---

        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

            Tuesday, September 2, 2008, Vol. 11, No. 174

                            Headlines

A U S T R A L I A

ASA PROPERTY: Joint Meeting Slated for September 9
ASN LOGISTICS: Members and Creditors to Meet on September 9
ATS AIR: Members and Creditors to Meet on September 10
BARBEQUES GALORE: Court to Review Bid Protocol at Sept. 3 Hearing
C.G.M. TRANSPORT: Joint Meeting Slated for September 9

CITY PACIFIC: Posts AU$139.5 Mil. Net Loss for FY2008
GIZMO GRAPHIC: Members Opt to Liquidate Business
GLOBAL MEDISAFE: Placed Under Voluntary Administration
GLOBAL PRE PAID: Members and Creditors to Meet on September 10
IN-TOUCH NETWORKS: Joint Meeting Set for September 10

JAMESON COMMERCIAL: Members and Creditors to Meet on September 9
KAESOR PTY: Liquidator to Give Wind-Up Report on September 10
KENNEDY CONSTRUCTIONS: Joint Meeting Set for September 10
SMARTIRE: Sells Conv. Debentures to Xentenial for US$100,000
MOBIUS NCM-03: S&P Puts Class D/E Notes Ratings on WatchNegative

MOBIUS ELR: Fitch Says All Classes Remain on Rating Watch Negative
MORANDO BROS: Members' Final Meeting Set for September 10
WATERPROOF ENTERPRISES: Joint Meeting Slated for September 10
* AUSTRALIA: Manufacturing Activity Remains Below Key 50.0 Level


C H I N A

AGRICULTURAL BANK: Issues CNY266.5BB Loans to Small Firms in 1H
BOE TECHNOLOGY: Expects Losses in Third Quarter on Low LCD Demands
MINSHENG BANK: President Eddie Wang to Retire This Year
* CHINA: Insurance Industry Strong Despite Challenges, S&P Says


H O N G K O N G

DAVINES ASIA: Commences Liquidation Proceedings
GREAT SKY: Members to Hold General Meeting on September 23
GROGRAM LIMTED: Members to Hear Wind-Up Report on September 16
LOCH ALSH: Member to Hear Wind-Up Report on September 23
MBF PROPERTIES: Members to Hear Wind-Up Report on September 16

PEC INTERNATIONAL: Requires Creditors to File Claims by Sept. 22
QI CAPITAL: Members' Final Meeting Slated for September 23
SILVERHOOD LIMITED: Shareholders to Hold Final Meeting on Sept. 23
TEAMSING ELECTRONIC: To Hold 2nd Annual Meeting on September 24
TITAN PETROCHEMICALS: Moody's Lowers CFR to Caa1; Outlook Neg.

ZHEN WEI: Creditors' Proofs of Debt Due on October 10


I N D I A

DISH TV: Reprices 18,09,450 Stock Options at Rs 36.10/-
ENTERTAINMENT NETWORK: Replaces Dirs. Satwalekar and Kumar
FICON LEASE: Members Appoint Directors and Auditor
LAKSHMI GANESHA: CRISIL Rates Rs. 140 Mil. Facilities at 'BB-'
MIDAS PHARMASEC: Cuts Share Capital to Rs 1,68,00,000/-

MIRAJ URBAN: Insolvency Prompts Reserve Bank to Cancel License
MOSCHIP SEMICONDUCTOR: Reappoints Prasad and Rao as Directors
NETWORK LTD: To Expand Operations in India and Overseas
S KUMARS.COM: Board to Meet Today on Raising Long Term Resources
SPECTRUM POWER: Fitch Assigns National Issuer Rating at BB-

TATA MOTORS: Protest Continues to Paralyze Work at Nano Site
VARDHAM POLYTEX: Acquires Assets of Insolvent F M Hammerle


I N D O N E S I A

PT EXCELCOMINDO: Fitch Affirms BB- Issuer Default Ratings


J A P A N

ABSPOKE 2005-X: Fitch Junks Rating on JPY2BB Floating-Rate Notes
DELPHI CORP: ADAH Wants to Re-Argue Court's Decree on Fraud Suit
DELPHI CORP: Creditors Want Court to Deny US$300MM Loan from GM
DELPHI CORP: PBGC Wants GM to Assume Delphi's Pension Liabilities
FUJI ELECTRIC: Mulls Joint Venture With Schneider Electric

ORSO FUNDING: S&P Puts Class E-Deferral's BB Rating on WatchNeg


K O R E A

BOE HYDIS: Two Ex-Officials Indicted Over Technology Leak to China
HYNIX: Korea Urges Japan to Lift Tariffs on Computer Memory Chips


M A L A Y S I A

FOREMOST HOLDINGS: Posts MYR860,000 Net Loss in Qtr. Ended June 30
HO HUP: Posts MYR9.26 Mil. Net Loss in Quarter Ended June 30
OLYMPIA INDUSTRIES: Posts MYR6.49 Mil. Net Profit in 4th Qtr. 2008
PANGLOBAL BERHAD: June 30 Balance Sheet Upside-Down by MYR615.95MM
SELOGA HOLDINGS: Posts MYR1.90 Mil. Net Loss in Qtr. Ended June 30


N E W  Z E A L A N D

CHESIL PARK: Liquidators Set September 12 as Claims Bar Date
DEVCOM D2: Proofs of Debt Due on September 6
DEVCOM CONTRACTING: Proofs of Debt Due on September 6
DOMINION FINANCE: Incurs NZ$108.15 Mil. Net Loss in FY2008
G T RIGGING: Wind-Up Petition Hearing Set for September 11

HANOVER FINANCE: Fitch Holds & Withdraws D Issuer Default Ratings
I AM IMPORT: High Court Appoints Liquidators
LJO INVESTMENTS: Liquidators Set September 10 as Claims Bar Date
LOADED HOG: Wind-Up Petition Hearing Set for September 8
NEWBY PROPERTIES: Liquidator Sets September 7 as Claims Bar Date

RAGLAN DEVELOPMENT: Proofs of Debt Due on September 12
RMB TRUSTEE: Fitch Cuts Rated Mortgage RML 2006-2 to BB from BBB
SEAGROVE DEVELOPMENT: Proofs of Debt Due on September 12
STRATEGIC FINANCE: Posts NZ$15.7 Mil. Net Loss for FY2008
STRATEGIC FINANCE: Signs Sale Agreement With Clarence Investments


S I N G A P O R E

CHEVIOT PTE: Creditors' Proofs of Debt Due on September 22
CHONG BENG: Subject to Extra Air's Wind-Up Petition
COMPASS LLC: Requires Creditors to File Claims by September 22
YANCY HOLDINGS: Court to Hear Wind-Up Petition on Sept. 5


X X X X X X X X

* BOND PRICING: For the Week September 1 - September 5, 2008


                         - - - - -


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

ASA PROPERTY: Joint Meeting Slated for September 9
--------------------------------------------------
ASA Property Maintenance & Scaffolding Pty Limited will hold a
joint meeting for its members and creditors at 12:00 p.m. on
Sept. 9, 2008.  During the meeting, the company's liquidator,
Peter P. Krejci, will provide the attendees with property disposal
and winding-up reports.

The company's liquidator can be reached at:

          Peter P. Krejci
          Ferrier Green Krejci Silvia
          Level 13, 1 Castlereagh Street
          Sydney NSW 2000


ASN LOGISTICS: Members and Creditors to Meet on September 9
-----------------------------------------------------------
ASN Logistics Pty Limited will convene a meeting for its members
and creditors at 9:00 a.m. on Sept. 9, 2008.  During the meeting,
the company's liquidator, Peter P. Krejci, will provide the
attendees with property disposal and winding-up reports.

The company's liquidator can be reached at:

          Peter P. Krejci
          Ferrier Green Krejci Silvia
          Level 13, 1 Castlereagh Street
          Sydney NSW 2000


ATS AIR: Members and Creditors to Meet on September 10
------------------------------------------------------
ATS Air Terminal Services Pty Limited will hold a joint meeting
for its members and creditors at 10:15 a.m. on Sept. 10, 2008.
During the meeting, the company's liquidator, Ozem Kassem, will
provide the attendees with property disposal and winding-up
reports.

The company's liquidator can be reached at:

          Ozem Kassem
          Cor Cordis Chartered Accountants
          Level 10
          76-80 Clarence Street
          Sydney


BARBEQUES GALORE: Court to Review Bid Protocol at Sept. 3 Hearing
-----------------------------------------------------------------
Barbeques Galore Inc. asked the U.S. Bankruptcy Court for the
Central District of California to approve bidding procedures on a
sale of its assets, including a break-up fee, at a Sept. 3, 2008
hearing, William Rochelle of Bloomberg News reports.

Mr. Rochelle notes that objections deadline and the auction date
weren't disclosed in court documents submitted to the Court on
Aug. 26, 2008.

The Los Angeles Times has reported that Barbeques Galore planned
to sell the company or form "a consensual liquidating plan" with
its bank lenders.

Bloomberg News reported on August 28, 2008, there's no lead
bidder.

The Troubled Company Reporter said on Aug. 21, 2008, that the
company has at most 5,000 creditors including Sakura Bath &
Kitchen Products of Guanodong, China, which is asserting a
US$1.6 million claim against the company.  In March 2008, the
company borrowed US$22 million from a line of credit with Wells
Fargo Retail.  The loan is secured by all of the assets of the
company and that of its affiliates.  As of July 30, 2008, the
company had US$12.6 million outstanding under the line of credit.
The company owes US$38 million in unsecured debt to Ironbridge,
which is subordinated to the credit line.  The company had
US$16 million in unsecured debts and US$1.4 million in taxes.

Carlsbad, California-based Barbeques Galore Inc. --
http://www.bbqgalore.com/-- owns 65 retail stores selling
barbeque equipment and supplies.  It has operations in Australia.
It filed for Chapter 11 on Aug. 15, 2008, (Bank. C.D. Calif. Case
No. 08-16036). Jeffrey W. Dulberg, Esq., at Pachulski Stang Ziehl
& Jones LLP, represents the Debtor in its restructuring efforts.
The Debtor listed estimated assets of US$10 million to US$50
million, and estimated debts of US$10 million to US$50 million.


C.G.M. TRANSPORT: Joint Meeting Slated for September 9
------------------------------------------------------
C.G.M. Transport Pty Limited will hold a joint meeting for its
members and creditors at 10:30 a.m. on Sept. 9, 2008.  During the
meeting, the company's liquidator, Peter P. Krejci, will provide
the attendees with property disposal and winding-up reports.

The company's liquidator can be reached at:

          Peter P. Krejci
          Ferrier Green Krejci Silvia
          Level 13, 1 Castlereagh Street
          Sydney NSW 2000


CITY PACIFIC: Posts AU$139.5 Mil. Net Loss for FY2008
-----------------------------------------------------
City Pacific Limited reported a net loss after tax of
AU$139.53 million for the financial year ended June 30, 2008,
compared with a net profit of AU$73.21 million in the previous
year.  The company also reported an operating profit before
impairment and tax of AU$55.5 million down 58.4% from previous
year's operating profit of AU$133.42 million.

Managing Director and CEO Phil Sullivan said "Despite the core
underlying fundamentals of residential property remaining solid in
the key areas where City Pacific has investments, consumer
uncertainty created by the global credit crisis and a succession
of interest rate rises has resulted in a weakening of property
values, which has in turn had a negative impact on our overall
result.

The market adversity over the last twelve months has clearly had
an impact on our business and necessitated one-off write downs of
some assets and investments to bring them in line with current
market values resulting in a net loss after tax of AU$139.5
million."

Tough market conditions and the rising cost of credit have
impacted the property and finance sectors prompting City Pacific
to undertake a review of its asset carrying values to identify
any possible impairment.  City Pacific had total assets of AU$498
million and following the review has booked impairment losses and
write downs of AU$186 million resulting in total assets on the
balance sheet as at June 30, 2008, of AU$312.9 million.  These
one-off impairments and write downs have resulted in City Pacific
posting a net loss after tax despite the sound operating profit.

"The operating conditions over the last year have been the most
challenging the group has faced in its 10 year history.  The
prevailing market conditions have played havoc on a range
of asset values across the markets in which we operate and similar
to other organizations we have made the decision to mark these
assets to market.  While our expectation is that once the market
stabilizes these asset values should improve, it is prudent to
adopt a conservative approach in valuing these assets in today's
environment" said Mr. Sullivan.

In response to the impact the ongoing global credit and liquidity
crisis has had on the Australian property market, the Directors
and executive management have undertaken a review of operations
and have commenced an asset realisation program.  This will see a
significant reduction in both project specific debt and City
Pacific's corporate banking facility which will in turn further
strengthen its balance sheet and provide insulation from the
continuing adverse market conditions.

As reported in the Troubled Company Reporter-Asia Pacific on
Aug. 18, 2008, City Pacific Limited took the necessary steps to
preserve the value of the Fund's assets and protect unitholders
investments in light of the rapidly changing market conditions.

As a result of the significant market changes City Pacific made
the decision, in March 2008, to defer the payment of redemptions
from the Fund whilst continuing the payment of distributions to
unitholders.

City Pacific said that due to the continued market volatility
and the possible impact it may have on the value of the Fund's
assets, it is anticipated that certain adjustments will be
necessary.  Management's review, in consultation with the Fund's
auditors, indicates that an accounting provision of
approximately 5% of the Fund's mortgage loan portfolio may be
necessary.

City Pacific's Board will be in a position to inform members of
the outcome of the above assessment upon the completion of the
Fund's full year audit which will be completed by Sept. 30,
2008.

It is important for unitholders to understand that this
provision is an accounting treatment and management believe that
with the continued effective management of the loan portfolio
allowing for the orderly completion and sale or refinance of the
existing projects, the provision may not be utilised in full.

In order to preserve the capital value of the unitholders'
investments in the Fund, and until such time that the above
assessment and audit have been completed, the Board has
determined that the Fund will not pay distributions for the
months of July and August.

City Pacific said it understand that many of its unitholders,
staff and Directors are relying on these distribution payments
in what has been a challenging year, but the Board must ensure
that the value of the Fund's assets and unitholders investments
are preserved and this can only be done by ensuring the projects
financed by the Fund are completed in an orderly manner.

                       Liquidity Proposal
                   for Unitholders in the Fund

To protect the value of the assets in the Fund, City Pacific
said that its decision to suspend the payment of distributions
for July and August coupled with the deferral of redemptions has
a significant impact on those unitholders who require access to
their funds (liquidity).

City Pacific has considered, in conjunction with its advisers, a
number of options which will provide unitholders with an
opportunity for ongoing liquidity.

The Board of City Pacific said that it has finalised the terms
of the proposal which is to be offered to the unitholders of the
Fund.  The proposal will be an offer from City Pacific to
unitholders of the Fund and will be structured in the following
manner:

   * City Pacific will, subject to shareholder approval,
     offer up to AU$1 billion convertible preference
     shares (CPS);

   * Unitholders will have the option to exchange their
     units in the Fund on the basis of one $1 CPS for
     every unit held;

   * City Pacific will receive in exchange for the issuing
     of the CPS's a co-investment position with the Fund
     in all of the Fund's loan portfolio;

   * City Pacific's co-investment will be equal to the
     number of CPS's issued and will be evenly spread across
     the Fund's entire loan portfolio;

   * City Pacific and the Fund will rank equally in respect
     to the co-investment;

   * it is the intention of City Pacific to apply to list
     the CPS's on the ASX (subject to certain approvals)
     thus creating liquidity through the ability for the
     CPS's to be traded on the ASX platform;

   * the CPS's will have an issue price of $1;

   * the dividend rate for the CPS's will be determined
     by adding 3% to the Reserve Bank of Australia
     cash rate. At the current RBA cash rate this
     represents a return of 10.25% per annum on the issue
     price;

   * dividends will be paid quarterly in arrears and will
     be cumulative;

   * the dividend stream for the CPS's will be derived not
     only from City Pacific's coinvestment with the Fund
     in registered first mortgages but also City Pacific's
     property and finance related activities;

   * the CPS's will have a term of 9 years and 11 months
     and will be redeemable at the expiration of this term;
     and
   * during the term the Board of City Pacific may offer
     CPS holders the opportunity to convert their CPS's
     into ordinary shares.

City Pacific said it will be seeking the necessary regulatory
approvals in relation to the proposal prior to distributing the
documentation and relevant notices to unitholders and City
Pacific shareholders.  Subject to receiving these approvals we
anticipate the documents will be distributed in late September
in order that shareholder and unitholder meetings can be held on
the same day as City Pacific's AGM currently scheduled for
Oct.  28, 2008.

City Pacific's Board have considered the interests of all
stakeholders and believe that the terms of the proposal are
designed to protect the interests of all parties so that
unitholders will get full value for their investment yet there
will be no dilution of value to ordinary shareholders.

                       About City Pacific

City Pacific Limited (ASX: CIY) -- http://www.citypac.com.au/
-- is a diversified financial services company, providing
finance and investment products.

City Pacific, a non-bank loan provider, has AU$5 billion
in mortgage assets under advice, comprising over AU$1 billion
funds under management in the City Pacific First Mortgage
Fund, City Pacific Income Fund, City Pacific Managed Fund
and City Pacific Private Fund, a residential loan book of
AU$3.3 billion and commercial mortgage assets under
management of approximately AU$800 million.  City Pacific
originates nearly AU$3 billion per annum in loans to fund
residential property, property development, commercial
property investment, plant & equipment and business
finance.


GIZMO GRAPHIC: Members Opt to Liquidate Business
-------------------------------------------------
Gizmo Graphic Placements Pty. Ltd.'s members agreed on July 21,
2008, to voluntarily liquidate the company's business.  Schon G.
Condon was appointed to facilitate the sale of its assets.

