had not repaid its debts
since 2004, after which creditor-banks agreed to a debt-
restructuring agreement, which prohibited a change in Company
ownership and prevented CVC Asia Pacific from taking over
control of the Company. Unnamed sources said that the sale of
the Company to management was in breach of the agreement.
As of March 31, 2006, Steniel's liabilities amounted to
PHP1.1 billion, and receivables stood at PHP208 million while
fixed assets totaled PHP825.4 million.
Citigroup, which formed CVC Asia Pacific together with European
firm CVC Capital Partners, had said no to a group of new
investors who had offered an agreement that would have
restructured Steniel's finances, resumed operations and
increased shareholder value.
Steniel Didn't Get Rescind Letter
In a disclosure to the Philippine Stock Exchange regarding the
demand of its creditor-banks to rescind the sale, Steniel says
that it cannot respond to the demand since it is not a party to
the sale.
About Steniel Manufacturing
Steniel Manufacturing Corporation -- http://www.steniel.com/--
was incorporated in 1963 primarily to engage in manufacturing,
processing, and selling all kinds of paper products, paper board
and corrugated carton containers, and all other allied products
and processes. The Company and its subsidiaries have
established a strong foothold in the packaging industry by
offering a broad line of packaging products from corrugated
carton boxes to paper, plastic containers, and flexible
packaging. STN stands as the single largest independent
manufacturer of corrugated fibreboard containers in the
Philippines. About 99% of its revenues come from the corrugated
packaging business while the remaining 1% is from rigid
plastics.
On October 30, 2000, Metro Pacific Corporation and Philippine
International Paper Corporation entered into a Sale and Purchase
Agreement with Steniel (Netherlands) Holdings B.V. whereby all
the 636,193,025 common shares collectively owned by MPC and PIPC
representing approximately 72.6% of the issued and outstanding
capital stock of the company were sold to Steniel (Netherlands)
in accordance with the terms and conditions provided for in the
SPA.
* * *
Steniel Manufacturing did not meet its maturing obligations due
as of December 31, 2005, to certain lender banks. Management
has submitted its proposed plans and programs for the repayment
of the loans, which include, among others, the disposal of idle
assets of subsidiary companies, proceeds of which will be used
to pay off the loans, and extension of the repayment term of the
loans.
UNIOIL RESOURCES: Posts PHP10.24-Mil Net Loss for First Quarter
---------------------------------------------------------------
For the first quarter of financial year 2006, Unioil Resources &
Holdings Company posted PHP2.89 million in consolidated revenues
consisting mainly of interest income, with no change from the
revenues posted in the same quarter of 2005.
The Company's costs and expenses decreased by PHP0.21 million or
1.6% from PHP13.39 million for the quarter ended March 31, 2005.
Unioil's consolidated net loss for the first quarter of 2006 was
at PHP10.24 million, slightly higher than the PHP10.03 million
posted in the same quarter last year.
The Company's consolidated financial report for the first
quarter 2006 reflects these key figures:
Unioil Resources & Holdings Company
Financial Highlights
(in PHP millions)
As of As of
03/31/2006 12/31/2005
---------- ----------
Total Assets 590.39 599.82
Total Liabilities 1,143.58 1,142.77
Capital Deficit 555.42 545.18
Quarter Ending
03/31/2006 03/31/2005
---------- ----------
Net Loss 10.24 10.03
Revenues 3.55 3.55
Expense 13.60 13.39
Unioil's financial report for the quarter ended March 31, 2006,
is available for free at:
http://bankrupt.com/misc/Unioil_Resources_Quarterly_Report033106.pdf
About Unioil
Unioil Resources & Holdings Company, Inc., formerly Unioil
Exploration and Mineral Development Co., Inc., is a 100%
Filipino corporation organized primarily for the exploration and
development of petroleum and other mineral products. The
Company changed its name to Unioil & Gas Development Co., Inc.
in November 1992 as it concentrated on oil exploration.
