(In Statutory Management)
Report to Equiticorp Holdings Ltd debenture stockholders
Dated 24 June 2024
Since our last report there has been disappointingly slow progress in the winding up of Mr Cheah’s property holding company. The liquidator applied for directions from the Malaysian High Court last year to determine his fees. The hearing was adjourned several times and the submissions were only completed late last month. The judge reserved his decision.
Once the decision has been released, the winding up of the company can be finalised without any further impediments. The funds remaining after the payment of the liquidator’s fees will be distributed to the company’s shareholders. Mr Cheah’s bankrupt estate holds 82% of the shares (his brother’s deceased estate holds the balance).
Mr Cheah’s bankrupt estate is under the control of the Singapore Official Assignee, as Mr Cheah was a resident of Singapore when he was bankrupted. The process of winding up the estate may take some time as the Official Assignee has yet to adjudicate upon all the claims against the estate, and it will not complete that process until it receives funds from Malaysia. Equiticorp’s debt has been admitted and is the largest known creditor.
Given the circumstances set out above, we cannot say at this time what the possible recovery might be for Equiticorp debenture holders or the timing of any potential distribution.
2. Next report
We will write again around 30 June 2025, or earlier if there are any significant developments. Our recent reports are available on our website: www.equiticorp.co.nz
B G Stowell & K T Stotter
Statutory Managers
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