The liquidator can be reached at:

          Schon G. Condon
          Condon Associates
          Level 6
          87 Marsden Street
          Parramatta NSW
          Telephone (02) 9893 9499


GLOBAL MEDISAFE: Placed Under Voluntary Administration
------------------------------------------------------
Global Medisafe Holdings Pty Ltd has been placed in voluntary
administration with debts of AU$4 million, ABC News reports.

According to the report, joint administrator Ray Tolcher said
Medisafe failed to develop an effective marketing and distribution
network, but he hopes it can be sold as a going concern.

The company's fate will be decided at a meeting of creditors on
Sept. 19, 2008, the report says.

Global Medisafe -- http://www.globalmedisafe.com/-- develops


GLOBAL PRE PAID: Members and Creditors to Meet on September 10
--------------------------------------------------------------
Global Pre Paid Communications Pty Limited will hold a meeting for
its members and creditors at 10:45 a.m. on Sept. 10, 2008.  During
the meeting, the company's liquidator, Ozem Kassem, will provide
the attendees with property disposal and winding-up reports.

The company's liquidator can be reached at:

          Ozem Kassem
          Cor Cordis Chartered Accountants
          Level 10
          76-80 Clarence Street
          Sydney


IN-TOUCH NETWORKS: Joint Meeting Set for September 10
-----------------------------------------------------
In-Touch Networks Pty Limited will hold a joint meeting for its
members and creditors at 10:30 a.m. on Sept. 10, 2008.  During the
meeting, the company's liquidator, Ozem Kassem, will provide the
attendees with property disposal and winding-up reports.

The company's liquidator can be reached at:

          Ozem Kassem
          Cor Cordis Chartered Accountants
          Level 10
          76-80 Clarence Street
          Sydney


JAMESON COMMERCIAL: Members and Creditors to Meet on September 9
----------------------------------------------------------------
Jameson Commercial Pty Limited will hold a meeting for its members
and creditors at 11:30 a.m. on Sept. 9, 2008.  During the meeting,
the company's liquidator, Peter P. Krejci, will provide the
attendees with property disposal and winding-up reports.

The company's liquidator can be reached at:

          Peter P. Krejci
          Ferrier Green Krejci Silvia
          Level 13, 1 Castlereagh Street
          Sydney NSW 2000


KAESOR PTY: Liquidator to Give Wind-Up Report on September 10
-------------------------------------------------------------
Kaesor Pty Limited will convene a meeting for its members and
creditors at 11:00 a.m. on Sept. 10, 2008.  During the meeting,
the company's liquidator, Ozem Kassem, will provide the attendees
with property disposal and winding-up reports.

The company's liquidator can be reached at:

          Ozem Kassem
          Cor Cordis Chartered Accountants
          Level 10
          76-80 Clarence Street
          Sydney


KENNEDY CONSTRUCTIONS: Joint Meeting Set for September 10
---------------------------------------------------------
Kennedy Constructions (Queensland) Pty Ltd will hold a joint
meeting for its members and creditors at 11:00 a.m. on Sept. 10,
2008.  During the meeting, the company's liquidator,
Andrew Fielding will provide the attendees with property disposal
and winding-up reports.

The company's liquidator can be reached at:

          Andrew Fielding
          BDO Kendalls
          Level 18, 300 Queen Street
          Brisbane QLD 4000



SMARTIRE: Sells Conv. Debentures to Xentenial for US$100,000
------------------------------------------------------------
SmarTire Systems Inc. sold a secured convertible debenture to
Xentenial Holdings Limited in the principal amount of US$100,000
on
August 15, 2008.  No fees were withheld from the proceeds, which
were received on August 19, 2008.

Under the terms of this secured convertible debenture, the company
is required to repay principal, together with accrued interest
calculated at an annual rate of twelve percent (12%), on or before
August 15, 2011.

Interest may be paid either in cash or in shares of its common
stock valued at the closing bid price on the trading day
immediately prior to the date paid, at its option.  The secured
convertible debenture is secured by all of its assets.

Subject to a restriction, all or any part of principal and
interest due under the secured convertible debenture may be
converted at any time at the option of the holder into shares of
our common stock.  The conversion price in effect on any
conversion date shall be equal to the lesser of:

    a) US$0.0573 or;

    b) (80%) of the lowest volume weighted average price of its
       common stock during the 30 trading days immediately
       preceding the conversion date as quoted by Bloomberg, LP.

The conversion price is subject to adjustment in the event the
company issues any shares of common stock at a price per share
less than the conversion price then in effect, in which event,
subject to certain agreed exceptions, the conversion price will be
reduced to the lower purchase price.

The secured convertible debenture contains a contractual
restriction on beneficial share ownership.  It provides that the
holders may not convert the convertible debenture, or receive
shares of its common stock as payment of interest, to the extent
that the conversion or the receipt of the interest payment would
result in such holder, together with its affiliates, beneficially
owning in excess of 4.99% of its then issued and outstanding
shares of common stock.

This beneficial ownership limitation may be waived by the holder
upon not less than 65 days' notice to us.

An event of default will occur under the convertible debenture if
any of the following occurs:

  -- any default (not waived by the holder) in the payment of the
     principal of, interest on or other charges in respect of the
     convertible debentures;

  -- the company or any of its subsidiaries become bankrupt or
     insolvent;

  -- the company or any of its subsidiaries default in any of its
     obligations under any other indebtedness in an amount
     exceeding US$100,000;

  -- the company's common stock ceases to be quoted for trading
     or listed for trading on any of the Nasdaq OTC Bulletin
     Board, the New York Stock Exchange, American Stock Exchange,
     the NASDAQ Capital Market or the NASDAQ National Market and
     is not again quoted or listed for trading on any primary
     market within 5 trading days of such delisting;

  -- the company or any subsidiary experiences a change of
     control;

  -- the company fail to use its best efforts to file, within
     30 days of demand by the Investors and provided that at
     least 30 days have passed since any other registration
     statement filed by the company has been declared
     effective by the SEC, with the SEC a registration statement
     on Form S-1 or SB-2 under the Securities Act ;

  -- if the effectiveness of the registration statement lapses
     for any reason or the holder of the 10% convertible
     debenture is not permitted to resell the underlying shares
     of common stock, in either case, for more than five trading
     days or an aggregate of eight trading days;

  -- the company fail to deliver common stock certificates to a
     holder prior to the fifth trading day after a conversion
     date or it fails to provide notice to a holder of its
     intention not to comply with requests for conversions of the
     convertible debentures;

  -- the company fails to deliver the payment in cash pursuant to
     a "buy-in" within three days after notice is claimed
     delivered; or;

  -- the company fails to observe or perform any other material
     covenant or agreement contained in or otherwise materially
     breach or default under any other provision of the
     convertible debenture which is not cured within the
     applicable cure periods.

Upon an event of default, the full principal amount of the
convertible debentures, together with accrued and unpaid interest
will become, at the holder's election, immediately due and payable
in cash or, at the election of the holder, shares of its common
stock.

Furthermore, in addition to any other remedies, the holder will
have the right to convert the convertible debenture at any time
after an event of default or the maturity date at the then
effective conversion price.  If an event of default occurs, the
company may be unable to immediately repay the amount owed, and
any repayment may leave us with little or no working capital in
its business.

In the event of any issuances of shares of common stock or rights,
options, warrants or securities convertible or exercisable into
common stock at a price per share of common stock less than the
conversion price of the convertible debentures, the conversion
price of such convertible debentures will be reduced to the lower
purchase price.

In addition, the conversion price of the convertible debentures
will be subject to adjustment in connection with any subdivision,
stock split, combination of shares or recapitalization.  No
adjustment will be made as a result of issuances of securities or
interests upon the conversion, exchange or exercise of any right,
option, warrant obligation or security outstanding immediately
prior to the date of execution of the security purchase agreement
and exercises of options to purchase shares of common stock issued
for compensatory purposes pursuant to any of our stock option or
stock purchase plans.

In addition, the company will pay the holder 100% of the proceeds,
in cash, of any pending or future litigation, with such payments
to be applied to principal or interest on this debenture or other
debentures issued by the company to the holder, at the sole
discretion of the holder.

                     About SmarTire Systems

Headquartered in Richmond, British Columbia, Canada, SmarTire
Systems Inc. (OTC BB: SMTR) -- http://smartire.com/-- develops,
subcontracts its manufacturing, and markets tire pressure
monitoring systems (TPMSs), which monitor tire pressure and tire
temperature in a range of vehicles.  The company sells TPMSs for
trucks, buses, recreational vehicles, passenger cars and
motorcycles. It has three wholly owned subsidiaries: SmarTire
Technologies Inc., SmarTire USA Inc. and SmarTire Europe Limited.
The company has operations in Australia and New Zealand.

SmarTire Systems Inc.'s consolidated balance sheet at April 30,
2008, showed US$3,240,386 in total assets, US$38,162,990 in total
liabilities, and US$3,565,585 in preferred shares, resulting in a
US$38,488,189 stockholders' deficit.

                       Going Concern Doubt

BDO Dunwoody LLP, in Vancouver, Canada, expressed substantial
doubt about SmarTire Systems Inc.'s ability to continue as a going
concern after auditing the company's consolidated financial
statements for the years ended July 31, 2007, and 2006.  The
auditing firm pointed to the company's accumulated deficit and
working capital deficiency.

The company has incurred recurring operating losses and as of
April 30, 2008, had an accumulated deficit of US$146,822,824 and a
working capital deficiency of US$33,864,927 of which US$33,739,519
is
potentially convertible into shares of common stock of the
company, subject to certain restrictions.


MOBIUS NCM-03: S&P Puts Class D/E Notes Ratings on WatchNegative
----------------------------------------------------------------
Standard & Poor's Ratings Services has placed the ratings assigned
to the Class D and Class E notes issued by Mobius NCM-03 Trust on
CreditWatch with negative implications.

This occurs in response to the high level of arrears and losses
in Mobius NCM-03 Trust's underlying portfolio.  Its performance
continues to deteriorate.  The underlying portfolio is also
subject to a number of disputed insurance claims.  These concern
losses on defaulted loans, which are subject to lenders' mortgage
insurance with The Mortgage Insurance Company Pty Ltd.

The placement of the Class D and Class E notes on CreditWatch
with negative implications implies that the ratings on the notes
will be affirmed or downgraded within 90 days.

Ratings Placed On CreditWatch Negative:

Transaction         Class     Rating To      Rating From
--------------------------------------------------------
Mobius NCM-03 Trust   D       BB/Watch Neg   BB
Mobius NCM-03 Trust   E       B/Watch Neg    B

Ratings Affirmed:

Transaction           Class   Rating
------------------------------------
Mobius NCM-03 Trust   A1      AAA
Mobius NCM-03 Trust   A2      AAA
Mobius NCM-03 Trust   Z       AAA
Mobius NCM-03 Trust   B       A
Mobius NCM-03 Trust   C       BBB


MOBIUS ELR: Fitch Says All Classes Remain on Rating Watch Negative
------------------------------------------------------------------
Fitch Ratings said that all classes of Mobius ELR-01 Trust, Mobius
NCM-03 Trust and Mobius NCM-04 Trust remain on Rating Watch
Negative, after the extension of the transfer period of the Trust
Manager and Master Servicer roles for the trusts.  The ratings
are:

Mobius ELR-01 Trust:
  -- AU$35.381m class A Notes (ISIN AU300MOB3018): 'BBB', remain
     on RWN;
  -- AU$23.013m class B Notes (ISIN AU300MOB3026): 'C'/'DR3',
     remain on RWN;
  -- AU$2.664m class C Notes (ISIN AU300MOB3034): 'C'/'DR6',
     remain on RWN; and
  -- AU$2.786m class D Notes (ISIN AU300MOB3042): 'C'/'DR6',
     remain on RWN.

Mobius NCM-03 Trust:
  -- AU$ 39.868m class A1 (AU300MOB2010): 'AAA', remain on RWN;
  -- AU$ 8.828m class A2 (AU300MOB2028) 'AAA', remain on RWN;
  -- AU$ 45.1m class B (AU300MOB2036) 'A', remain on RWN;
  -- AU$ 12.65m class C (AU300MOB2044) 'BBB', remain on RWN;
  -- AU$ 12.1m class D (AU300MOB2051) 'BB', remain on RWN; and
  -- AU$ 6.6m class E (AU300MOB2069) 'CCC'/'DR3', remain on RWN.

Mobius NCM-04 Trust:
  -- AU$75.934m class A1 (AU0000MBBHA7): 'AAA', remain on RWN;
  -- AU$26.720m class A2 (AU3FN0000873): 'AAA', remain on RWN;
  -- AU$23.300m class B (AU3FN0000881): 'AA', remain on RWN;
  -- AU$27.800m class C (AU3FN0000899 'A-' (A minus), remain on
     RWN;
  -- AU$18.900m class D (AU3FN0000907): 'CCC', remain on RWN;
  -- AU$8.600m class E (AU3FN0000915): 'C'/'DR4', remain on RWN;
     and
  -- AU$7.700m class F (AU3FN0000923): 'C'/'DR6', remain on RWN.

As of 12 May 2008, Mobius Financial Services Pty Limited provided
notice that they intend to retire as Trust Manager and Master
Servicer for Mobius ELR-01 Trust, Mobius NCM-03 Trust and Mobius
NCM-04 Trust.  The transfer of the roles was expected to occur by
the end of August 2008, however, this has not occurred and the
transfer period has been extended to 30 September 2008.  Mobius
will continue in these roles until the formal transfer has
occurred.  The notes will remain on RWN until the transfer is
complete.


MORANDO BROS: Members' Final Meeting Set for September 10
---------------------------------------------------------
Christopher James Fawcett, Morando Bros. Pty. Limited's appointed
estate liquidator, will meet with the company's members on Sept.
10, 2008, at 10:00 a.m. to provide them with property disposal and
winding-up reports.  The meeting will be held at Level 1, 6
Langhorne Street in Dandenong, Victoria


WATERPROOF ENTERPRISES: Joint Meeting Slated for September 10
-------------------------------------------------------------
Waterproof Enterprises Pty Limited will hold a joint meeting for
its members and creditors at 10:00 a.m. on Sept. 10, 2008.  During
the meeting, the company's liquidator, Ozem Kassem, will provide
the attendees with property disposal and winding-up reports.

The company's liquidator can be reached at:

          Ozem Kassem
          Cor Cordis Chartered Accountants
          Level 10
          76-80 Clarence Street
          Sydney


* AUSTRALIA: Manufacturing Activity Remains Below Key 50.0 Level
----------------------------------------------------------------
Manufacturing activity remained below the key 50.0 level
separating expansion from contraction in August, with the
Australian Industry Group - PricewaterhouseCoopers Australian
Performance of Manufacturing Index (Australian PMI(R)) up a
marginal 0.1 points to 47.0.

Australian Industry Group (Ai Group) Chief Executive, Heather
Ridout, said "Manufacturing is caught in a bind between falling
demand and higher input costs.

"The contraction in manufacturing activity for the third
consecutive month is very worrying and the case for cutting
interest rates is compelling.

"With new orders falling sharply and the price of inputs
continuing to rise, the Australian PMI(R) clearly shows there is
increasing pressure on future production," Mrs. Ridout said.

PricewaterhouseCoopers Global Leader of Industrial Manufacturing,
Graeme Billings, said "The further fall in the Australian PMI®
shows that manufacturers remain under pressure.  It is unlikely
that these market pressures will ease significantly in the short-
term, given the prospect of slower economic growth, both here and
overseas.

"It is also unlikely that the long-term pressures facing
manufacturers due to a higher exchange rate, skills shortages and
competitive pressures from the emerging manufacturers such as
China will abate significantly either.

"Continued focus on developing new markets and products,
developing global supply chains, strengthening competitive edges
and cost control are critical for the sector's ongoing
profitability," Mr. Billings said.



=========
C H I N A
=========

AGRICULTURAL BANK: Issues CNY266.5BB Loans to Small Firms in 1H
---------------------------------------------------------------
The Agricultural Bank of China issued CNY266.5 billion (US$39
billion) loans to small enterprises in the first half this year,
with CNY172.2 billion to prime customers, AsiaPulse News reports.

By the end of June, the report relates, the bank had developed
530,000 small-enterprises clients, and its outstanding loans to
the small enterprises reached CNY259.7 billion.

According to the report, the bank has been taking great pains to
support agriculture-related small enterprises, and to improve its
financial service to small and medium-sized enterprises.

The bank has tailed a credit mechanism for small and medium-sized
enterprises clients, and made innovation in admission, guarantee,
procedure and authorization, establishing a credit policy
different from that of key customers, the report says.

Agricultural Bank of China -- http://www.abchina.com/-- is the
mainland's fourth largest bank.  It has lagged behind other
major Chinese commercial banks, which have received government
injections of new capital and been allowed to link up with
foreign partners in preparation for raising money on foreign
stock exchanges.

                        *     *     *

In May 2008, a Xinhua News report said Agricultural Bank of
China's non-performing loan (NPL) ratio increased 0.07
percentage points to 23.5% last year as it assessed bad loans
more strictly to prepare for a share-holding reform.

The bank, the report relates, reported its NPLs at CNY817.97
billion (US$116.9 billion) as of the end of 2007.

The Bank carries an 'E' Individual rating from Fitch Ratings.


BOE TECHNOLOGY: Expects Losses in Third Quarter on Low LCD Demands
------------------------------------------------------------------
BOE Technology Group Co. Ltd. is expecting to post an operating
loss in the third quarter on low market demand for LCD panels due
to subprime mortgage crisis and worldwide inflations since June
2008, and the decline of company's sales prices in July and
August, Sinocast News reports, citing Zhang Yu, BOE's director of
pubic relations.

The report relates that the company's interim report on August 27,
2008, shows operating revenues of about CNY5.506 billion, rising
17% from a year earlier, including CNY4.62 billion from TFT-LCD
business.  The operating profit from the business amounted to
CNY610 million, while net profit attributable to shareholders
reached CNY505 million, swelling 392%.