Unioil transformed itself from a gas and oil exploration and
development company into a holding company engaged primarily in
investment banking and other related concerns like equity and
quasi-equity fund mobilization. All the oil exploration assets
and liabilities were spun off into another oil exploration
company called Phoenix Energy Corporation, in exchange for
notes, which are now carried on the books of the corporation as
long-term receivables.
Significant Doubt on Going Concern
After auditing Unioil's annual report for the year ended
December 31, 2005, Luis Canete, of Luis Canete & Company, the
Company's independent auditor, raised substantial doubt about
the Company and its subsidiaries' ability to continue as a going
concern. Mr. Canete notes that Unioil and its subsidiaries
reflected a total deficit of PHP2.11 billion as of December 31,
2005, and PHP2.10 billion as of December 31, 2004, as well as a
capital deficiency of PHP523.32 million and PHP513.47 million
for 2005 and 2004. The financial statements of the Parent
Company show a total deficit of PHP1.57 billion and a capital
deficiency of PHP3.05 million as of December 31, 2005.
Subsidiaries in Trouble
The Company's accumulated deficit and the resulting negative
equity have resulted mainly from the losses incurred by Unioil's
wholly owned subsidiary, Westmont Investment Corporation, which
encountered difficulties following the Asian financial crisis in
1997.
In 2000, the Securities and Exchange Commission issued a cease
and desist order preventing Wincorp from dealing with the public
for alleged violation of the Revised Securities Act by offering
unregistered securities in the form of confirmation advice.
Following a denial of Wincorp's motion to lift the Cease-and-
Desist Order, the SEC filed a complaint with the Department of
Justice charging Wincorp and its officers and directors with
violation of the Securities Regulation Code. The case was later
dismissed by the DOJ on October 29, 2002.
Wincorp's wholly owned subsidiaries, Wincorp Securities, Inc.,
and Westmont Forex Corporation, have voluntarily ceased
operations in September 2000 and December 2001. Another wholly
owned subsidiary, Landwest Corporation, incorporated on Feb. 13,
1996, has not started commercial operations, leaving Winbank,
Inc. as the only subsidiary still in operation.
=================
S I N G A P O R E
=================
DIGILAND INTERNATIONAL: Members Approve Rights Issue
----------------------------------------------------
Members of Digiland International Limited convened for an
extraordinary general meeting on June 13, 2006.
During the meeting, members:
-- approved the Company's renounceable rights issue; and
-- authorized the Company's directors to allot and issue
the rights shares, the warrants and the new shares
arising from the Rights Issue.
About Digiland International Limited
Digiland International Limited -- http://www.digiland.com.sg/--
is a major distributor of IT products and provider of IT
services in the Asia-Pacific. The Digiland International group
of Companies was set up initially as the distribution arm of GES
International Limited to handle sales, marketing and
distribution of GES products, specifically the Datamini brand of
Personal Computer, designed and manufactured by GES
International Limited. It was renamed Digiland International
Private Ltd in 1998 and has since expanded geographically to
cover most countries in Asia-Pacific. The Company has been
reporting a string of losses in the recent years due to the
negative impact of the highly cyclical nature of the computer
industry. Sales were adversely affected by the shortening
product cycles of IT products and downward pressure on selling
prices as newer and more technologically advanced products enter
mass production. Aside from recurring losses, the Company's
subsidiaries have also been bombarded by wind-up petitions filed
by creditors.
ROGERS WORLDWIDE (SINGAPORE): Wind-up Hearing Set June 10
---------------------------------------------------------
Rogers Worldwide (H.K.) Limited on May 31, 2006, filed a wind-up
petition against Rogers Worldwide (Singapore) Limited.
The application will be heard before the High Court of Singapore
on June 10, 2006, at 10:00 a.m.
Parties-in-interest who want to attend the hearing must inform
Kang Kim Yang, as solicitor for Rogers Worldwide (H.K.) by
June 29, 2006.
