Contents :
With reference to the above article appearing in "The Star - Classifieds (Page 10)" on Thursday, 3rd August 2000, we wish to highlight the following:-
1. The petition was served on BDSB via letter from H.K. Yoong (Solicitors for the Petitioner) dated 11th July 2000.
2. The amount in dispute as claimed by Aeropro Sdn Bhd as per the Petition is RM40,009.47.
3. The disputes which led to the filing of the winding-up petition arose when Aeropro Sdn Bhd defaulted in fulfilling its part of the obligations under the contract when they refused to rectify the defective works by Aeropro Sdn Bhd, despite repeated reminders. Subsequently, Brisdale Holdings Berhad (BHB) was forced to re-tender the rectification of the defective work to a third party. Therefore, BHB was left with no choice but to deduct the difference in the new contract sum from the retention sum. Aeropro Sdn Bhd refused to acknowledge the costs of rectification incurred by BHB and as a result, Aeropro Sdn Bhd refused to endorse the final account and demanded for the return of the retention sum by sending a Notice pursuant to Section 218 of the Companies Act 1965 dated 13th March 2000.
*Note: BHB does not recognise the statutory demand under the S.218 Companies Act 1965 and refuse to take any further steps by replying to the said notice. BHB is of the opinion that they are under no obligation to reply to such notice as their rights to refer the dispute in question to Arbitration is clearly provided under Clause 34 of the Agreement.
4. The expected loss (if any) would only be to the extent of the retention sum.
5. There would not be any operational and financial impact on the Group as the dispute is only related to the retention sum.
6. The steps which the Company is currently taking with regard to the Winding-Up Petition is that the Company is making an application to the Court to stay all the proceedings under the Petition until such time that the dispute has been referred to Arbitration as provided under Clause 34 of the Agreement.
The Company will also apply to strike out the Winding-Up Petition after the stay of the proceeding is granted by the Court and the matter is referred to an Arbitrator.
Thank you.
Query Letter Contents :
We refer to the above Notice appearing in The Star, Classifieds, Page 10 on
Thursday 3 August 2000.
In this connection, kindly furnish the Exchange immediately with the following
additional information for public release:-
1) The date when the petition was served on BDSB.
2) The amount claimed for under the petition.
3) The details of the default or circumstances leading to the filing of the
winding-up petition.
4) The expected losses, if any.
5) The operational and financial impact on the Group, if any arising from the
aforesaid petition.
6) The steps that your Company will take with regard to the winding-up
petition.
Yours faithfully
KUALA LUMPUR STOCK EXCHANGE
Inderjit Singh
Senior Manager, Listing Operations
IS/CMJ