According to the report, the performance was really satisfying to
investors, however, BOE's monthly net profit in the first half of
2008 was only a little more than CNY80 million, much less than
CNY140 million of monthly after-tax profit since May 2007.

Chinese TFT-LCD, the report says, has been readjusting since June
2008, after more than half a year of robust growth.  Meanwhile,
large-screen LCD TVs have not swelled as expected, resulting to
large-sized products eroding the profit of low-generation
production lines, the report points out.

The latest data from DisplaySearch, Sinocast News relates, show
that the domestic LCD panels, particularly, mainstream sizes such
as 17-inch and 19-inch, have seen prices go down 10% to 15% since
late June 2008. The prices continued dropping 8% to 10% in August,
astonishing all LCD panel producers.

SiniCast News says that markdown for consecutive two months has
lessened LCD panel makers' quarterly profits from tens of billions
of Chinese Yuan to almost zero within three months.

An analyst of DisplaySearch points out that if China's flat panel
producers are unable to overturn the situations in traditional
midseason of September and October, the prices are likely to
maintain a momentum of dive in dead season of November and
December, even the early 2009, when potential production capacity
of Samsung, LGD, and AUO are to be released, the report adds.

                      About BOE Technology

Based in Beijing, BOE Technology Group Co. Ltd. (BOE) is a
manufacturer of display devices and digital products.  The Company
operates seven key divisions: Thin-Film Transistor-Liquid Crystal
Display (TFT-LCD); Monitor & Panel Television (TV), offering
cathode ray tube (CRT) monitors, TFT-LCD monitors, TFT-LCD TVs and
plasma display panel (PDP) TVs; Mobile Display System, providing
super twisted nematic-LCD (STN-LCD) and organic light-emitting
display (OLED); Special Application Display, supplying vacuum
fluorescent display (VFD) and light-emitting display (LED); CRT,
producing CRTs together with Toshiba and Panasonic; Precision
Electronic Component & Material, and Digital Display Product &
Display Application System.

                           *     *     *

The company continues to carry Xinhua Far East China Ratings' CC
issuer credit rating.


MINSHENG BANK: President Eddie Wang to Retire This Year
-------------------------------------------------------
China Minsheng Banking Corporation Ltd.'s Eddie Wang will retire
this year and Executive Vice President Hong Qi is expected to take
up the job, George Chen of Reuters reports, citing two sources.

Reuters relates that Mr. Wang, former China chief executive of
HSBC Holdings Plc from 1994 to 2002, took the top position at
Minsheng Bank in 2006.  The China Minsheng expected Mr. Wang to
bring his HSBC expertise, in particular in the consumer banking
area, to Minsheng, which is keen to boost its retail contribution,
the report notes.

According to the report, the hiring of Mr. Wang was regarded as a
strong signal of China's push to revamp its financial system where
most top positions at major banks were held by government
official-turned executives with close ties to the regulators.

Mr. Hong Qi, 51, currently in charge of the bank's loan and credit
business, is expected to replace Mr. Wang as Minsheng's new
president, the report notes.

However, a search for external candidates also remains an option
at current stage, sources told the news agency.

China Minsheng Banking Corporation Ltd.'s principal activity is
the provision of commercial banking services that include
absorbing public deposits, providing short term, medium term,
and long term loans, making domestic and international
settlement, discounting bills and issuing financial bonds.

                          *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
July 13, 2007, Fitch Ratings upgraded China Minsheng Banking
Corp.'s individual rating to "D" from "D/E" while it affirmed its
support rating at "4".


* CHINA: Insurance Industry Strong Despite Challenges, S&P Says
---------------------------------------------------------------
A greater focus on profitability and shareholder value among
China's top insurance companies has emerged against a backdrop of
strong growth and tighter regulatory controls in recent years.  In
an article titled, "What's Contributing To The Positive
Development Of China's Challenging Insurance Industry?", Standard
& Poor's Ratings Services attributes the positive developments in
the industry to the reform of state-owned companies, the listing
of key players, the entrance of foreign insurers and investors, as
well as a slew of regulatory initiatives this decade.  But S&P
also warns that risks and challenges remain high, such as stiff
competition, a small management pool, potential catastrophe
exposure, high inflation, and investment market volatility.

"Chinese insurers' businesses are moving increasingly in line
with international practices, with higher standards of
professionalism.  The key players now have a higher focus on
profitability and risk management controls to ensure more
sustainable business and financial profiles over the long run,"
said S&P's credit analyst Connie Wong.

But the article says that the industry's rapid growth and
volatile investment markets have exerted great pressure on the
solvency of some insurers.  Chasing market share in the industry
is very common, particularly among second-tier or new domestic
companies.  Other key issues include information risks and
irregularities.

"We have a positive outlook on China's insurance industry,
reflecting our expectation that the financial profiles and
management capability of the key players will continue to improve
and regulatory initiatives will remain stringent over the medium
term," said Ms. Wong.  "We expect these forces will help the
industry's transition towards a more mature market despite the
steep challenges."

Key positive developments include:

  -- Higher focus on profitability vs. focus on chasing market
     share;

  -- Regulatory initiatives to improve system risks versus
     excessive regulatory control;

  -- Improving risk management capability vs. increased risk
     profile; and

  -- Improving management capability vs. shortage of skilled
     management staff.



===============
H O N G K O N G
===============

DAVINES ASIA: Commences Liquidation Proceedings
------------------------------------------------
Davines Asia Limited commenced liquidation proceedings on Aug. 11,
2008.

Creditors are required to file their proofs of debt by Sept. 22,
2008, to be included in the company's dividend distribution.

The company's liquidators are:

          Natalia Seng Sze Ka Mee
          Cheng Pik Yuk
          Three Pacific Place, Level 28
          1 Queen's Road East
          Hong Kong


GREAT SKY: Members to Hold General Meeting on September 23
----------------------------------------------------------
The members of Great Sky Investment Limited will meet on Sept. 23,
2008, at 11:00 a.m., at the 12th Floor of New World Tower II, 18
Queen's Road, in Central, Hong Kong.

At the meeting, Ching Kwok Ho, Samuel and Li Lau Lai Hing, Joanna,
the company's liquidators, will give a report on the company's
wind-up proceedings and property disposal.


GROGRAM LIMTED: Members to Hear Wind-Up Report on September 16
--------------------------------------------------------------
The members of Grogram Limited will meet on September 16, 2008, at
11:30 a.m., at Room 2302, 99 Hennessy Road, in Wanchai, Hong Kong.

At the meeting, Ha Man Kit Marcus, the company's liquidator, will
give a report on the company's wind-up proceedings and property
disposal.


LOCH ALSH: Member to Hear Wind-Up Report on September 23
--------------------------------------------------------
The member of Loch Ash Trading Limited will have their final
general meeting on September 23, 2008, at 2:30 p.m., to hear the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Natalia K M Seng
          Three Pacific Place, Level 28
          1 Queen's Road East
          Hong Kong


MBF PROPERTIES: Members to Hear Wind-Up Report on September 16
--------------------------------------------------------------
The members of MBF Properties Holdings (HK) Limited will meet on
September 16, 2008, at 11:30 a.m., at Room 2302, 99 Hennessy Road,
in Wanchai, Hong Kong.

At the meeting, Ha Man Kit Marcus, the company's liquidator, will
give a report on the company's wind-up proceedings and property
disposal.


PEC INTERNATIONAL: Requires Creditors to File Claims by Sept. 22
----------------------------------------------------------------
The creditors of PEC International (Hong Kong) Limited are
required to file their proofs of debt by Sept. 22, 2008, to be
included in the company's dividend distribution.

The company commenced liquidation proceedings on August 11, 2008.

The company's liquidators are:

          Darach Eoghan Haughey
          Lai Kar Yan Derek
          One Pacific Place, 35th Floor
          88 Queensway
          Hong Kong


QI CAPITAL: Members' Final Meeting Slated for September 23
----------------------------------------------------------
The members of QI Capital (HK) Limited will meet on Sept. 23,
2008, at 11:00 a.m., at the 20th Floor of Prince's Building, in
Central, Hong Kong.

At the meeting, Lam Hok Chung Rainier, the company's liquidator,
will give a report on the company's wind-up proceedings and
property disposal.


SILVERHOOD LIMITED: Shareholders to Hold Final Meeting on Sept. 23
------------------------------------------------------------------
The shareholders of Silverhood Limited will hold their final
meeting on September 23, 2008, at 3:30 p.m., at the 24th Floor of
Hang Wai Commercial Building, 231-233 Queen's Road East in
Wanchai, Hong Kong.

At the meeting, Au Yan Alfred, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.


TEAMSING ELECTRONIC: To Hold 2nd Annual Meeting on September 24
---------------------------------------------------------------
The members and creditors of Teamsing Electronic Company Limited
will hold their second annual meetings on September 24, 2008, at
3:30 p.m. and 3:45 p.m., respectively, at Room 202 of Duke of
Windsor Social Service Building, 15 Hennessy Road, in Wanchai,
Hong Kong.

At the meeting, Tony Yuen Wai Kin, the company's liquidator, will
give a report on the company's wind-up proceedings and property
disposal.


TITAN PETROCHEMICALS: Moody's Lowers CFR to Caa1; Outlook Neg.
--------------------------------------------------------------
Moody's Investors Service has downgraded the corporate family
rating of Titan Petrochemicals Group Limited to Caa1 from B3 and
its senior unsecured bond rating to Caa2 from Caa1.  The ratings
outlook is negative.  This concludes the rating review continued
on June 27, 2008.

"The ratings downgrade is primary driven by Titan's weak financial
performance and tight liquidity profile, as reflected in its
reported operating loss for 1H2008 and declining cash balance,"
says Peter Choy, Moody's Vice President and Senior Credit Officer,
adding, "its non-compliance with some of its bank loan covenants,
albeit the amount of loans involved is small, adds further
pressure on its near-term liquidity profile."

"Moody's is also concerned with the uncertainty and high execution
risk associated with its plan to raise new financing or equity to
fund its core businesses -- shipyard and oil storage -- thereby
raising the challenge of improving its core operations," says Mr.
Choy.

Titan's unpledged balance sheet cash fell to HK$542 million in
1H2008 from HK$1,514 million at December 2007, further evidence of
the high level of cash required for its capital expenditures as
well as the challenges evident in raising new funding.

Furthermore, the level of cash demand is expected to continue and
may not be fully satisfied by the wind-down of its discontinued
businesses and further single-hulled vessel sales.

At the same time, Moody's notes that Titan could defer some of its
capital expenditures to conserve cash.  It has also obtained a new
strategic partner -- K Line -- for the injection of a modest US$25
million in new equity to support its shipyard business.

However, the company has yet to demonstrate its ability to obtain
third-party orders for its ship-building business and to fund the
construction of the facilities necessary to ramp up its ship-
repair business.  Furthermore, any delays in the development of
the shipyard and oil storage business will weaken its earnings and
cash flow, and further impair its debt-servicing ability.

Moody's expects Titan's financial position to deteriorate over the
near term as the EBITDA contribution from the shipyard and onshore
oil storage businesses may not be sufficient to offset the loss in
income due to the disposal of its transportation assets.

Hence, Titan's projected key credit metrics of Debt/EBITDA of over
10x and EBITDA/interest of 0.9x -- 1.0x as well as its tight
liquidity profile are more consistent with the lowered rating
level.

The one-notch difference between the bond and corporate family
ratings reflects the continued legal subordination risk of
unsecured bondholders, given that Titan's secured debt to total
asset ratio is around 19%.  This ratio may increase with the
addition of secured debt to fund capital expenditures over the
next two years.

The ratings outlook remains negative, reflecting the high level of
execution risk in its core businesses and the prevalence of high
near-term liquidity risk as it faces the challenge of raising
adequate funding to support its businesses.

Given the current negative outlook and the company's tight
liquidity profile, upward rating pressure is limited.

On the other hand, the ratings could be subject to further
downward pressure if it fails to meet its debt-repayment
obligations.

Titan Petrochemicals Group Ltd ("Titan") is an operator of oil
storage and shipyard businesses in China, together with bunkering
operations in Singapore, Malaysia and China. It was listed on the
Hong Kong Stock Exchange in May 2002.


ZHEN WEI: Creditors' Proofs of Debt Due on October 10
-----------------------------------------------------
The creditors of Zhen Wei Holdings (HK) Limited requires its
creditors to file their proofs of debt by October 10, 2008, to be
included in the company's dividend distribution.

The company commenced liquidation proceedings on August 22, 2008.

The company's liquidator is:

          Mo Pui Lam
          Champion Building, Flat E, 15th Floor
          287-297 Des Voeux Road
          Central, Hong Kong



=========
I N D I A
=========

DISH TV: Reprices 18,09,450 Stock Options at Rs 36.10/-
-------------------------------------------------------
Dish TV India Ltd's Remuneration Committee has repriced 18,09,450
stock options, granted to the company's employees under the 2007
Employees Stock Option Scheme, at Rs 36.10/- being the closing
market price of the company's equity shares on August 28, 2008 at
National Stock Exchange.

The stock option repricing was approved by the company's
shareholders at an annual general meeting held August 28, 2008.

Pursuant to the grants, the Remuneration Committee approved stock
options aggregating 30,000 to the non-promoter non-executive
independent directors of the company at Rs 36.10/-.

Meanwhile, the company's shareholders reappointed Mr. Bhagwan Dass
Narang and Mr. Ashok Kurien as non-executive independent directors
of the company liable to retire by rotation.

The shareholders also reappointed M/s. MGB & Co Chartered
Accountants as statutory auditors of the company.

In addition, Mr. Eric Louis Zinterhofer was appointed as non-
executive independent director of liable to retire by rotation.

                   About Dish TV India Limited

Dish TV India Limited -- http://www.dishtvindia.in/-- is
engaged in the distribution of multiple television channels and
allied video/audio services to subscribers on a monthly
subscription basis.

                         *     *     *

Dish TV's net loss for the year ended March 31, 2008 almost
doubled to Rs. 4,141.28 million from Rs. 2,528.28 million in the
year ended March 31, 2007.


ENTERTAINMENT NETWORK: Replaces Dirs. Satwalekar and Kumar
----------------------------------------------------------
Entertainment Network India Ltd's members have appointed directors
in place of Mr. Deepak M. Satwalekar and Mr. N. Kumar.  Both
retired by rotation and are eligible for reappointment.  Names of
the replacement directors were not disclosed.

Both Messrs. Mr. Satwalekar and Mr. Kumar hold 5,580 equity shares
of Rs. 10/- each in the company.

Headquartered in Mumbai, India, Entertainment Network (India)
Limited (ENIL) -- http://www.enil.co.in/-- is engaged in
frequency modulation (FM) radio broad casting business.  It
operates FM radio broadcasting stations through the brand, Radio
Mirchi.  The Company operates in three business segments: radio
broadcasting, outdoors and events.  It has licenses to operate in
25 radio stations under the FM radio broadcasting phase II through
private agencies.  The Company, through its wholly owned
subsidiary, is also engaged in the business of event management
and out-of-media through the brands 360o Experimental Marketing
and Times Out-of-home Media, respectively.  Times Innovative Media
Limited is a wholly owned subsidiary of the Company.

                          *     *     *

For the year ended March 31, 2008, Entertainment Network incurred
a net loss of Rs. 176.31 million.  For the quarter ended June 30,
2008, the company incurred a net loss of Rs. 91.74 million.


FICON LEASE: Members Appoint Directors and Auditor
--------------------------------------------------
Ficon Lease & Finance Ltd's members, during the company's annual
general meeting held August 27, 2008, reappointed directors in
place of Mr. Naman Vyas and Mr. Riken Patel who retire by rotation
and are eligible for reappointment.

The members also appointed M/s. P Doshi & Associates Chartered
Accountants as auditor of the company.

Mr. Narsinhbhai Ganpatbhai Patel, Mr. Varun Naginbhai Patel, Mr.
Naginbhai Ganpatbhai Patel and Mr. Dakshesh Shah were appointed as
additional directors pursuant to Section 260 of the Companies Act,
1956.

In addition, the members approved the change of the company's name
from "Ficon Lease & Finance Ltd" to "Gallops Enterprise Ltd"
pursuant to Section 21 of the Companies Act, 1956.

Ficon Lease & Finance reported net losses for the past four years.

      Year Ended       Net Loss
      ----------       --------
      31-Mar-08      Rs. 0.24 million
      31-Mar-07      Rs. 0.53 million
      31-Mar-06      Rs. 0.41 million
      31-Mar-05        Rs. 0.61 million


LAKSHMI GANESHA: CRISIL Rates Rs. 140 Mil. Facilities at 'BB-'
--------------------------------------------------------------
CRISIL has assigned its bank loan rating of 'BB-/Stable' to the
various bank facilities of Lakshmi Ganesha Textiles Ltd (LGT).

Rs.57.5 Million Long Term Loan  BB-/Stable(Assigned)
Rs.80 Million Cash Credit Limits  BB-/Stable(Assigned)

The rating reflects the company's weak financial profile, small
scale of operations, and vulnerability of operating margins to
volatility in prices of cotton.  These weaknesses are partially
mitigated by the company's diversified product range and
longstanding relationships with customers and suppliers.

Outlook: Stable

CRISIL believes that the credit risk profile of LGT will remain
constrained over the medium term because of the small size of the
company's operations and low net worth.  The outlook may be
revised to 'Positive' if the company's financial profile improves
substantially, with considerable improvement in the gearing levels
and operating margins.  Conversely, it may be revised to
'Negative' in case of higher-than-expected debt-funded capital
expenditure and/or any dispute among the promoter-family groups,
impacting the operations.

                       About the Company

LGT is a closely-held public company set up in 1989 by Mr. V
Radhakrishnan. It manufactures and sells cotton yarn and has an
installed capacity of around 25,000 spindles in Alathur village
near Coimbatore.  The company is managed by Mr. Vikram Naidu, son
of Mr. Radhakrishnan.  LGT has a diversified product profile
comprising warp yarn, hank yarn, and hosiery yarn with varied
counts.  The company procures raw cotton from Gujarat, Andhra
Pradesh, Karnataka, and Madhya Pradesh.