Contact: Kam Kim Yang
5 Shenton Way
#35-01 UIC Building
Singapore 068808
STARTECH ELECTRONICS: Books Closure Date Fixed on June 30
---------------------------------------------------------
Startech Electronics Limited's Share Transfer Books and Register
of Members will be closed on June 30, 2006, for the purpose of
determining the provisional allotments of Rights Shares to
shareholders whose registered addresses with The Central
Depository (Pte) Limited are in Singapore.
In order to avoid any violation of the securities legislation in
countries other than Singapore, the Rights Shares will not be
issued to shareholders with registered addresses outside
Singapore as of the Books Closure Date.
Shareholders whose securities accounts with CDP are credited
with shares and having registered addresses outside Singapore,
may provide CDP, at 4 Shenton Way #02-01 SGX Centre 2, Singapore
068807, with an address in Singapore for the service of notices
and documents at least five market days prior to the Books
Closure Date.
Entitled Shareholders whose names appear in the Register of
Members of the Company on the Books Closure Date, will be
provisionally allotted the Rights Shares under the Rights Issue
on the basis of the number of Shares held by them as stated in
the Register of Members of the Company as of 5:00 p.m. on June
30, 2006.
Shareholders having registered addresses outside Singapore, may
provide the Company's share registrar, Lim Associates (Pte) Ltd,
at 10 Collyer Quay #19-08 Ocean Building, Singapore 049315, with
an address in Singapore for the service of notices and documents
by June 25, 2006.
Duly completed and stamped transfers together with all relevant
documents of title received by the Company's share registrar up
to 5.00 p.m. on the Books Closure Date will, subject to the
Articles of Association of the Company, be registered to
determine the provisional allotments of the Rights Shares of
Entitled Shareholders under the Rights Issue.
About Startech Electronics Limited
Startech Electronics Limited -- http://www.startechgrp.com/--
was incorporated as a private company limited by shares on
October 12, 1999, under the name PV Startech Holdings Pte
Limited. It changed its name to Startech Electronics Limited on
February 5, 2001, when it became a public limited company.
Startech Electronics provides electronics manufacturing
services, supplemented by the distribution business and
switchgear design and assembly business which diversifies the
Group's earnings base.
After posting a SGD17-million net loss in 2003, the Company
began restructuring its outstanding loans through a scheme of
arrangement with creditors, who had written off part of its
debt, as well as transforming its core business and a
restructuring of its various operations outside Singapore.
STARTECH ELECTRONICS: All EGM Resolutions Get Shareholders' Nod
---------------------------------------------------------------
At Startech Electronics Limited's Extraordinary General Meeting
on June 13, 2006, all resolutions set out in the Notice of EGM
dated May 22, 2006, were passed by the Company's shareholders.
During the meeting, members approved:
-- the renounceable non-underwritten rights issue of
between a minimum of 402,571,922 and a maximum of
595,576,664 new ordinary shares in the Company's share
capital at an issue price of SGD0.01 for each share in
Company's capital held;
-- the issue and allotment of up to 200,000,000 Rights
Shares which remain unsubscribed by shareholders under
the Rights Issue to Rennance Investments Limited;
-- the capitalizat5ion of the aggregate amount of
SGD4,000,000 owed by the Company to Malayan Banking
Berhad into 400,000,000 new ordinary shares in the
Company's share capital at an issue price of SGD0.01
per Maybank Swap Share in accordance with the terms and
subject to conditions of the Subscription Agreement
dated April 20, 2006, and the Credit Agreement between
the Company and Maybank in relation to the New Maybank
Facility;
-- the issuance of Maybank Swap Shares Option by Maybank to
Tan Meng Dong, a director and executive chairman of the
Startech Group for the acquisition of 90,000,000 Maybank
Swap Shares by Mr. Tan at SGD0.01 for each Maybank Swap
Shares;
-- the grant of call options to each of Rennace Investments
Limited, Messrs Chan Fook Meng anf Ong Buek Lee @ Ong
Bink Lee by the Company, for the issuance of up to a
collective aggregate of 200,000,000 new ordinary shares
to the investors at an issue price of SGD0.01 for each
Option Share for cash subject to, and in accordance with
the terms of the Call and Put Options Deeds;
-- the waiver of rights of independent shareholders to
receive a mandatory general offer from Maybank and all
persons acting in concert with it as a result of the
issue and allotment of 400,000,000 new ordinary shares
to Maybank pursuant to the Maybank Debt-Equity Swap; and
-- the cancellation of the issued and paid-up share capital
of the Company which has been lost or unrepresented by
available assets to the extent of SGD22,500,000.
