16-03-2012, 05:59 AM
Business Times - 16 Mar 2012
UOB files petition to wind up Fibrechem Technologies
By TEH SHI NING
UNITED Overseas Bank has filed a petition to liquidate Fibrechem Technologies and applied for provisional liquidators to be appointed.
Fibrechem, which announced this yesterday, said the winding-up petition will be heard before the Supreme Court of Bermuda on April 13.
Fibrechem, riddled with accounting scandals, failed to meet the bank creditor's statutory demand for repayment of US$58.7 million in loans by the deadline of Dec 26 last year.
Fibrechem said that UOB has also made an application for the Supreme Court of Bermuda to appoint representatives from PwC Bermuda and PwC Singapore as joint provisional liquidators of the company.
The assets of FibreChem and its subsidiaries 'are in jeopardy and at serious risk of being dissipated or misappropriated', UOB was said to have alleged in documents filed to support its provisional liquidators application.
The bank also referred to the report released in December by nTan Corporate Advisory after its three-year long special audit, which revealed HK$777 million in missing cash among other financial and accounting irregularities.
UOB said that the report found the management of the company and the group as a whole 'to have been seriously lacking and dysfunctional'.
Appointing provisional liquidators will 'facilitate a restructuring which would maximise recovery for creditors and the shareholding public', UOB said. 'In this regard, UOB asserts in the documents filed ... that it is aware of a potential investor which is interested in injecting fresh funds into the company as part of a reverse takeover so that its businesses may be listed on SGX,' said the Fibrechem announcement.
The hearing of the provisional liquidators application will be on March 16.
UOB files petition to wind up Fibrechem Technologies
By TEH SHI NING
UNITED Overseas Bank has filed a petition to liquidate Fibrechem Technologies and applied for provisional liquidators to be appointed.
Fibrechem, which announced this yesterday, said the winding-up petition will be heard before the Supreme Court of Bermuda on April 13.
Fibrechem, riddled with accounting scandals, failed to meet the bank creditor's statutory demand for repayment of US$58.7 million in loans by the deadline of Dec 26 last year.
Fibrechem said that UOB has also made an application for the Supreme Court of Bermuda to appoint representatives from PwC Bermuda and PwC Singapore as joint provisional liquidators of the company.
The assets of FibreChem and its subsidiaries 'are in jeopardy and at serious risk of being dissipated or misappropriated', UOB was said to have alleged in documents filed to support its provisional liquidators application.
The bank also referred to the report released in December by nTan Corporate Advisory after its three-year long special audit, which revealed HK$777 million in missing cash among other financial and accounting irregularities.
UOB said that the report found the management of the company and the group as a whole 'to have been seriously lacking and dysfunctional'.
Appointing provisional liquidators will 'facilitate a restructuring which would maximise recovery for creditors and the shareholding public', UOB said. 'In this regard, UOB asserts in the documents filed ... that it is aware of a potential investor which is interested in injecting fresh funds into the company as part of a reverse takeover so that its businesses may be listed on SGX,' said the Fibrechem announcement.
The hearing of the provisional liquidators application will be on March 16.
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