For the year ended March 31, 2007, LGT posted a profit after tax
of Rs.3 million on net sales of Rs.354 million.


MIDAS PHARMASEC: Cuts Share Capital to Rs 1,68,00,000/-
-------------------------------------------------------
Midas Pharmasec Ltd has received an order from the High Court of
Bombay for reduction of the company's share capital.

The share capital reduction was approved by the company's members
on March 27, 2008.

Pursuant to the order, the company's paid up capital is to be
reduced from Rs 3,36,00,000/- to Rs 1,68,00,000/-.

Midas Pharmasec Ltd reported net losses for the past four years.

         Year Ended      Net Loss
         ----------      --------
         31-Mar-08  Rs. 2.69 million
         31-Mar-07  Rs. 8.72 million
         31-Mar-06  Rs. 0.29 million
         31-Mar-05       Rs. 0.43 million


MIRAJ URBAN: Insolvency Prompts Reserve Bank to Cancel License
--------------------------------------------------------------
The Reserve Bank of India canceled the license of Miraj Urban Co-
operative Bank Limited, Miraj, Maharashtra after the close of
business on August 26, 2008, noting that the bank had ceased to be
solvent.

According to RBI, all efforts to revive the bank in close
consultation with the Government of Maharashtra had failed and the
depositors were being inconvenienced by continued uncertainty.

The RBI also requested the Registrar of Co-operative Societies,
Maharashtra to issue an order for winding up the bank and appoint
a liquidator for the bank.  It may be highlighted that on
liquidation, every depositor is entitled to repayment of
his/her deposits up to a monetary ceiling of Rs. 1,00,000/- from
the Deposit Insurance and Credit Guarantee Corporation (DICGC)
under usual terms and conditions.

The bank was granted a license by the Reserve Bank on March 19,
1986 to commence banking business.  The statutory inspection of
the bank with respect to its position as on March 31, 2006 had
indicated that its financial position was impaired.  The bank was
issued directions under Section 35 A of the Banking Regulation
Act, 1949 on October 27, 2006 restricting its operations,
including placing a ceiling on withdrawal of deposits at Rs.
1000/-.

On the basis of findings of a quick scrutiny of the books of
accounts of the bank conducted in March 2007, Reserve Bank issued
a requisition dated July 25, 2007 to the Registrar of Co-operative
Societies, Maharashtra State under section 110 A of Maharashtra
Co-operative Societies Act, 1960 and the Board of Directors of the
bank was superseded by RCS.

The bank was served a notice on August 2, 2007, calling on it to
show cause as to why the license granted to it under Section 22 of
the Act on March 19, 1986 to carry on banking business, should not
be canceled and why steps should not be taken to wind up the bank.
The bank sought some time to improve its position and to explore
the possibility of merger with any other strong Urban Co-operative
Bank.

The inspection of the bank with reference to its financial
position as on March 31, 2008 revealed further deterioration in
its financial position.  With deposit erosion at 49.8% and the
absence of any concrete proposal for merger, the possibility of
revival of the bank was remote.  Therefore, the Reserve Bank of
India took the extreme measure of canceling license of the bank in
the interest of the bank's depositors.  With the cancellation of
its license and commencement of liquidation proceedings, the
process of paying the depositors of Miraj Urban Co-operative Bank
Limited, Miraj, Maharashtra, will be set in motion subject to the
terms and conditions of the Deposit Insurance Scheme.

Consequent to the cancellation of its license, Miraj Urban Co-
operative Bank Limited, Miraj, Maharashtra, is prohibited from
carrying on 'banking business' as defined in Section 5(b) of the
Banking Regulation Act, 1949 (As applicable to Co-operative
Societies) including acceptance and repayment of deposits.

For clarifications, depositors may approach:

          Shri P.K.Arora
          Deputy General Manager
          Urban Banks Department
          Reserve Bank of India
          Mumbai
          Postal Address: Urban Banks Department
          Reserve Bank of India
          Mumbai Regional Office
          Second Floor, Garment House,
          Mumbai 400 018
          Telephone No: (022) 2493 9930-49
          Direct No.: (022) 2493 5348
          Fax Number: (022) 2493 5495


MOSCHIP SEMICONDUCTOR: Reappoints Prasad and Rao as Directors
-------------------------------------------------------------
At Moschip Semiconductor Technology Ltd's 9th Annual General
Meeting held August 29, 2008, the company reappointed Mr. G.
Prasad and Dr. Rammohan Rao as directors
liable to retire by rotation.

In addition, the company approved a stock option plan for its
employees and directors.  Details of the plan were not disclosed.

Headquartered in Hyderabad, India, Moschip Semiconductor
Technology Limited -- http://www.moschip.com/-- (MosChip India)
is a fabless semiconductor company. The Company specializes in
development, marketing and sale of application specific integrated
circuits and system on a chip for personal computer peripheral,
data communication and consumer electronic segments.

                         *     *     *

MosChip India reported two consecutive annual net losses.  For the
year ended March 31, 2008, the company incurred a net loss of Rs.
106.45 million compared to Rs. 31.92 million in the year ended
March 31, 2007.


NETWORK LTD: To Expand Operations in India and Overseas
-------------------------------------------------------
Network Ltd's Board of Directors has decided to expand the
operations of the company by incorporating a subsidiary
company(ies) in India and/or overseas.  The matter is still
subject to shareholder approval.

In July, the Board approved a draft scheme of arrangement for:

   (a) amalgamation of PPS Towers Pvt Ltd, Lorgan
       Consultants Pvt Ltd and Shrigan Investment
       Consultants Pvt Ltd with Network Ltd;

   (b) de-merger of retail business of Network Ltd
       into Network Retail Ltd, pursuant to which,
       Network Retail Ltd will issue and allot
       54,40,900 equity shares with a face value
       of Rs 10/- each to the company; and

   (c) the debit balance of profit and loss account
       of Network Ltd as on March 31, 2008 to the
       extent of Rs 44,08,22,014 will be adjusted
       and written off against the aggregate amount
       of securities premium account of the company
       after amalgamation (inclusive of the transferor
       companies).  The proposed reduction will not
       have any effect on the share capital of the
       company.

The Board also took note of the valuation report of M/s. Khandelia
& Sharma, Chartered Accountants, New Delhi, and approved the swap
ratio for the amalgamation:

   a) 2 equity shares of Rs 10 each of Network Ltd
      for every 1 equity share of Rs 10 each held
      in the PPS Towers Pvt Ltd.

   b) 1 equity share of Rs 10 each of Network Ltd
      for every 17 equity shares of Rs 10 each held
      in Lorgan Consultants Pvt Ltd.

   c) 1 equity share of Rs 10 each of Network Ltd
      for every 18 equity shares of Rs 10 each held
      in Shrigan Investment Consultants Pvt Ltd.

Network Limited engages in the retail business in Delhi, India.
The company offers lifestyle products, such as watches, writing
instruments, accessories, baggage, and garments; the swiss army
knife; and kids wear and toys.  As of March 31, 2007, it operated
five showrooms.  The company was incorporated in 1989 and is based
in New Delhi, India.  Network Limited is a part of Appu Ghar
Group.

                         *     *     *

Network Limited has been reporting net losses for the past four
fiscal years.

         Year Ended           Net Loss
         ----------           --------
          31-Mar-08       Rs. 19.44 million
          31-Mar-07       Rs. 2.44 million
          31-Mar-06       Rs. 2.04 million
          31-Mar-05           Rs. 1.60 million


S KUMARS.COM: Board to Meet Today on Raising Long Term Resources
----------------------------------------------------------------
S Kumars.Com Ltd has not declared any dividend for the year
2007-08.

The company's Board of Directors will hold a meeting today,
Sept. 2, 2008, to consider raising long term resources including
issue of fresh share capital and warrants.

S Kumars.Com Ltd reported four consecutive annual net losses.

      Year Ended       Net Loss
      ----------       --------
      31-Mar-08      Rs. 16.10 million
      31-Mar-07      Rs. 95.78 million
      31-Mar-06      Rs. 19.08 million
      31-Mar-05        Rs. 2.67 million


SPECTRUM POWER: Fitch Assigns National Issuer Rating at BB-
-----------------------------------------------------------
Fitch Ratings assigned a National Issuer rating of 'BB+(ind)' to
India-based Spectrum Power Generation Ltd.  The Outlook is Stable.
At the same time, Fitch has also assigned a rating of 'BB-(ind)'
to SPGL's preference shares aggregating INR1,766m, to be payable
in 2022.

SPGL's ratings primarily reflect its improved operations after a
period of restructuring starting from December 2006.  The company
defaulted on its debt obligations in 2001 when it faced
significant capital cost overruns on its first 208 mega watt power
plant and was unable to pass through the majority of these cost
increases to its primary customer, Andhra Pradesh Transmission
Corporation, amid an environment of increased tariffs, high
interest costs and a lack of support from the initial sponsors.
However, five years later in 2006, the company's debt was fully
restructured, entailing extensions of maturity, lower interest
costs, in addition to a change in ownership and management. As
such, SPGL's Plant Load Factor improved from 70% in FY06 to over
83% in FY08, and is expected to be maintained around 85% in the
coming years.

Additionally, the ratings take into account the well-structured
nature of SPGL's power purchase agreement, which ensures payment
for a minimum level of 68.5% deemed power generation, as well as
the pass-through nature of its fuel costs.  The ratings also
consider the long-term fuel purchase agreements with these
entities; SPGL's plant currently uses both natural gas (from Gas
Authority of India Ltd and naphtha (from Hindustan Petroleum
Corporation Ltd).  The company has INR3.6 billion of disputed
receivables with APTRANSCO on its books, although the matter is
still in the Andhra Pradesh civil courts.  However, current
operating payments are being received within 30-45 days without
any fixed charge deductions.

The key constraint for the rating is on account of the substantial
capex plans SPGL is planning to undertake by establishing a new
1050MW gas-fired power plant at a cost of INR39.6 billion over
FY08-FY12.  The plant is expected to be funded by debt/equity in
the ratio of 70:30, details of which Fitch will monitor once they
are finalised. Other concerns emanate from SPGL's high power
generation costs (compared to coal-based power plants), the
receivable risks given the track record of its key customer, and
the gas shortage prevailing in the market.

Fitch has notched down the rating of SPGL's preference shares by
two notches, reflecting the high degree of subordination and the
low recovery prospects for the preference share holders. Any
significant time/cost overruns in project implementation affecting
credit metrics could act as a negative rating factor, as could
additional new capex plans.  Furthermore, any material impact on
the company's cash flows due to payment delays from APTRANSCO
and/or issues due to gas availability could impact the ratings
negatively. On the other hand, a sustained improvement in SPGL's
operating and credit metrics over the medium term, along with a
reduction in capex could be positive rating triggers.

SPGL's operating performance has been fluctuating in the past five
years, with EBITDA margins fluctuating between 33% and 55% due to
a wide variation in fuel costs and PLF.  Nevertheless, the
company's liquidity post-restructuring has shown improvements with
liquid balances of INR230 million and strong positive free cash
flows over FY03-FY07.  Its liquidity position has benefited from
regular payments from APTRANSCO, thus keeping receivable levels
under control.  Post restructuring, interest cover has improved to
1.2x in FY07 (0.8x in FY06), while financial leverage
(Debt/EBITDA) has remained stable (7.2x in FY07).  Fitch, however,
expects leverage levels to deteriorate over the medium term,
although this depends on the implementation of the proposed capex
program.


TATA MOTORS: Protest Continues to Paralyze Work at Nano Site
------------------------------------------------------------
Tata Motors Ltd failed to resume work yesterday, Sept. 1, at its
West Bengal factory, the site of the company's small car project,
the Nano.

Opposition party Trinamool Congress, against acquisition of land
from “unwilling farmers”, started an indefinite protest Aug. 24
and reportedly threatened workers.  On Aug. 28, attendance of
contractual workers at the site fell below the prior day's level
of around 15 per cent.  Reports say that on a normal day, around
3,500-4,000 workers are engaged at work in the mother plant and at
the vendor park.

Information gathered by Hindu Business Line from Singur said
supporters of the Trinamool Congress – and those opposed to the
project – were intimidating workers engaged in the mother plant
and in the vendor park while some were being physically prevented
from entering their designated work areas.

Sources say Trinamool Congress has put up a blockade on National
Highway No. 2 adjacent to the plant site and threatened to stay on
unless 400 acres of land are returned to farmers.

"I will not relent till the demand is met by the government by
announcing in principle that the 400 acres will be returned to
farmers.  Only then will the Tata Motors plant be allowed to come
up.  Otherwise our movement will be intensified," party chief
Mamata Banerjee was cited by The Economic Times as saying.

Asked by Hindu Business Line if the disruption in work would force
Tata Motors to push back the deadline fixed for the rollout of the
Nano, an official spokesperson of Tata Motors said from Mumbai:
“We have not issued any official statement to this effect”.

Tata Motors' Nano, dubbed the world's smallest car, was planned to
be rolled out
in October.

Meanwhile, The Economic Times reports that Trinamool Congress
leader Mamata Banerjee on Sunday said if the government accepted
in principle that it made a mistake by acquiring land from
unwilling farmers, her party might consider ways to work out a
solution.

“As per the governor’s request, we are ready for talks.  But the
state government has to first acknowledge that farmlands were
acquired forcibly from unwilling peasants.  The details and
technicalities can be worked out later through discussion,” Ms.
Banerjee was cited by The Times as saying.

The Times relates that Ms. Banerjee avoided reiterating her
principal demand — the return of 400 acres of Singur farmlands and
instead suggested 40% of the acquired land be returned.

Ironically, The Times notes, 40% and 400 acres amount to the same
thing since the Tatas have been allotted close to 1,000 acres for
the Nano complex.

                       About Tata Motors

India's largest automobile company, Tata Motors Limited --
http://www.tatamotors.com/-- is mainly engaged in the business
of automobile products consisting of all types of commercial and
passenger vehicles, including financing of the vehicles sold by
the company.  The company's operating segments consists of
Automotive and Others.  In addition to its automotive products,
it offers construction equipment, engineering solutions and
software operations.  TML is listed on the Bombay Stock
Exchange, the National Stock Exchange of India and New York
Stock Exchange.  It was ultimately 33.4% owned by the Tata Group
as of December 2007.

Tata Motors has operations in Russia and the United Kingdom.

                          *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
July 9, 2008, Standard & Poor's Ratings Services kept its 'BB'
corporate credit rating on India's Tata Motors Ltd. on
CreditWatch with negative implications, pending finalization of
the long-term financing plans for funding the company's purchase
of Jaguar and Land Rover from Ford Motor Co. (B/Watch Neg/--).
At the same time, Standard & Poor's ratings on all Tata Motors'
rated debt remain on CreditWatch with negative implications.

The rating on Tata Motors was lowered on April 4, 2008, to 'BB',
from 'BB+', after the announcement of the agreement with Ford
Motor Co. for the purchase of Jaguar and Land Rover.  Tata
Motors has paid about US$2.3 billion in cash for Jaguar and Land
Rover (comprising brands, plants, and intellectual property
rights).  Ford has contributed US$600 million to the Jaguar-Land
Rover (JLR) pension plans.

As reported in the Troubled Company Reporter-Asia Pacific on
June 4, 2008, Moody's Investors Service downgraded the
corporate family rating of Tata Motors Ltd to Ba2 from Ba1
following the completion of its acquisition of Ford's Jaguar
Land Rover.  The rating outlook is negative.


VARDHAM POLYTEX: Acquires Assets of Insolvent F M Hammerle
----------------------------------------------------------
F M Hammerle Textilewerke Gmbll & Co KG, a shirting fabric
manufacturing company in  Austria (Europe), has filed petition for
insolvency.

Vardhman Polytex Ltd, through an agreement with F M Hammerle's
administrator in Austria, has taken over F M Hammerle's assets,
trademarks, trade names and brand names.

The transaction was represented by Vardhman Polytex's subsidiary
in Austria.

Headquartered in Ludhiana, India, Vardhman Polytex Ltd. is engaged
in the manufacturing and marketing of yarn and yarn products.  The
Company has an installed capacity of 11520 spindles.



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

PT EXCELCOMINDO: Fitch Affirms BB- Issuer Default Ratings
---------------------------------------------------------
Fitch Ratings affirmed PT Excelcomindo Pratama Tbk's Long-term
foreign currency and local currency Issuer Default Ratings at
'BB-'.  The Outlook on the ratings is Stable.  At the same time,
Fitch has affirmed the rating on XL's outstanding senior unsecured
notes programme at 'BB-'.

XL's ratings reflect its entrenched position in the Indonesian
cellular sector, high operating profitability and robust growth
prospects.  Fitch also notes XL's strategic importance to parent
Telekom Malaysia International Bhd as its largest overseas
investment contributing around 35% of group revenue in H108,
although the agency has not factored in any rating support in this
regard.  The ratings are constrained by persistent regulatory
uncertainty, negative FCF generation due to high capital
expenditure levels, well as the risks inherent in Indonesia -
including political, social, economic and currency instability and
the lack of an effective legal framework.

During FY07, XL became fairly aggressive on pricing, cutting rates
several times on its main prepaid product 'Bebas'.  The company's
new tariffs went unmatched by competition through most of 2007
and, consequently, it was able to gain significant market share
during this period.  Total subscribers increased 62% to 15.5
million by FYE07 - representing a GSM market share of around 17%,
up from 15% in the prior period.  Strong growth has sustained
through H108, with total subscribers rising 124% yoy to 22.9
million by June 2008.  That said, Fitch notes that the environment
has turned more challenging in the current year, with larger GSM
competitors retaliating aggressively on pricing.

