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Mdm Tang
Guest
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Bros, is it a scheme of arrangement to pay of debts by
monthly instalments or what ???
What is annulled ?
.
Bankruptcy orders annulled for three former NKF directors
15 Dec 11
This article first appeared in Singapore’s Mandarin broadsheet Lianhe Zaobao on 13 Dec 2011
Richard Yong, Loo Say San and Matilda Chua, three former directors of the National Kidney Foundation (NKF) who were involved in a scandal and subsequently declared bankrupt four years ago, recently received approval for their bankruptcy orders to be annulled.
Former NKF chairman Richard Yong, 70, former NKF honorary treasurer Loo Say San and former committee member Matilda Chua, 42, received certificates of annulment issued by the Official Assignee on 2 December annulling their bankruptcy orders. The Official Assignee approved the annulments in accordance with Section 95A of the Bankruptcy Act. This means that the three will be treated as never having been declared bankrupt before.
According to lawyer Sng Kheng Huat, who is not involved in the bankruptcy cases, when a proposal made by a bankrupt to his or her creditors to resolve the debt is accepted, the Official Assignee can annul the bankruptcy order against him or her pursuant to Section 95A of the Bankruptcy Act.
The proposal made by the bankrupt could involve the payment of a sum of money to resolve the debt which may not amount to the total sum of the debt. In addition, the bankrupt can also pledge to pay back the debt through instalments in order to get out of bankruptcy. However, if the bankrupt fails to follow through with his or her commitment after the bankruptcy order is lifted and defaults on payment or deceives the creditor into accepting the proposal, the Official Assignee has the right to cancel the certificate of annulment.
The new NKF Board applied for Yong, Loo and Chua to be declared bankrupt four years ago. NKF said when interviewed yesterday that it is happy that this issue has been resolved in an amicable manner.
The new NKF Board had sued former chief executive officer T. T. Durai and the three individuals mentioned above in a bid to seek the return of at least $10 million. NKF accused the four of abusing their powers, including using NKF funds abroad, as well as inflating items such as expenses, the number of patients who benefited, grants and treatment charges. They also misled the public on NKF's surpluses.
The money NKF sought from them included the $2.1 million salary package received by Durai, the losses incurred from a failed defamation lawsuit initiated by the previous board against Singapore Press Holdings without due justification, losses from the fall in Life Drop contributions after the public withdrew donations following the scandal and losses incurred from contracts signed between NKF and third parties.
The four defendants gave up their defence a few days into the hearing. NKF subsequently sought the return of approximately $910,000, $680,000 and $330,000 from Yong, Loo and Chua respectively (including legal fees). However the three failed to pay any of the amounts. As a result, they were declared bankrupt in May 2007.
In Singapore, those with debt of more than $10,000 can be declared bankrupt.
Yong and Loo were discovered by Allen & Gledhill, the law firm representing NKF at the time, to have sold off their assets in succession one week before being declared bankrupt. Yong sold three apartment units valued at a total of $7.53 million while Loo sold two cars and shares in NTUC Income under his name over two days.
Allen & Gledhill immediately applied for a Mareva Injunction with the High Court to freeze all of Yong and Loo's global assets. The application was approved on the day it was filed.
Yong left Singapore without obtaining approval from the Official Assignee a few hours after being declared bankrupt. This contravened the Bankruptcy Act.
Yong then fled to Hong Kong from Malaysia. However, he was arrested less than two months later and repatriated to Singapore. He was jailed for 15 months after being found guilty of three charges: failure to truthfully declare assets, illegal transfer of funds and leaving Singapore without obtaining approval beforehand.
Loo died of a heart attack in May last year at the Singapore General Hospital (SGH). He was 62.
As for Durai, he avoided bankruptcy after reaching an agreement with the new NKF board to pay back more than $4 million in compensation by borrowing money from relatives and friends, selling his apartment and using his working income.