About Startech Electronics Limited
Startech Electronics Limited -- http://www.startechgrp.com/--
was incorporated as a private company limited by shares on
October 12, 1999, under the name PV Startech Holdings Pte
Limited. It changed its name to Startech Electronics Limited on
February 5, 2001, when it became a public limited company.
Startech Electronics provides electronics manufacturing
services, supplemented by the distribution business and
switchgear design and assembly business which diversifies the
Group's earnings base.
After posting a SGD17-million net loss in 2003, the Company
began restructuring its outstanding loans through a scheme of
arrangement with creditors, who had written off part of its
debt, as well as transforming its core business and a
restructuring of its various operations outside Singapore.
WEE SIANG: Pays Dividend to Preferential Creditors
--------------------------------------------------
Wee Siang Pte Limited, on May 29, 2006, paid a 50.60% first and
final dividend to preferential creditors.
The dividend distribution was made pursuant to a wind-up order
against the Company by the High Court of Singapore.
Contact: Moey Weng Foo
Assistant Official Receiver
The Official Receiver's Office
The URA Centre (East Wing)
45 Maxwell Road #06-11
Singapore 069118
===============
T H A I L A N D
===============
CIRCUIT ELECTRONICS: 2005 Net Loss Reaches THB1.6 Billion
---------------------------------------------------------
Circuit Electronics Industries Plc reported a net loss of
THB1.65 billion in fiscal year 2005, compared with the
THB1.55-billion net loss in 2004.
The loss prompted auditor Sukanya Sutheeprasert to cast doubt on
the Company's ability to continue as a going concern. The
Auditor said that Circuit Electronic's ability to go forward
depends on the success of the Company's Rehabilitation Plan.
Moreover, Ms. Sutheeprasert expressed that she cannot verify the
veracity of the Company's outstanding accounts receivable, which
according to her increased in the year ended December 31, 2005,
to THB3.439 billion. Ms. Sutheeprasert further relates that the
Company provided full allowance for doubtful accounts receivable
resulting to increase of receivables for the year ended Dec. 31,
2005. Based on the Company's financial statement, accounts
receivable amount to THB1.262 billion, accounting 76.47% of the
net loss.
Moreover, the Company's total liabilities exceeded total assets
by THB2.657 billion.
Circuit Electronics Industries Plc
Financial Highlights
As of/Year Ending December 31
2005 2004
---- ----
Assets THB835,383,509 THB2,384,407,465.01
Liabilities 3,492,668,943 3,391,391,153
Equity (2,657,285,434) (1,006,983,688)
Revenue 1,112,458,934 2,391,578,950
Net Profit (1,650,301,746) (1,554,145,588)
* * *
Headquartered in Amphoe Uthai Ayutthya, Thailand, Circuit
Electronics Public Co. Limited -- http://www.cei.co.th/--
manufactures and exports various integrated circuit and chip on
board for many kinds of electronic equipment such as mobile
phone, computer, automobile assembly, household electronic
equipment and others. The Group operates in the United States
of America, Europe and Asia. The Company reported assets
totaling THB2.38 billion in 2004, versus liabilities of THB3.39
billion.
The Company is currently under rehabilitation. Its securities
are placed under the Rehabco Sector of the Stock Exchange of
Thailand.
*********
S U B S C R I P T I O N I N F O R M A T I O N
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Chapman, Editors.
Copyright 2006. All rights reserved. ISSN: 1520-9482.
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