"Medium-term growth prospects for Indonesia's wireless industry
remain robust, with estimated penetration still low at 35% at
Q108, when adjusted for multiple-counting of SIMs," said Priya
Gupta, Director in the agency's Asia-Pacific telecommunications,
media and technology team.  "However industry risks are on the
rise, in view of increased fragmentation, intense tariff
competition and tower-sharing initiatives that effectively benefit
new entrants," added Ms. Gupta.

In H108, XL exercised a tax-call on its 2009 USD350m bonds and
executed a partial tender offer on its 2013 USD250m bonds, with
refinancing from USD and Rupiah denominated long-term bank
facilities.  The company's relative exposure to forex risk has
reduced substantially, with only around 35% of total debt
denominated in foreign currency by June 2008 (77% hedged),
compared to 80% at FYE07.  XL held total adjusted debt of
IDR12.1 trillion at end-June 2008, implying net adjusted leverage
of 2.3x for the period.  The ratings factor fairly stable credit
metrics in FY08 (over FY07 levels), with further debt issuance of
around IDR2.5 trillion in H208 expected to be offset by strong
growth in EBITDAR.  Leverage should remain stable even if XL is
able to monetise its tower assets as planned (and thereby reduce
debt requirements), on account of resultant higher lease
capitalisation.  Fitch will monitor developments on XL's proposed
sale and leaseback of around 7000 towers and comment on credit
implications, if any, once the transaction is completed.

XL's liquidity profile remains under pressure from heavy capex
targets and consequently significantly negative FCF; at end-June
2008, it held cash reserves of IDR0.4trillion and unutilized
committed lines of IDR1.3trillion, against debt of IDR0.9 trillion
maturing in H208/2009 and anticipated cash capex of around
IDR4.6 trillion in H208.  However, concerns on liquidity are
somewhat mitigated by the company's proven access to banks and
capital markets.

The Stable Outlook is based on Fitch's expectation that XL will
continue to solidify its market position, and that its credit
metrics will remain comfortable for its ratings through FY08.
However, the agency notes that downward pressure on the ratings
could arise if debt-funded capex is more aggressive than
anticipated, or in the event of a material deterioration in the
operating environment (e.g. irrational price competition or
unfavourable regulatory developments) that leads to a weakening of
the company's credit profile.  In this regard, Fitch does not
expect XL's total adjusted leverage (defined as total adjusted
debt divided by Operating EBITDAR) to exceed 4.5x.



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

ABSPOKE 2005-X: Fitch Junks Rating on JPY2BB Floating-Rate Notes
----------------------------------------------------------------
Fitch Ratings downgraded and removed from Rating Watch Negative
one class of notes issued by ABSpoke 2005-X, Ltd.  These rating
action is effective immediately:

  -- JPY2,000,000,000 variable floating-rate notes to 'CC' from
     'BBB-'.

Fitch's rating action reflects the significant collateral
deterioration within the reference portfolio, specifically
subprime residential mortgage-backed securities (RMBS) and
Alternative-A RMBS.

ABSpoke 2005-X is a partially funded static synthetic structured
finance collateralized debt obligation that closed on Dec. 7,
2005, and is managed by Morgan Stanley Capital Services.
Presently 14.2% of the reference portfolio is comprised of 2005
vintage U.S. subprime RMBS and 6.5% is comprised of 2005 vintage
U.S. Alt-A RMBS.

Since November 2007, approximately 55.2% of the reference
portfolio has been downgraded with 2.6% of the reference portfolio
currently on Rating Watch Negative.  Additionally, 61.7% of the
reference portfolio is now rated below investment grade, with
25.2% rated 'CCC+' and below.  The negative credit migration
experienced since the last review in November 2007 has resulted in
the Weighted Average Rating Factor deteriorating to 'B+/B' from
'BB+/BB'.

Given the significant deterioration in the portfolio, the 7.7%
credit enhancement available to the rated note is insufficient to
maintain its current rating.  There have been two credit events
officially declared as of the June 17, 2008, trustee report.  Both
of the credit events are Writedown Fixed Loss Credit Events.  The
First Loss Amount of the capital structure is reduced by the
amount of the losses, and thus the credit enhancement for the
rated note decreases.  The rated note continues to receive
interest as the premium payments from the swap counterparty, MSCS
(rated 'AA-/F1+' with a Negative Outlook by Fitch), are received
by the transaction.


DELPHI CORP: ADAH Wants to Re-Argue Court's Decree on Fraud Suit
----------------------------------------------------------------
A-D Acquisition Holdings, LLC, and Appaloosa Management L.P. seek
the Bankruptcy Court's approval to re-argue the August 11 decision
of the U.S. Bankruptcy Court for the Southern District of New York
on their request for dismissal of the US$2,550,000,000 adversary
complaints filed against them by Delphi Corporation, saying that
they both deserve more than a dismissal of the fraud complaint
against them.

ADAH and AMLP also ask the Court to strike certain allegations in
Delphi's complaint pursuant to Rule 12(f) of the Federal Rules of
Civil Procedure, which allows a court to strike any redundant,
immaterial, impertinent, or scandalous matter.

Judge Drain's August 11 order only dismissed Delphi's fraud
complaint against ADAH and AMLP, but not Delphi's claim for
(i) specific performance, (ii) piercing the corporate veil and
(iii) equitable subordination, a ruling for which were issued in
favor of the other defendants involved in the same adversary
complaint filed by Delphi.

J. Christopher Shore, Esq., at White & Case LLP, in New York,
informs the Court that Appaloosa's request to re-argue stems from
the premise that Appaloosa is also entitled to the same rulings
issued in favor of the other defendants regarding Delphi's
claims.  Mr. Shore adds that re-argument is appropriate where the
Court has "overlooked controlling decisions or factual matters
that might materially have influenced its earlier decision".

Mr. Shore asserts certain statements by Delphi should be stricken
because they fail to satisfy Civil Rule 9(b), which provides that
a party must state with particularity, the circumstances
constituting fraud or mistake.  Mr. Shore stresses Delphi's
allegations are highly inflammatory, particularly as to a
financial institution dependent on its reputation to attract
investors.

Appaloosa wants these paragraphs stricken:

   1. Paragraphs 71 to 83, which detailed on "Appaloosa's
      Clandestine Efforts to Avoid its Obligations".  Delphi
      said it "was deceived as a result of its trust" in
      Appaloosa and David Tepper, the firm's principal.  Despite
      assurances by Mr. Tepper that Appaloosa would honor its
      funding commitment and efforts by the Delphi to fulfill
      its own obligations under the EPCA, "Appaloosa and its
      allies were secretly working behind the scenes to
      undermine all of the efforts to achieve Plan consummation
      that the Debtors and their employees and other
      stakeholders were trying so hard to complete in good
      faith."

   2. Paragraph 129, which said that by virtue of its role as
      Plan sponsor and its relationship of trust with Delphi,
      Appaloosa had a duty not to omit to disclose to Delphi, in
      the period from on or about Dec. 1, 2007 to April 4, 2008,
      that Appaloosa, in concert with other Plan investors, had
      decided to seek to avoid their commitments rather than
      fulfill such commitments that were necessary for the
      consummation of the Plan.

  3.  Paragraph 130, which stated that during the critical
      period from Dec. 1, 2007 to April 4, 2008, Appaloosa
      deliberately, intentionally and knowingly concealed from
      Delphi that they had decided to pursue a plan of avoiding
      rather than fulfilling their investment obligations and
      commitments with respect to Delphi's equity financing
      necessary for consummation of the Plan.

   4. Paragraph 132, which said that if Delphi had known the
      truth about Appaloosa's plans and actions to avoid its
      commitment, Delphi would have, among other things, pursued
      legal relief and alternative business plans well before
      April 4, 2008, and would not have pushed for confirmation
      of the Plan in January 2008.

                        About Delphi Corp.

Based in Troy, Michigan, Delphi Corporation (PINKSHEETS: DPHIQ)
-- http://www.delphi.com/-- is the single supplier of vehicle
electronics, transportation components, integrated systems and
modules, and other electronic technology.  The company's
technology and products are present in more than 75 million
vehicles on the road worldwide.  Delphi has regional
headquarters in Japan, Brazil and France.

The company filed for Chapter 11 protection on Oct. 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represent the Official Committee of Unsecured Creditors.  As of
June 30, 2008, the Debtors' balance sheet showed US$9,162,000,000
in total assets and US$23,742,000,000 in total debts.

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the
solicitation of votes on the First Amended Plan on Dec. 20,
2007.  The Court confirmed the Debtors' First Amended Plan on
Jan. 25, 2008.  The Plan has not been consummated after a group
led by Appaloosa Management, L.P., backed out from their
proposal to provide US$2,550,000,000 in equity financing to
Delphi.

(Delphi Bankruptcy News, Issue No. 142; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000)


DELPHI CORP: Creditors Want Court to Deny US$300MM Loan from GM
---------------------------------------------------------------
CR Intrinsic Investors, LLC and Highland Capital Management,
L.P., ask the U.S. Bankruptcy Court for the Southern District of
New York to deny Delphi Corp.'s request to incur a US$300,000,000
administrative priority debt to General Motors Corp. in order to
cover losses generated after its reorganization plan failed.

CR and Highland hold US$495,000,000 in principal amount of senior
notes issues by Delphi.

Pursuant to Section 1104(c) of the Bankruptcy Code, CR and
Highland ask the Court to order the appointment of an examiner to
ensure that the interests of all creditor bodies are adequately
protected and see to it that the subsidiaries that own the
profitable global operations are not raided to prop up the
corporations that own the "money-losing and cash-guzzling" North
American operations.

Isaac M. Pachulski, Esq., at Stutman, Treister & Glatt P.C., in
Los Angeles, California, says Delphi's proposal to amend its deal
with GM to increase the loan to US$950,000,000 does not fix
anything -- it is merely a band-aid.  "It is a truism that
borrowing to fund losses is a loser's bet", Mr. Pachulski says,
adding further that the borrowing proposed by GM cannot and will
not benefit the Debtors' estates.

Mr. Pachulski informs the Court that the Debtors' willingness to
operate a money-losing business for the benefit of GM is beyond
comprehension.  He said that the Debtors should stop layering on
increasing amounts of debts to pay for the losses, and explore
other avenues to restructure their North American operations
instead.

                        About Delphi Corp.

Based in Troy, Michigan, Delphi Corporation (PINKSHEETS: DPHIQ)
-- http://www.delphi.com/-- is the single supplier of vehicle
electronics, transportation components, integrated systems and
modules, and other electronic technology.  The company's
technology and products are present in more than 75 million
vehicles on the road worldwide.  Delphi has regional
headquarters in Japan, Brazil and France.

The company filed for Chapter 11 protection on Oct. 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represent the Official Committee of Unsecured Creditors.  As of
June 30, 2008, the Debtors' balance sheet showed US$9,162,000,000
in total assets and US$23,742,000,000 in total debts.

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the
solicitation of votes on the First Amended Plan on Dec. 20,
2007.  The Court confirmed the Debtors' First Amended Plan on
Jan. 25, 2008.  The Plan has not been consummated after a group
led by Appaloosa Management, L.P., backed out from their
proposal to provide US$2,550,000,000 in equity financing to
Delphi.

(Delphi Bankruptcy News, Issue No. 142; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000)


DELPHI CORP: PBGC Wants GM to Assume Delphi's Pension Liabilities
-----------------------------------------------------------------
The Pension Benefit Guaranty Corp. has asked General Motors Corp.
to assume pension liabilities from Delphi Corp. by Sept. 30 or
risk bearing additional costs from Delphi, Bloomberg News
reports.

PBGC Director Charles Millard told GM that it "has grown
increasingly concerned that there has been no indication that a
resolution of the proposed transfer is imminent."

Delphi had about US$3,300,000,000 in unfunded pension liabilities
at the end of 2007, spokesman Lindsey Williams said, according to
Bloomberg.  GM has already agreed to assume US$1,500,000,000 in
hourly worker pension benefits, and Delphi said it is negotiating
with GM about an additional transfer that may aid Delphi's exit
from bankruptcy.

Mr. Millard warned that if the transfer isn't completed in time
and the pension plans fail, it will become more difficult for
Delphi to complete its reorganization because the PBGC would move
ahead of other creditors with a claim of as much as
US$8,000,000,000.

Delphi previously obtained waivers from the U.S. Internal Revenue
Service and the PBGC to defer funding contributions to its
pension plans -- the Delphi Hourly-Rate Employees Pension Plan
and the Delphi Retirement Program for Salaried Employees -- until
its emergence from Chapter 11.  But the waivers expired May 9,
2008, following delays in its bankruptcy exit due to, among other
things, difficulties in obtaining exit financing.

The waivers were required to facilitate the Debtors' option to
effectuate the transfer of certain hourly pension obligations to
General Motors in an economically efficient manner.

In its latest 10-Q filed before the Securities and Exchange
Commission, Delphi said it believes the Employee Retirement
Income Security Act and the U.S. Internal Revenue Code will
still, under most circumstances, post-June 15, 2008, permit it to
be able to effect the planned transfer of the maximum amount of
its hourly pension obligations to GM in an economically efficient
manner prior to September 30, 2008.  However, by permitting the
waivers to lapse, Delphi admitted it is potentially exposed to
excise taxes as a result of accumulated funding deficiencies for
the its pension plans:

                            Accumulated      Potential IRS
    Period                   Deficiency         Excise Tax
    ------                   ----------         ----------
    Ended 9/30/05          US$173,000,000       US$17,000,000
    Ended 9/30/06        US$1,220,000,000      US$122,000,000
    Ended 9/30/07        US$2,440,000,000      US$244,000,000

Delphi said that assuming it is assessed an excise tax for all
plan years through 2007, the total range of exposure would
approximate between US$380,000,000 and US$3,800,000,000.

Delphi expects the pension that the Hourly and Salaried Plans
will have accumulated funding deficiencies for the plan year
ending Sept. 30, 2008, should it not emerge from chapter 11.

"Any transfer of hourly pension obligations to a GM pension plan
will mitigate such deficiency for the Delphi Hourly Plan," Delphi
said.

                        About Delphi Corp.

Based in Troy, Michigan, Delphi Corporation (PINKSHEETS: DPHIQ)
-- http://www.delphi.com/-- is the single supplier of vehicle
electronics, transportation components, integrated systems and
modules, and other electronic technology.  The company's
technology and products are present in more than 75 million
vehicles on the road worldwide.  Delphi has regional
headquarters in Japan, Brazil and France.

The company filed for Chapter 11 protection on Oct. 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represent the Official Committee of Unsecured Creditors.  As of
June 30, 2008, the Debtors' balance sheet showed US$9,162,000,000
in total assets and US$23,742,000,000 in total debts.

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the
solicitation of votes on the First Amended Plan on Dec. 20,
2007.  The Court confirmed the Debtors' First Amended Plan on
Jan. 25, 2008.  The Plan has not been consummated after a group
led by Appaloosa Management, L.P., backed out from their
proposal to provide US$2,550,000,000 in equity financing to
Delphi.

(Delphi Bankruptcy News, Issue No. 142; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000)


FUJI ELECTRIC: Mulls Joint Venture With Schneider Electric
----------------------------------------------------------
Fuji Electric Holdings Co. plans to set up an electrical
distribution and control equipment joint venture with France's
Schneider Electric SA on October 1, AsiaPulse reports.

The two companies, the report relates, will establish Fuji
Electric FA Components & Systems Co. as a successor to Schneider's
Japanese subsidiary.

According to the report, the new company will control three of
Fuji Electric's production sites in Japan and China plus an
existing Chinese joint venture between Fuji Electric and
Schneider.  It will also oversee sales companies Fuji Electric
already has in Singapore, Taiwan, South Korea and Hong Kong, the
report notes.

AsiaPulse says that the company will look to expand sales to
Japanese companies moving into Asia, with JPY100 billion (US$913.9
million) in sales targeted for fiscal 2012.

Based in Kawasaki, Japan, Fuji Electric Holdings Co., Ltd. --
http://www.fujielectric.co.jp/-- is a holding company.  Through
its subsidiaries and associated companies, the company has
operations in four main business divisions.  The Electric
Systems division offers e-solutions, environmental systems,
industrial and transportation systems, power plant products, as
well as the installation of electrical facilities and air
conditioners, among others.  The Machinery and Controls division
offers manual motor starters, molded case circuit breakers, energy
conservation equipment and servo systems, among others.  The
Electronic Devices division offers semiconductors, disc mediums
and imaging devices.  The Retail Systems division offers vending
machines, currency equipment and cold chain equipment.  Other
businesses include the real estate, insurance and tourism
businesses, as well as the provision of finance services,
among others.  The company has operations in the United States and
Germany.

                         *     *     *

The company continues to carry Standard and Poors' BB+ long-term
local and foreign issuer credit ratings.


ORSO FUNDING: S&P Puts Class E-Deferral's BB Rating on WatchNeg
---------------------------------------------------------------
Standard & Poor's Ratings Services has placed its ratings on ORSO
ABS Funding Trust1-SFFC's class A to class E-Deferral beneficiary
interests on CreditWatch with negative implications.  At the same
time, Standard & Poor's affirmed its 'AAA' rating on the class X–
IO beneficial interests.  The CreditWatch placements of the class
A to class E-Deferral beneficiary interests reflect: 1) concern
about deterioration in the obligor's creditworthiness as inferred
from the performance of the underlying assets, and 2) concern
about the recovery to be achieved through the sale of the
collateral real estate, due to a potential increase in the loan-
to-value ratio of the real estate-backed loan receivables.

The class A to E-Deferral and X-IO beneficiary interests are
ultimately backed by: 1) real estate-backed loan receivables
originated by Real Estate Credit Co. Ltd. (formerly SF Real
Estate Credit Co. Ltd.), a newly established company that took
over the real estate-backed loan business of SFCG Co. Ltd.
through a company spin-off; and 2) real estate-backed loans
originated by SFCG prior to the company spin-off.