[email protected]
Source: Lianhe Zaobao
Bros, is it a scheme of arrangement to pay of debts by
monthly instalments or what ???
What is annulled ?
.
Bankruptcy orders annulled for three former NKF directors
15 Dec 11
This article first appeared in Singapore’s Mandarin broadsheet Lianhe Zaobao on 13 Dec 2011
Richard Yong, Loo Say San and Matilda Chua, three former directors of the National Kidney Foundation (NKF) who were involved in a scandal and subsequently declared bankrupt four years ago, recently received approval for their bankruptcy orders to be annulled.
Former NKF chairman Richard Yong, 70, former NKF honorary treasurer Loo Say San and former committee member Matilda Chua, 42, received certificates of annulment issued by the Official Assignee on 2 December annulling their bankruptcy orders. The Official Assignee approved the annulments in accordance with Section 95A of the Bankruptcy Act. This means that the three will be treated as never having been declared bankrupt before.
According to lawyer Sng Kheng Huat, who is not involved in the bankruptcy cases, when a proposal made by a bankrupt to his or her creditors to resolve the debt is accepted, the Official Assignee can annul the bankruptcy order against him or her pursuant to Section 95A of the Bankruptcy Act.
The proposal made by the bankrupt could involve the payment of a sum of money to resolve the debt which may not amount to the total sum of the debt. In addition, the bankrupt can also pledge to pay back the debt through instalments in order to get out of bankruptcy. However, if the bankrupt fails to follow through with his or her commitment after the bankruptcy order is lifted and defaults on payment or deceives the creditor into accepting the proposal, the Official Assignee has the right to cancel the certificate of annulment.
The new NKF Board applied for Yong, Loo and Chua to be declared bankrupt four years ago. NKF said when interviewed yesterday that it is happy that this issue has been resolved in an amicable manner.
The new NKF Board had sued former chief executive officer T. T. Durai and the three individuals mentioned above in a bid to seek the return of at least $10 million. NKF accused the four of abusing their powers, including using NKF funds abroad, as well as inflating items such as expenses, the number of patients who benefited, grants and treatment charges. They also misled the public on NKF's surpluses.
The money NKF sought from them included the $2.1 million salary package received by Durai, the losses incurred from a failed defamation lawsuit initiated by the previous board against Singapore Press Holdings without due justification, losses from the fall in Life Drop contributions after the public withdrew donations following the scandal and losses incurred from contracts signed between NKF and third parties.
The four defendants gave up their defence a few days into the hearing. NKF subsequently sought the return of approximately $910,000, $680,000 and $330,000 from Yong, Loo and Chua respectively (including legal fees). However the three failed to pay any of the amounts. As a result, they were declared bankrupt in May 2007.
In Singapore, those with debt of more than $10,000 can be declared bankrupt.
Yong and Loo were discovered by Allen & Gledhill, the law firm representing NKF at the time, to have sold off their assets in succession one week before being declared bankrupt. Yong sold three apartment units valued at a total of $7.53 million while Loo sold two cars and shares in NTUC Income under his name over two days.
Allen & Gledhill immediately applied for a Mareva Injunction with the High Court to freeze all of Yong and Loo's global assets. The application was approved on the day it was filed.
Yong left Singapore without obtaining approval from the Official Assignee a few hours after being declared bankrupt. This contravened the Bankruptcy Act.
Yong then fled to Hong Kong from Malaysia. However, he was arrested less than two months later and repatriated to Singapore. He was jailed for 15 months after being found guilty of three charges: failure to truthfully declare assets, illegal transfer of funds and leaving Singapore without obtaining approval beforehand.
Loo died of a heart attack in May last year at the Singapore General Hospital (SGH). He was 62.
As for Durai, he avoided bankruptcy after reaching an agreement with the new NKF board to pay back more than $4 million in compensation by borrowing money from relatives and friends, selling his apartment and using his working income.
[email protected]
Source: Lianhe Zaobao
