*Platinum Member*
Centennial Member
Posts: 110533
Liked By: 63553
Joined: 30 Jun 10
Followers:
3
Tipsters
Championship:
Player
has
not started
|
His case is allegedly linked to that of Chan Ewe Teck, 60, then the sole director and shareholder of a firm called Straitsworld Advisory, which provided consultancy services to other companies.
The Singaporean is now known as Michael ET Chan, and his case is pending.
In earlier proceedings, the prosecution said that Chan began in 2011 to introduce business opportunities for KLWH through Lee.
Among these were projects in Zhangye, China, for the acquisition of a state-owned hotel there and the development of the land surrounding the property.
Deputy public prosecutors Theong Li Han and Kiera Yu stated in court documents that Chan floated the prospect of KLWH's participation in the Zhangye projects to Lee in 2013.
Among other things, Straitsworld and another firm called White Group were supposed to acquire the assets needed for the project linked to the hotel, before reselling the assets to KLWH at a mark-up.
Lee became linked to the Zhangye projects without informing KLWH's board of directors.
The court heard that Chan later told Lee that KLWH had to pay Straitsworld commitment fees totalling $14 million for the Zhangye projects.
In May 2014, Lee handed Chan two cheques addressed to Straitsworld from Ambertree's bank account for a total of $7 million.
He later handed over two more cheques addressed to Straitsworld from KLWH's bank account for a second payment of $7 million.
The prosecutors said that prior to June 21, 2014, Lee told Chan he needed $7.8 million to buy KLWH shares.
Court documents stated that the two agreed that Chan would provide the $7.8 million to Lee as a loan for the share subscription.
However, the deadline to purchase the shares drew near, and Chan could not obtain the full $7.8 million in time, said the DPPs.
They added that Chan and Lee agreed to use $7 million of the commitment fees from KLWH to fund Lee's share subscription first, as a loan.
Lee then misappropriated the amount.
The prosecutors told the court that by about August or September 2014, discussions over the Zhangye projects had broken down and the parties did not enter into "definitive agreements".
On May 6, 2015, KLWH's group financial controller told the company's independent directors that the commitment fees paid by Ambertree over the Zhangye projects were due to be refunded.
Following discussions between Lee and the directors, it was agreed that he would either try to resolve the projects, or obtain a refund of the commitment fees.
Lee met up with Chan on several occasions in attempts to recover the fees. The court heard that Chan told Lee that Straitsworld did not have enough funds to issue the refund.
Lee then proposed that he would pay $7 million to KLWH first on Chan's behalf.
As part of Lee's plan, Straitsworld's remaining obligation to return the other $7 million could be linked to another potential property development project involving Straitsworld, named Project Happy.
Details about this project were not disclosed in court documents.
The prosecutors said Chan agreed with this arrangement, and he provided a personal guarantee that he would be personally liable for the $7 million repayment should Project Happy fail to materialise.
In May 2015, $7 million was transferred to Straitsworld, and this amount was later transferred to KLWH.
The prosecutors said: "Project Happy failed to materialise and, as a result, KLWH commenced legal action in Singapore against Chan for the recovery of the (other) $7 million... Chan was only able to repay $5.75 million... and was made a bankrupt in 2018."
The court heard in May that $12.75 million of the $14 million had been recovered. A sum of $1.25 million remained outstanding.
|
Main Menu >
Gossip Corner >
Justin11sg you fav news we lived in holographic dream w
[ 189 Chatters Online
]
1
) 
Find all Topics Started by seelangui
Find all Posts by seelangui
Follow / Unfollow
PM seelangui
Wednesday
1:39 PM (2 days ago)
0 Likes
Like