Standard & Poor's will resolve the CreditWatch listings after
determining: 1) the performance of the underlying assets, such as
the default ratios; 2) the recovery from the sale of the
collateral real estate; and 3) the level of credit enhancement
due to progress in the redemption of principal on the beneficiary
interests.

ORSO ABS Funding Trust1-SFFC:

Ratings on CreditWatch Negative:

Class Coupon Type        To         From   Initial Issue Amount
---------------------------------------------------------------
A Floating Rate      AAA/Watch Neg   AAA     JPY15.9 billion
B Floating Rate      AA/Watch Neg    AA      JPY4.6 billion
C Floating Rate      A/Watch Neg     A       JPY3.1 billion
D Floating Rate      BBB/Watch Neg   BBB     JPY2.8 billion
E-Deferral* Floating BB/Watch Neg    BB      JPY3.6 billion

Rating Affirmed:

Class    Rating   Initial Amount   Coupon Type
----------------------------------------------
X-IO**   AAA      JPY30 bil.***      Floating Rate

* Conditional deferred dividends
** Performance-linked dividends
*** Notional principal of interest-only beneficiary interests
    The issue date was Sept. 21, 2007.



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

BOE HYDIS: Two Ex-Officials Indicted Over Technology Leak to China
------------------------------------------------------------------
Two former top officials of BOE Hydis Technology Company Limited
were indicted by the High Tech Crime Unit of the Seoul Central
Prosecutors' Office on charges of breach of trust, Chosun News
reports.

Reuters relates that former BOE-Hydis CEO Choi and a former head
of research and development identified as Lim allegedly opened the
company's computer server to the joint venture it established with
a Chinese firm, exposing vastly more sensitive files than agreed
in the original technology transfer deal.

According to the report, Mr. Choi and Mr. Lim are accused of a
total of 4,331 counts of exposing technology for development of
LCD panels to the Chinese joint venture.

The court may be swayed by the fact that the leaked technology is
now reportedly outdated and no longer used in Korea, the report
says.

Headquartered in Seoul, South Korea, BOE Hydis Technology
Company, Limited -- http://www.boehydis.com/-- develops,
manufactures and distributes flat panel display products for a
wide range of applications, including laptop computers, Tablet
PC's, monitors, medical, avionic and car navigation systems.
China's BOE Technology Group Co. acquired the Company from
Korea's Hynix Semiconductor Inc. in 2003.  BOE Hydis is one of
the 10 LCD manufacturers in the world and has over 1,000
employees in China, Germany, Japan, Korea, Singapore, Taiwan,
and the United States.

As reported by the Troubled Company Reporter-Asia Pacific, BOE
Hydis applied for corporate rehabilitation on September 8, 2006,
with the Seoul Central District Court.


HYNIX: Korea Urges Japan to Lift Tariffs on Computer Memory Chips
-----------------------------------------------------------------
South Korea urged Japan to scrap punitive tariffs on computer
memory chips made by Hynix Semiconductor Inc, saying it was
considering taking retaliatory measures, Kwang-Tae Kim of Shanghai
Daily news reports.

According to the report, Japan said on August 22 that, pending
Cabinet approval, it would reduce the 27.2-percent tariff it
imposed on Hynix DRAM chips in 2006 to 9.1 percent, after the
World Trade Organization ordered the duty be recalculated.
Japan's Cabinet approved the reduction last week.  Hynix said the
Japanese decision called for the lower tariff to remain in place
until the end of 2010.

The report relates that Kim Wan-joong, director of the East Asian
Trade Division at the Ministry of Foreign Affairs and Trade, said
Tokyo's decision was "unacceptable and unfair."

"We will consider whether to take retaliatory measures" against
Japan, Mr. Kim was cited by the Daily as saying.  He added that
the South Korean government would also ask the WTO to look into
the matter again.

Hynix, the Daily adds, expressed disappointment over Tokyo's
decision and said it "will ask the South Korean government to take
immediate countermeasures.”

                         Trade Dispute

The Wall Street Journal reported that in 2003, the U.S., Japan
and Europe imposed countervailing duties on memory chips that
Hynix exports from its Korean factories because of suspicions it
used subsidies from the Korean government to grab market share
when it was undergoing financial difficulties.

According to the Journal, Hynix Semiconductor's move to close
its sole U.S. Plant comes a few weeks after it learned that
tariffs the U.S. government has imposed on it might end next
year.

As reported in the Troubled Company Reporter-Asia Pacific on
July 28, 2008, Hynix closed its Eugene, Ore., fabrication
facility.  The production of the fabrication plant will be
eventually stopped by end of September.

WSJ said Hynix expected the U.S. government to remove the
tariffs in the second half of 2009.

The tariffs, Dan Nystedt of IDG News Service related, were
specifically levied on Hynix chips made in South Korea, so the
company was able to use the Eugene plant and a contract
manufacturing agreement with Taiwan's ProMOS Technologies to
help skirt the duties.

Company officials however told WSJ that the decision to close
the factory was unrelated to the longtime trade dispute.  "This
is a pure business decision to increase our competitiveness,"
James Kim, vice president of investor relations at Hynix, was
cited by WSJ as saying.

WSJ added the closure will eliminate 1,100 jobs and would
cut the company's production capacity by 6%.

                        Government Funding

Hynix reportedly received funding from South Korean government-
backed banks when it was on the brink of bankruptcy after the
1997 Asian financial crisis and subsequent liquidity problems --
a move termed by the U.S., Japan and Europe as anti-competitive.

WSJ said that even today, government-related institutions are
the largest shareholders in Hynix.  However, a privatization
program led by the country's president is expected to reduce the
stake of those firms in the company.

Particularly, the Financial Times said, Korea Development Bank,
a government-owned bank, plans to sell its stake in Hynix to
speed up its own privatization process.

                           About Hynix

Hynix Semiconductor Inc. (HSI) of Icheon, Korea --
http://www.hynix.com/-- is a memory semiconductor supplier
offering Dynamic Random Access Memory chips ("DRAMs") and Flash
memory chips to a wide range of established international
customers.  The company's shares are traded on the Korea Stock
Exchange, and the Global Depository shares are listed on the
Luxemburg Stock Exchange.

                          *     *     *

As reported by the Troubled Company Reporter-Asia pacific on
August 6, 2008, Moody's Investors Service changed to negative from
stable the outlook for both Hynix Semiconductor Inc's Ba2
corporate family rating and senior unsecured bond rating.



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

FOREMOST HOLDINGS: Posts MYR860,000 Net Loss in Qtr. Ended June 30
------------------------------------------------------------------
In a regulatory filing with the Kuala Lumpur Stock Exchange,
Foremost Holdings Berhad disclosed its financial report for the
second quarter ended June 30, 2008.  For the current quarter, the
company incurred MYR860,000 net loss as compared with MYR181,000
net profit in the same quarter of 2007.

The Group recorded a pre-tax loss of MYR701,000 in the second
quarter as compared with MYR414,000 profit before tax in recorded
the same quarter of 2007.  The loss before tax recorded for the
current quarter were due to:

   -- Weakening of the US Dollar for the current quarter which
      resulted in a loss in foreign exchange of approximately
      MYR432,000.  The group has not hedge the fluctuation of
      US Dollar as the Group is unable to secure a hedging
      facilities from banks; and

   -- loss incurred on burglary.

The Group recorded revenue of MYR7.79 million and MYR16,715 for
the current quarter and for cumulative quarter respectively.
These represent a decrease of 16.60% and 15.62% as compared to the
previous year's corresponding quarter and cumulative quarter.  The
decrease in revenue was mainly due a cut down of non profitable
orders because of the increase in raw materials cost.  However,
the management is intensifying effort to obtain more profitable
orders.  The weakening of the US Dollar in the current quarter has
also contributed to the decrease in revenue.

Foremost Holdings Berhad manufactures and sells automobile
speakers, home audio speakers, general-purpose speakers and
speaker wooden cabinets.  The Company is also engaged in the
trading of auto accessories, investment holdings and the
provision of management services.  Products are distributed in
Malaysia, Singapore, United Kingdom, Italy, Taiwan, the United
States, other Asian countries, other European countries and
other countries.

Foremost was classified as an affected listed issuer under Bursa
Malaysia Securities Berhad's Practice Note 17 because it has
"insufficient financial position to warrant continued listing".
As an affected issuer, the Company is required to draft a plan
to regularize its finances to avoid being delisted from the
Official List.


HO HUP: Posts MYR9.26 Mil. Net Loss in Quarter Ended June 30
------------------------------------------------------------
In a regulatory filing with the Kuala Lumpur Stock Exchange, Ho
Hup Construction Company Bhd disclosed that it incurred
MYR9.26 million net loss on MYR20.01 million of revenues in the
second quarter ended June 30, 2008, as compared with the recorded
MYR6.72 million net loss on MYR25.65 million of revenues in the
same quarter of 2007.

As of June 30, 2008, the company's consolidated balance sheet
showed MYR319.04 million of total assets, MYR241.68 million of
total liabilities, resulting in a shareholders' equity of
MYR77.36 million.

Ho Hup Construction Company Bhd is engaged in foundation
engineering, civil engineering, building contracting works and
hire of plant and machinery.  The company operates in three
segments: construction, which is engaged in foundation and civil
engineering, building contracting works and engineering,
procurement, construction and commissioning of pipeline system;
property development, which includes the development of
residential and commercial properties, and manufacturing, which
includes manufacturing and distribution of ready-mixed concrete
and concrete spun piles.  The company's subsidiaries include Ho
Hup Construction Company (India) Private Limited, Ho Hup
Construction Company Berhad (Madagascar Branch), Ho Hup
Corporation (Mauritius) Ltd, Ho Hup Corporation (South Africa) Pty
Ltd, Ho Hup Equipment Rental Sdn Bhd, Ho Hup Geotechnics Sdn Bhd,
Ho Hup Jaya Sdn Bhd, Mekarani Heights Sdn Bhd, Intermax Resources
Sdn Bhd and Timeless Element Sdn Bhd.

                         *     *     *

Messrs. Ernst & Young have expressed a disclaimer opinion in the
company's 2007 audited financial statements.  As a result, the
company became an affected listed issuer pursuant to paragraph 2.1
of the PN17/2005.  The auditors cited these factors that indicate
the existence of material uncertainties, which may cast
significant doubt on the ability of the group and the company to
continue as a going concerns:

   * the group and the company reported a net loss of
     MYR46.16 mil. and MYR19.04 mil. respectively during the year
     ended December 31, 2007.  As of that date, the group's
     current liabilities exceeded its current assets by
     MYR83.62 mil.  In addition, the recognition of the liability
     may increase the group's net current liabilities by
     MYR43.9 million;

   * Should the outcome of the arbitration case between the
     company and the Government of Madagascar be unfavorable to
     the company, the liquidity of the group and the company would
     be adversely affected;

   * the Secured Bank Guarantees amounting to MYR43.41 mil. have
     been called upon by the Govt. of Madagascar from the
     Guarantor Bank following the dismissal of the company's
     application for leave to the Federal Courts on July 8, 2008.
     On July 25, 2008, the Guarantor Bank has paid MYR43.41 mil.
     to the  Govt. of Madagascar.  No provision has been made for
     the amounts of bank guarantees demanded by the Govt. of
     Madagascar but the amounts have been disclosed as Contingent
     Liabilities.  The non-recognition of the liability arising
     from the demand of bank guarantees by the Govt. of Madagascar
     is not in accordance with Financial Reporting Standards in
     Malaysia.  The  auditors were unable to perform sufficient
     appropriate audit procedures to ascertain whether the
     corresponding debit represents a recoverable amount or an
     expense in the income statement.


OLYMPIA INDUSTRIES: Posts MYR6.49 Mil. Net Profit in 4th Qtr. 2008
------------------------------------------------------------------
Olympia Industries Berhad disclosed with the Kuala Lumpur Stock
Exchange its financial results for the fourth quarter ended
June 30, 2008.  The profit after taxation attributable to members
of the company for the fourth quarter decreased to MYR6.49 million
as compared to a profit after tax of RM638.26 mil. reported in the
quarter ended June 30, 2007.  The lower profit after taxation was
mainly due to the absence of net gains from restructuring scheme,
lower finance costs and lower income tax expense.

The Group's profit before taxation attributable to members of the
company for the current quarter decreased to MYR8.6 million as
compared to a profit before tax of MYR651.5 million reported in
the quarter ended June 30, 2007.  The lower profit before taxation
was mainly due to the absence of net gains from restructuring
scheme of MYR671.9 million and lower finance costs.

The Group's revenue for the current quarter decreased to MYR88.20
million from MYR99.64 million in the quarter ended June 30, 2007.
The decrease in Group's revenue was mainly due to lower sales
registered by property division.

As of June 30, 2008, the company's balance sheet showed
MYR1.23 billion of total assets, MYR509.4 million of total
liabilities, resulting in a shareholders' equity of MYR725.71 mil.

                     About Olympia Industries

Headquartered in Kuala Lumpur, Malaysia, Olympia Industries
Berhad -- http://www.oib.com.my-- is an investment holding
company that provides management services to its subsidiaries.
The Company, through its subsidiaries, is engaged in property
development and management; organizing, managing numbers
forecast pools and public lotteries; paint spraying of aluminum,
other metal products and related architectural products; civil,
building construction works, construction of storage tanks and
engineering; stock broking and other financial services; food
and beverage business; maintaining and operating Internet-based
transaction facilities and services; servicing of oil and gas
pipelines, and operation of travel agencies. In October 2006,
the Company increased its interest in Jupiter Securities Sdn Bhd
from 60.06% to 70.57%.

                          *     *     *

The company is currently operating pursuant to a restructuring
scheme.

As reported by the Troubled Company Reporter-Asia Pacific on
August 6, 2008, MARC affirmed its BB- rating of Olympia
Industries Berhad's (OIB) MYR137,124,246 nominal value
Redeemable Unsecured Loan Stocks (RULS).  The rating outlook is
stable.


PANGLOBAL BERHAD: June 30 Balance Sheet Upside-Down by MYR615.95MM
------------------------------------------------------------------
Panglobal Berhad's June 30, 2008, balance sheet went upside down
by MYR615.95 million on MYR585.22 million of total assets and
MYR1.20 billion of total liabilities.

The company posted MYR24.68 million net loss on MYR61.88 million
of revenues in the second quarter, as compared to the recorded
MYR21.82 mil. net loss on MYR51.65 million of revenues in the same
quarter of the preceding year.

The company also posted MYR25.19 mil. loss before taxation for the
current quarter (inclusive of discontinued operation) compared to
loss before taxation of MYR18.83 mil. in the corresponding quarter
of the previous year.  This was mainly due to:

   -- increase in loss from insurance subsidiary operations
      amounting to MYR11 million, negated by reversal of provision
      for termination benefits of MYR3 million; and

   -- decrease in provision for doubtful debts for timber
      operations of MYR1.4 mil.

Headquartered in Kuala Lumpur, Malaysia, PanGlobal Berhad --
http://home.panglobal.com.my/-- is engaged in underwriting all
classes of general insurance business, extracting of logs,
sawmilling, manufacturing of veneer and extraction of coal.
Other activities include property investment and development and
leasing of real estate, investment holding, business management,
building and fitness club management.

PanGlobal is listed under Practice Note 4/2001.  The Bursa
Malaysia Securities has required the company to regularize its
financial condition, curb huge losses and settle debts in order
to continue operating.  The company has already submitted a
Proposed Restructuring Scheme to the Securities Commission on
Sept. 9, 2005.  On April 6, 2006, the Securities Commission
approved PanGlobal Berhad's proposed restructuring scheme for
implementation.

Currently, the company is also in the process of negotiating with
its lenders to restructure its loans and to regularize its
financial position under a revised restructuring scheme.  Due to
unforeseen circumstances, the implementation of the scheme of
arrangement has been delayed but the Board is confident that the
Scheme of  Arrangement can be implemented within the next six
months.


SELOGA HOLDINGS: Posts MYR1.90 Mil. Net Loss in Qtr. Ended June 30
------------------------------------------------------------------
Seloga Holdings Berhad disclosed with the Kuala Lumpur Stock
Exchange its financial report for the second quarter ended
June 30, 2008.  For the current quarter, the company incurred
MYR1.898 million net loss compared with MYR1.59 million net profit
in the same quarter of 2007.

The Group recorded a loss before taxation of MYR1.89 million for
the current quarter as compared to a profit before taxation of
MYR1.69 million in the preceding year's quarter ended June 30,
2007.  This is mainly attributed to a loss arising from the
settlement of a long outstanding debt of MYR1.37 million and lower
profits being generated from reduced activities in Taman
Nusantara.

The Group recorded lower revenue for the current quarter of
MYR12.5 million as compared to MYR23.8 million in the preceding
quarter ended June 30, 2007.  This is due to lower progress
billings achieved by Multi Media University project as it reaches
its completion stage.  In addition, several phases in Taman
Nusantara were completed during the quarter while new phases were
still in their initial stages of development.

As of June 30, 2008, the company's balance sheet showed
MYR139.28 million of total assets, MYR112.36 million of total
liabilities, resulting in a shareholders' equity of
MYR26.92 million.

In July 2008, the Group implemented an internal re-organization
exercise with the main objective of down-sizing its overall human
resources and management.  The exercise was implemented
successfully in accordance with the Labour Laws of Malaysia and
the process ran smoothly.  The rationalization of the Group's
manpower requirements was consonant with the current and future
business and operational needs to face all future challenges
effectively.



====================
N E W  Z E A L A N D
====================

CHESIL PARK: Liquidators Set September 12 as Claims Bar Date
------------------------------------------------------------
In accordance with section 241 of the Companies Act 1993, the
shareholders of Chesil Park Limited appointed John Trevor
Whittfield and Peri Micaela Finnigan, insolvency practitioners of
Auckland, as liquidators on July 28, 2008.

The liquidators set Sept. 12, 2008, as the last day for creditors
to file their proofs of debt.

Creditors and shareholders may direct their inquiries to:

          Attn: Ash Kumar
          McDonald Vague
          Chartered Accountants
          PO Box 6092
          Wellesley Street
          Auckland 1141
          Telephone: (09) 303 0506
          Facsimile: (09) 303 0508



DEVCOM D2: Proofs of Debt Due on September 6
--------------------------------------------
Pursuant to Section 241(2)(a) of the Companies Act 1993, the
shareholders of Devcom D2 Limited resolved that the company be
liquidated and that Roderick T. McKenzie and Lyn M. Carey, of
McKenzie & Partners Limited, Chartered Accountants, Palmerston
North, be appointed as liquidators.

Creditors are required to file their proofs of debt by Sept. 6,
2008, to be included in the company's dividend
distribution.

Creditors and shareholders may direct their inquiries to:

          Roderick T. McKenzie
          McKenzie & Partners Limited
          Level 1
          484 Main Street (PO Box 12014)
          Palmerston North
          Telephone: (06) 354 9639
          Facsimile: (06) 356 2028


DEVCOM CONTRACTING: Proofs of Debt Due on September 6
-----------------------------------------------------
Pursuant to Section 241(2)(a) of the Companies Act 1993, the
shareholders of Devcom Contracting Limited resolved that the
company be liquidated and that Roderick T. McKenzie and Lyn M.
Carey, of McKenzie & Partners Limited, Chartered Accountants,
Palmerston North, be appointed as liquidators.

Creditors are required to file their proofs of debt by Sept. 6,
2008, to be included in the company's dividend
distribution.

Creditors and shareholders may direct their inquiries to:

          Roderick T. McKenzie
          McKenzie & Partners Limited
          Level 1
          484 Main Street (PO Box 12014)
          Palmerston North
          Telephone: (06) 354 9639
          Facsimile: (06) 356 2028


DOMINION FINANCE: Incurs NZ$108.15 Mil. Net Loss in FY2008
----------------------------------------------------------
Dominion Finance Holdings Limited reported a net loss of NZ$108.15
million on total revenue of NZ$80.86 million for the year ended
March 31, 2008, compared with a net profit of NZ$13.98 million on
total revenue of NZ$68.78 million in the same period last year.

At March 31, 2008, the company's consolidated balance sheet showed
NZ$329.04 in total assets and NZ$399.33 in total liabilities,
resulting in a NZ$70.29 million total stockholders' deficit.

                       Auditors' Opinion

In forming its qualified opinion, BDO Spicers Auckland, the
company's auditor have considered the adequacy of the disclosure
and accounting for the impairment allowance for finance
receivables in the financial report.

The auditors said the Group has provided an impairment allowance
of NZ$95,545,000 in respect of its finance receivables.  Finance
receivables  are predominately secured by property.  Due to the
current state of the property market, the effects of the credit
crunch on the local economy and the failure of finance companies
the ultimate quantum of recovery of the loan portfolio is
uncertain.  Changes in any of the above factors will impact on the
impairment allowance recorded by the Group.  Accordingly, the
auditors are unable to estimate the impact of this uncertainty on
the calculation of the impairment allowance.

The directors and their advisors have discussed the concept of a
moratorium with the Trustee and Bankers of the Group's significant
trading subsidiaries, Dominion Finance Group Limited and North
South Finance Limited.  At the time of the signing of the
Financial Report to meet statutory reporting obligations the
directors of the company are unable to confirm the terms and
conditions of a moratorium.  The directors believe the outcome of
moratorium discussions is likely to be known in the next four to
six weeks.

In addition, breaches of banking and trust deed covenants have not
been waived by the Group's Trustees or Bankers.

The outcome of moratorium discussions, in particular the terms and
conditions to be approved between the Trustees and company, are
significant, material and pervasive to the going concern
assumption and to the preparation of the financial report.

Because of the potential effect of the limitation in the evidence
available to the auditors in respect of the use of the going
concern assumption described above, the auditors said they are
unable to form an opinion as to whether the company's financial
report complies with generally accepted accounting practice in New
Zealand; and gives a true and fair view of the financial position
of the company as at March 31, 2008, and the results of operations
and cash flows for the year ended on that date.

                    Chairman and CEO Report

In a regulatory filing, Dominion Finance said that on June 17,
2008, the company entered into discussions with the group's
bankers, and subsidiary company debenture stock trustees, with a
view to exploring a moratorium from paying interest, debenture and
capital note repayments.  Subsequently the directors sought to
progress a recapitalization, with assistance from NZX firm and
proposed underwriter, McDouall Stuart.

These steps arose from the pressure placed on the group's
liquidity due to a run on debenture maturities.  This resulted
from the lack of confidence in the domestic finance sector, which
has been significantly impacted from the severe credit issues
occurring worldwide. As a result, in the current market, this has
almost created the demise of debenture based funding and the
subsequent implications has created a contagion effect to property
based funds and mortgage trusts.  This has also increased
recessionary conditions and underlying property values have
fallen.

With a recapitalization proposal not having been approved, as
announced to NZX on Aug. 22, 2008, it is necessary to write off
the Goodwill and Intangibles of NZ$26.6 million.

When the unaudited interim results were announced in May, bad
debts and provisioning totalled NZ$17 million, but very shortly
after the demise of asset values accelerated beyond expectation.
Having regard to current market conditions, the company has now
increased the level of bad debts and provisions substantially to
NZ$80 million.

In addition, under new IFRS accounting standards, the company has
to account for future interest flows and discount them.  This
interest is written back over the recovery period.  This non cash
effect is neutral over time but severely impacts these accounts
and has added NZ$25.5 million to the loss, and reduced finance
receivables by the same amount.

While the increased provisioning is severe, the non cash item
impacts of the intangibles NZ$26.6 million, interest impairment
allowance NZ$25.5 million and off balance sheet unrecognized
deferred tax asset of NZ$28.6 million has further reduced the
financial position of the business.

Based on recovery of the discounted interest in line with loans
being recovered, no further detrimental market changes and the
remaining part of the unimpaired loan receivables (circa 45%)
performing as planned, then debenture holders and banks may be
well be repaid in full (although there is no guarantee).  Without
some form of recapitalization capital note holders and
shareholders are unlikely to see a return, unless underlying asset
value recuperates significantly over the next two to three years.

The business also commenced a cost review, and cost savings have
been made exclusive of the one off restructuring costs of
approximately NZ$2 million a year.  This was significantly
achieved through reduced marketing and business reorganization.
Staff numbers have reduced by 25% to date.

                   Bonus Issue and Dividends

The company said that like last year, its board was mindful of the
loyal support of its shareholders and wanting to maximize the
utilization of imputation credits, the Directors unanimously
agreed that a bonus issue be made.  The one for twenty bonus issue
was announced on May 14, 2008, and allotted on June 3, 2008.

The Directors declared a total fully imputed dividend of 6 cents
per share.  An interim dividend of 5 cents per share was paid on
November 16 and a final dividend of 1 cent per share was made on
May 14, 2008.  The dividend was paid on June 13, 2008.  Of the
$719k dividend, the majority shareholders reinvested their portion
of $465k back into the business.

                           Outlook

The board has no choice at present but to try and secure agreement
for the orderly wind down of the subsidiaries, exceed the loan
recovery estimates, and look for ways to improve the return to
Capital Note Holders and Shareholders.

                    About Dominion Finance

Based in Auckland, New Zealand, Dominion Finance Holdings
Limited (DFH:NZX) -- http://www.dominionfinance.co.nz/--engages
in the provision of financial services through the raising of
debenture stock.  The company operates through its wholly owned
subsidiaries Dominion Finance Group Limited and North South
Finance Limited, and investment vehicle Dominion Investment Fund
Limited.  Both Dominion Finance Group Limited and North South
Finance Limited accept debenture stock investments and apply
them (in conjunction with its own funds) towards the provision
of certain loans and other financial accommodation.

                         *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
June 25, 2008, the company's Board of Directors had become
concerned about the liquidity position of its two subsidiaries
-- Dominion Finance Group Limited and North South Finance
Limited -- and primarily the ability of these companies to meet
their ongoing payment obligations to their respective debenture
holders both in respect of interest and principal.

The company is facing liquidity pressure from the impact of the
international credit crisis on the confidence of Dominion
Finance Group and North South Finance's investor base, and the
inability of the company's borrowing clients to refinance or
repay the debt facilities previously provided to those
borrowers.

The company's Board entered into discussions with bankers,
auditors, and Trustee's of DFG and NSFL respectively, with a
view to exploring the prospect of those two companies entering
into a Moratorium with their respective
debentureholders.

Under the prospective moratorium, DFG and NSFL would seek the
suspension of the obligation to make payments to
debentureholders for a yet to be determined period of time with
a view to enabling those companies the opportunity to
restructure in order to alleviate the liquidity pressures and
ensure the maximum realization of investor's investment in DFG
and NSFL.


G T RIGGING: Wind-Up Petition Hearing Set for September 11
----------------------------------------------------------
The High Court at Auckland will hold a hearing on Sept. 11, 2008,
at 10:45 a.m., to consider putting G T Rigging Limited  into
liquidation.

The application was filed on April 28, 2008, by the Commissioner
of Inland Revenue.

The plaintiff's address for service is at:

          Inland Revenue Department
          Legal and Technical Services
          5-7 Byron Avenue (PO Box 33150)
          Takapuna, Auckland
          Telephone: (09) 984 1514
          Facsimile: (09) 984 3116

Michael Kinlim Yan is the plaintiff’s solicitor.


HANOVER FINANCE: Fitch Holds & Withdraws D Issuer Default Ratings
-----------------------------------------------------------------
Fitch Ratings affirmed and simultaneously withdrawn the ratings of
New Zealand-based Hanover Finance Limited, as:

  -- Long-term and Short-term foreign currency Issuer Default
     Ratings of 'D', Individual rating of 'F', Support rating of
     '5' and the Support Rating Floor of 'NF'.

A Long-term foreign currency IDR of 'D' indicates that HFL has
defaulted on its financial obligations.

The withdrawal of the ratings recognizes that HFL is no longer
accepting new debentures and is seeking to implement a debt
restructure plan for existing debenture holders.  As a result,
Fitch will no longer provide analytical coverage.


I AM IMPORT: High Court Appoints Liquidators
--------------------------------------------
Pursuant to Section 246 of the Companies Act 1993, the High Court
at Wellington has appointed Iain Bruce Shephard and
Christine Margaret Dunphy, as liquidators of I Am Import, Export
and Distributor Ltd.

The liquidators can be reached at:

          Shephard Dunphy Limited
          Level 2
          Zephyr House
          82 Willis Street
          Wellington
          Telephone: (04) 473 6747
          Facsimile: (04) 473 6748


LJO INVESTMENTS: Liquidators Set September 10 as Claims Bar Date
----------------------------------------------------------------
The High Court at Auckland has appointed Henry David Levin,
insolvency specialist, and David Stuart Vance, chartered
accountant, as liquidators of LJO Investments Limited.

The liquidators set Sept. 10, 2008, as the last day for creditors
to file their proofs of debt.

Creditors and shareholders may direct their inquiries to:

          Jennifer Ji
          Level 7
          Deloitte House
          8 Nelson Street
          Auckland
          Telephone: (09) 309 4944
          Facsimile: (09) 309 4947


LOADED HOG: Wind-Up Petition Hearing Set for September 8
--------------------------------------------------------
The High Court at Wellington will hold a hearing on Sept. 8, 2008,
at 10:00 a.m., to consider putting The Loaded Hog Franchise
Company Limited (formerly The Loaded Hog Group Limited) into
liquidation.

The application was filed on July 25, 2008, by Graeme Murray
Allen.

The plaintiff's address for service is at:

          Attn: M. G. Colson
          Bell Gully
          Level 21
          HP Tower
          171 Featherston Street
          Wellington

Michael Gary Colson is the plaintiff’s solicitor.


NEWBY PROPERTIES: Liquidator Sets September 7 as Claims Bar Date
----------------------------------------------------------------
In accordance with section 241 of the Companies Act 1993, the
shareholders of Newby Properties Limited appointed  Robert Laurie
Merlo, insolvency practitioner of Auckland, as liquidator on
July 24, 2008.

The liquidator sets Sept. 7, 2008, as the last day for creditors
to file their proofs of debt.

Creditors and shareholders may direct their inquiries to:

          Merlo Burgess & Co. Limited
          PO Box 51486
          Pakuranga
          Auckland
          Telephone: (09) 520 7101
          Facsimile: (09) 529 1360
          Email: merloburgess@xtra.co.nz


RAGLAN DEVELOPMENT: Proofs of Debt Due on September 12
------------------------------------------------------
Pursuant to Section 241(2)(a) of the Companies Act 1993, the
shareholders of Raglan Development Trust Limited resolved that the
company be liquidated and that Kim S. Thompson, insolvency
practitioner of Hamilton, be appointed as liquidator.

Creditors are required to file their proofs of debt by Sept. 12,
2008, to be included in the company's dividend
distribution.

Creditors and shareholders may direct their inquiries to:

          Kim S. Thompson
          PO Box 1027
          Hamilton
          Telephone: (07) 834 6813
          Facsimile: (07) 834 6104
          Email: kim@kstca.co.nz


RMB TRUSTEE: Fitch Cuts Rated Mortgage RML 2006-2 to BB from BBB
----------------------------------------------------------------
Fitch Ratings downgraded these notes issued by RMB Trustee Limited
in its capacity as issuer of the Rated Mortgage RML 2006-2 Trust
due December 2050, and assigned a Negative Outlook, as:

  -- Rated Mortgage RML 2006-2 Trust NZD19,600,000 Floating Rate
     Notes: downgraded to 'BB' from 'BBB'/ Negative Outlook.

The downgrade and assignment of the Negative Outlook reflects the
rating action taken on one of the underlying notes issued from a
securitisation program, established by propertyfinance securities
Limited, which was downgraded as a result of deterioration in the
performance of the underlying residential mortgages.



SEAGROVE DEVELOPMENT: Proofs of Debt Due on September 12
--------------------------------------------------------
Pursuant to Section 241(2)(a) of the Companies Act 1993, the
shareholders of Seagrove Development Trust Limited resolved that
the company be liquidated and that Kim S. Thompson, insolvency
practitioner of Hamilton, be appointed as liquidator.

Creditors are required to file their proofs of debt by Sept. 12,
2008, to be included in the company's dividend
distribution.

Creditors and shareholders may direct their inquiries to:

          Kim S. Thompson
          PO Box 1027
          Hamilton
          Telephone: (07) 834 6813
          Facsimile: (07) 834 6104
          Email: kim@kstca.co.nz


STRATEGIC FINANCE: Posts NZ$15.7 Mil. Net Loss for FY2008
---------------------------------------------------------
Strategic Finance Limited reported a net loss after tax of
NZ$15.7 million for the year ended June 30, 2008, compared with a
net profit after tax of NZ$29.4 million in the previous year ended
June 30, 2007.

The company said that the audit report was unqualified.

Net operating income increased by 20% from NZ$60.6 million in 2007
to NZ$72.4 million in 2008 however, due to current market
conditions there has been a considerable increase in the allowance
for credit impairment and Bad debts written off.

The loan book of the company was extensively reviewed by KPMG as
part of the audit of the financial statements, and a prudent
position has been taken on the expected recoverability of the
loans.

As at June 30, 2008, the company had assets of NZ$533 million and
liabilities of NZ$459 million.  The company's gearing ratio is
almost 14% (compared to the industry-leading high of 17% last
year).

Kerry Finnigan, Chief Executive of Strategic Finance, said this
was a very disappointing result and it had been an extremely
difficult year.

"Our company has been caught between investor flight caused by the
collapse of finance companies and other investment funds, and the
bottom dropping out of the property development market.

"Nervousness and uncertainty about the property market has turned
into pessimism.  The result is infectious - we have accordingly
had to take a prudent view of the value of our loans to the
sector."

                   About Strategic Finance

Headquartered in Wellington, New Zealand, Strategic Finance
Limited (NZE:SFLHA) -- http://www.strategicfinance.co.nz/--
operates as a specialist finance company offering financial
services, primarily to the property sector.  It has four main
business activities: Lending within the property sector; Non-
property lending and investments; Corporate advisory and
management services, and Underwriting services. Lending within
the property sector is its primary activity with a focus on
providing finance for property development and property
investment activities.  It was offering motor vehicle lending
under non-property lending and investments.  The Company, and in
some circumstances through its wholly owned subsidiary Strategic
Advisory Limited, provides specialist advisory and management
services to the property and corporate sectors for which it
receives fee income.  It may provide underwriting services.
These services include the underwriting of property related
share or debt securities offered by a promoter through a
registered prospectus.  It receives fees for such services.

Strategic Finance's parent company, Strategic Investment Group,
is wholly owned by an Australian-based finance company Allco HIT
Limited.

                          *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
July 18, 2008, a consortium consisting of Strategic Finance's
original owners, senior management and BOS International, part
of the HBOS Australia group, agreed to indicative non-binding
terms with Allco HIT Limited to buy Strategic Investment Group
Limited, the immediate parent of Strategic Finance.

Strategic Finance's parent company, Strategic Investment Group,
is wholly owned by an Australian-based finance company Allco HIT
Limited.

On Aug. 8, 2008, the TCR-AP reported that Strategic Finance
suspended redemptions of its secured debenture stock and
subordinated notes.  It also ceased accepting subscriptions for
debenture stock and subordinated notes under its current
prospectus and investment statement.


STRATEGIC FINANCE: Signs Sale Agreement With Clarence Investments
-----------------------------------------------------------------
Strategic Finance said that a Sale and Purchase Agreement has been
signed on Aug. 29, 2008, by the purchasing consortium comprising
the former owners and senior management of Strategic Finance and
Uberior Ventures (Asia) Pty Limited an investment vehicle of BOS
International (Australia) Limited and Allco HIT (AHL)and its
relevant subsidiaries, Strategic Investment Group Limited and
Strategic Finance Limited.

The key transaction terms are summarized:

This transaction is conditional among other things on a capital
restructure of Strategic Finance involving new funds being
introduced by the consortium and additional funding lines provided
by BOS International (Australia) Limited.

In addition secured debenture holders, subordinated debt holders
and perpetual preference shareholders will be asked to alter the
terms of their investment.  The capital restructure terms are in
the process of being finalized and may differ in some respects
from the indicative terms previously disclosed.

However, it remains the intention of the consortium to propose a
pro rata conversion of the majority of existing debenture stock
into tranches of proposed NZX listed secured bonds, with the
balance to remain as debenture stock and repayment of the
principal in three equal installments over a period of no longer
than 24 months.

An independent committee of the board of Strategic Finance has
been established to consider the terms of the proposed capital
restructure, comprising Denis Thom and David Wolfenden as
Independent Directors of Strategic Finance. The committee is being
advised by Bell Gully and KordaMentha.

                     Key Transaction Terms

   - Clarence Investments Limited has agreed terms and
     conditions with Allco HIT Limited to purchase
     100% of the shares in Strategic Investment Group Limited
     which is the parent company of Strategic Finance Limited.

   - Clarence Investments will be owned by the previous owners
     and existing senior management of Strategic Finance
     (80.01%) and Uberior Ventures Asia Pty Limited, an
     investment vehicle of BOS International (Australia) Limited
     which is a member of the HBOS Group, one of the world's
     largest financial services organisation providing services
     to more than 23 million customers.  Uberior will have the
     option to increase its shareholding to 49.99% to reflect
     its financial contribution to Clarence Investments.

   - The key terms of the transaction are (all amounts are
     NZ dollars):

   1. Clarence Investments will pay AHL purchase price of
      NZ $25 million in cash plus transfer 8.0 million shares
      in AHL currently held by various Strategic Finance
      executives.

   2. Clarence will inject NZ$15.0 million of new funds into
      Strategic Finance in a form which will be subordinated
      to Strategic Finance's existing debenture, subordinated
      notes and perpetual preference shares.

   3. BOS International (Australia) Limited will increase its
      current debt facilities to Strategic Finance from
      NZ$100.0 million to $150.0 million.

   4. Strategic Finance and AHL have historically co-participated
      in a number of loans that were originated by Strategic
      Finance. Strategic Finance will acquire these loans on
      Completion Date (face value approx NZ$67.3M) for NZ$50.2m,
      with NZ$10.0 million of the purchase price being deferred
      for a 2 year period.

   5. The parties have entered into a binding Sale and Purchase
      Agreement and the transaction is conditional upon:

      * A waiver being received under the New Zealand Takeovers
        Code in respect to Strategic Finance perpetual preference
        shares.

      * Overseas Investment Office approval.


      * Approval of AHL shareholders at a Special Meeting to be
        convened.

   - A Special Meeting of the holders of Strategic Finance
     perpetual preference shares approving by special resolution
     the release of the existing guarantee provided by AHL in
     respect of the perpetual preference shares with effect from
     Completion of the transaction.

   - Special Meetings of the holders of Strategic Finance
     debenture stock and subordinated notes approving by
     extraordinary resolution a capital restructure of existing
     debenture and subordinated note investments.

   - Approval of Perpetual Trust Limited, as trustee under
     Strategic Finance's debenture trust deed.

   - Completion of a tax due diligence to the satisfaction of
     the purchaser.

   - The Shareholders Agreement entered into by the purchasing
     consortium being unconditional.

   - Strategic Finance issuing debenture stock to AHL to secure
     the deferred payment of part of the co-investment loan
     purchase price

   - AHL and BOS International (Australia) Limited entering into
     a new facility agreement.

   - The current Strategic Finance employee share scheme being
     wound up.

   6. The intention is for the meetings of the AHL shareholders
      and the security holders in Strategic Finance to be held
      in October 2008 with a targeted completion date for the
      transaction of shortly thereafter subject to receiving the
      required approvals.

Subject to receiving the consent of Perpetual Trust Limited to the
proposed capital restructure, an explanatory memorandum will be
provided to Strategic Finance security holders in advance of the
security holder meetings.  This explanatory memorandum will
comprise:

   (a) Details of the terms of the capital restructure proposal;

   (b) A notice of meeting of relevant securityholders;

   (c) An investment statement and prospectus which will include
       a description of the terms of the new securities to be
       offered and the amendments to the existing debenture trust
       deed; and

   (d) An independent appraisal report in relation to the terms
       of the capital restructure.

                    About Strategic Finance

Headquartered in Wellington, New Zealand, Strategic Finance
Limited (NZE:SFLHA) -- http://www.strategicfinance.co.nz/--
operates as a specialist finance company offering financial
services, primarily to the property sector.  It has four main
business activities: Lending within the property sector; Non-
property lending and investments; Corporate advisory and
management services, and Underwriting services. Lending within
the property sector is its primary activity with a focus on
providing finance for property development and property
investment activities.  It was offering motor vehicle lending
under non-property lending and investments.  The Company, and in
some circumstances through its wholly owned subsidiary Strategic
Advisory Limited, provides specialist advisory and management
services to the property and corporate sectors for which it
receives fee income.  It may provide underwriting services.
These services include the underwriting of property related
share or debt securities offered by a promoter through a
registered prospectus.  It receives fees for such services.

Strategic Finance's parent company, Strategic Investment Group,
is wholly owned by an Australian-based finance company Allco HIT
Limited.

                          *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
July 18, 2008, a consortium consisting of Strategic Finance's
original owners, senior management and BOS International, part
of the HBOS Australia group, agreed to indicative non-binding
terms with Allco HIT Limited to buy Strategic Investment Group
Limited, the immediate parent of Strategic Finance.

Strategic Finance's parent company, Strategic Investment Group,
is wholly owned by an Australian-based finance company Allco HIT
Limited.

On Aug. 8, 2008, the TCR-AP reported that Strategic Finance
suspended redemptions of its secured debenture stock and
subordinated notes.  It also ceased accepting subscriptions for
debenture stock and subordinated notes under its current
prospectus and investment statement.



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

CHEVIOT PTE: Creditors' Proofs of Debt Due on September 22
----------------------------------------------------------
Cheviot Pte Ltd, which is in voluntary liquidation, requires its
creditors to file their proofs of debt by September 22, 2008, to
be included in the company's dividend distribution.

The company's liquidators are:

          Kon Yin Tong
          Wong Kian Kok
          Aw Eng Hai
          c/o 47 Hill Street #05-01
          Singapore Chinese Chamber of Commerce &
          Industry Building
          Singapore 179365


CHONG BENG: Subject to Extra Air's Wind-Up Petition
---------------------------------------------------
On August 11, 2008, Extra Air Engineering Pte Ltd filed a petition
to have Chong Beng Engineering Pte Ltd's operations wound up.

The petition will be heard before the High Court of Singapore on
September 5, 2008, at 10:00 a.m.

Extra Air's solicitor is:

          Hoh Law Corporation
          60 Eu Tong Sen Street
          #01-08 Furama Hotel Shopping Centre
          Singapore 059804


COMPASS LLC: Requires Creditors to File Claims by September 22
--------------------------------------------------------------
Compass LLC, which is in voluntary liquidation, requires its
creditors to file their proofs of debt by September 22, 2008, to
be included in the company's dividend distribution.

The company's liquidators are:

          Chee Yoh Chuang
          Lim Lee Meng
          18 Cross Street
          #08-01 Marsh & McLennan Centre
          Singapore 048423


YANCY HOLDINGS: Court to Hear Wind-Up Petition on Sept. 5
---------------------------------------------------------
A petition to have Yancy Holdings Pte Ltd's operations wound up
will be heard before the High Court of Singapore on September 5,
2008, at 10:00 a.m.

United Overseas Bank (Malaysia) Bhd filed the petition against the
company on August 8, 2008.

United Overseas Bank's solicitors are:

          Khattarwong
          No. 80 Raffles Place
          #25-01 UOB Plaza 1
          Singapore 048624



===============
X X X X X X X X
===============

* BOND PRICING: For the Week September 1 - September 5, 2008
------------------------------------------------------------


   Issuer                      Coupon  Maturity  Currency  Price
   ------                      ------  --------  --------  -----

   AUSTRALIA &
   NEW ZEALAND
   -----------
Ainsworth Game Technology Ltd  8.000%  12/31/09     AUD     0.75
A&R Whitcoulls Group           9.500%  12/15/10     NZD    10.80
Allco Hit Ltd                  9.000%  08/17/09     AUD    18.25
Antares Energy                10.000%  10/31/13     AUD     0.75
Babcock & Brown Pty Ltd        8.500%  11/17/09     NZD    71.00
Babcock & Brown Pty Ltd        9.010%  09/15/16     NZD    71.00
BBI Ntwrks NZ Limited          8.000%  11/30/12     NZD    25.00
Becton Property Group          9.500%  06/30/10     AUD     0.45
Bounty Industries Limited     10.000%  06/30/10     AUD     0.07
Capital Properties NZ Ltd      8.500%  04/15/09     NZD    14.50
Capital Properties NZ Ltd      8.000%  04/15/10     NZD    13.50
Carpal Aluminum               10.000%  03/29/12     AUD    70.10
China Century                 12.000%  09/30/10     AUD     0.86
Djerriwarrh Investments Ltd    6.500%  09/30/09     AUD     4.12
Fletcher Building Ltd          7.550%  03/15/11     NZD     9.20
Fletcher Building Ltd          7.800%  03/15/09     NZD    11.00
Heemskirk Consolidated
  Limited                      8.000%  04/29/11     AUD     2.80
Infrastructure & Utilities     8.500%  09/15/13     NZD    10.25
Jem Warehouse                  3.000%  08/01/14     AUD    74.94
Jpm Au Enf Nom 1               3.500%  06/30/10     AUD     7.00
Lane Cove Tunnel               6.800%  12/09/15     AUD    59.89
LongReach Group Limited       10.000%  10/31/08     AUD     0.36
Nylex Ltd.                    10.000%  12/08/09     AUD     1.66
Marac Finance                 10.500%  07/15/13     NZD     0.99
Metal Storm Ltd               10.000%  09/01/09     AUD     0.11
Minerals Corp                 10.500%  09/30/08     AUD     0.86
Publ & Broad Fin               6.280%  05/06/11     AUD     8.75
Salomon SB Aust                4.250%  02/01/09     AUD     9.05
Speirs Group Ltd.             13.160%  06/30/49     NZD    38.00
South Canterbury              10.430%  12/15/12     NZD     1.98
St. Laurence Prop              9.250%  07/15/01     NZD    73.27
Sun Resources NL              12.000%  06/30/11     AUD     0.50
TrustPower Ltd                 8.300%  12/15/08     NZD    11.25
TrustPower Ltd                 8.500%  09/15/12     NZD     8.50

   CHINA
   -----

China Govt Bond                4.860%  08/10/14    CNY      0.00
GD Power Develop               1.000%  05/07/14    CNY     75.00
Gezhouba                       0.600%  06/26/14    CNY     72.52
Kangmei Pharm                  0.800%  05/08/14    CNY     74.40
Tsingtao Brewey                0.800%  04/02/14    CNY     74.40

   INDIA
   -----

Ghcl Limited                   1.000%  03/21/11    USD     70.00
India Gov't                    5.870%  08/28/22    INR     71.50
India Gov't                    5.970%  09/25/25    INR     68.43
India Gov't                    6.010%  03/25/28    INR     67.24
India Gov't                    6.130%  06/04/28    INR     68.19
India Gov't                    6.170%  06/12/23    INR     72.07
India Gov't                    6.300%  04/09/23    INR     73.50
Pyramid Saimira                1.750%  07/04/12    USD     70.75
Subix Azure                    2.000%  03/09/12    USD     69.81

   JAPAN
   -----

ES-Con Japan Limited           3.
Japan Gen Estate               2.580%  09/28/10     JPY    69.98
Pacific Management             2.940%  03/15/12     JPY    60.65
Shinsei Bank Ltd.              5.625%  12/29/49     GBP    74.30

   KOREA
   -----
Korea Dev. Bank                7.310%  11/08/21     KRW    43.48
Korea Dev. Bank                7.350%  10/27/21     KRW    43.57
Korea Dev. Bank                7.400%  11/02/21     KRW    43.52
Korea Dev. Bank                7.450%  10/31/21     KRW    43.54
Korea Dev. Bank                8.450%  12/15/26     KRW    69.53
Hynix Semi Inc.                7.875%  06/27/17     USD    74.75

   MALAYSIA
   --------
Advance Synergy Berhad         2.000%  01/26/18     MYR     0.50
Aliran Ihsan Resources Bhd     5.000%  11/29/11     MYR     0.92
Berjaya Land Bhd               5.000%  12/30/09     MYR     4.06
Eastern & Orient               8.000%  07/25/11     MYR     1.01
Greatpac Holdings              2.000%  12/11/08     MYR     0.18
Huat Lai Resources Bhd         5.000%  03/28/10     MYR     0.44
Insas Berhad                   8.000%  04/19/09     MYR     0.42
Kamdar Group Bhd               3.000%  11/09/09     MYR     0.25
Kretam Holdings Bhd            1.000%  08/10/10     MYR     1.02
Kumpulan Jetson Berhad         5.000%  11/27/12     MYR     0.45
LBS Bina Group Bhd             4.000%  12/31/08     MYR     0.28
Mithril Bhd                    3.000%  04/05/12     MYR     0.55
Mithril Bhd                    8.000%  04/05/09     MYR     0.12
Nam Fatt Corp                  2.000%  06/24/11     MYR     0.34
Pelikan International          3.000%  04/08/10     MYR     1.40
Pilecon Engineering Bhd        5.000%  12/19/11     MYR     0.10
Plus Spv Bhd                   2.000%  06/27/17     MYR    70.13
Plus Spv Bhd                   2.000%  06/27/18     MYR    67.12
Plus Spv Bhd                   2.000%  06/27/19     MYR    63.45
Puncak Niaga Holdings Bhd      2.500%  11/18/16     MYR     0.79
Rhythm Consolidated Berhad     5.000%  12/17/08     MYR     0.07
Rubberex Corporation Berhad    4.000%  08/14/12     MYR     0.63
Syabas                         3.000%  05/18/18     MYR    71.97
Syabas                         3.000%  05/17/19     MYR    69.14
Tenaga Nasional Bhd            3.050%  05/10/09     MYR     0.90
Tradewinds Corp.               2.000%  02/08/12     MYR     0.59
Tradewinds Plantation Berhad   3.000%  02/28/16     MYR     1.20
TRC Synergy Berhad             5.000%  01/20/12     MYR     1.20
Wah Seong Corp.                3.000%  05/21/12     MYR     4.14
Wijaya Baru Global Berhad      7.000%  09/17/12     MYR     0.51
YTL Cement Bhd                 4.000%  11/10/15     MYR     1.35

   SINGAPORE
   ---------

Capitaland Ltd.                2.950%  06/20/22     SGD    71.09


   SRI LANKA
   ---------
Sri Lanka Govt                7.500%  08/01/13     LKR     68.46
Sri Lanka Govt                7.500%  11/01/13     LKR     67.73
Sri Lanka Govt                6.850%  04/15/12     LKR     71.24
Sri Lanka Govt                6.850%  10/15/12     LKR     69.01
Sri Lanka Govt                7.000%  10/15/11     LKR     74.24
Sri Lanka Govt                7.000%  10/01/23     LKR     52.10
Sri Lanka Govt                8.500%  01/15/13     LKR     72.96
Sri Lanka Govt                8.500%  07/15/13     LKR     71.74
Sri Lanka Govt                7.500%  08/15/18     LKR     59.29
Sri Lanka Govt                8.500%  02/01/18     LKR     64.76
Sri Lanka Govt                8.500%  07/15/18     LKR     64.16

   Thailand
   --------

True Move                    10.375%  08/01/14     USD     74.64



                         *********

Tuesday's edition of the TCR-AP delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-AP editors from a variety of outside
sources during the prior week we think are reliable.   Those
sources may not, however, be complete or accurate.  The Tuesday
Bond Pricing table is compiled on the Friday prior to
publication.  Prices reported are not intended to reflect actual
trades.  Prices for actual trades are probably different.  Our
objective is to share information, not make markets in publicly
traded securities.  Nothing in the TCR-AP constitutes an offer
or solicitation to buy or sell any security of any kind.  It is
likely that some entity affiliated with a TCR-AP editor holds
some position in the issuers' public debt and equity securities
about which we report.

A list of Meetings, Conferences and Seminars appears in each
Wednesday's edition of the TCR-AP. Submissions about insolvency-
related conferences are encouraged.  Send announcements to
conferences@bankrupt.com

Friday's edition of the TCR-AP features a list of companies with
insolvent balance sheets obtained by our editors based on the
latest balance sheets publicly available a day prior to
publication.  At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled.  Assets, for example, reported at historical
cost net of depreciation may understate the true value of a
firm's assets.  A company may establish reserves on its balance
sheet for liabilities that may never materialize.  The prices at
which equity securities trade in public market are determined by
more than a balance sheet solvency test.


                            *********


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

Troubled Company Reporter-Asia Pacific is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland, USA.  Marites M. Claro, Rousel Elaine C. Tumanda,
Valerie C. Udtuhan, Marie Therese V. Profetana, Frauline S.
Abangan, and Peter A. Chapman, Editors.

Copyright 2008.  All rights reserved.  ISSN: 1520-9482.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding,
electronic re-mailing and photocopying) is strictly prohibited
without prior written permission of the publishers.
Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.

TCR-AP subscription rate is US$625 for 6 months delivered via e-
mail.  Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance
thereof are US$25 each.  For subscription information, contact
Christopher Beard at 240/629-3300.





                 *** End of Transmission ***