<TABLE border=0 cellSpacing=0 cellPadding=0 width=452><TBODY><TR><TD vAlign=top width=452 colSpan=2>Published September 8, 2009
</TD></TR><TR><TD vAlign=top width=452 colSpan=2>Banyan Tree subsidiary sued over 2007 EGM event
Plaintiff claims proxy not allowed to attend, vote at Laguna Resorts meeting
By NISHA RAMCHANDANI
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BANYAN Tree Holdings' subsidiary, Laguna Resorts & Hotels (LRH), has been sued in a Thai court by TMB Bank Public Company for disallowing a proxy from attending and voting at a shareholders' meeting back in 2007.
LRH disclosed this in a letter to the Stock Exchange of Thailand. The letter was forwarded by Banyan Tree to the Singapore Exchange yesterday. The suit was filed on Aug 5, 2009.
TMB Bank Public Company was a security agent acting on behalf of the creditors of Thai Wah Public Company, a shareholder of LRH with 27.98 million shares, according to Banyan Tree's 2008 annual report.
Thai Wah Public Company is now known as Universal Starch Public Company.
'The plaintiff's proxy was present at the EGM on the plaintiff's behalf but the company and/or chairman of the LRH EGM did not allow the plaintiff's proxy to attend,' LRH said in the letter.
A resolution relating to an issue of shares to shareholders in connection with a non-renounceable rights issue undertaken by LRH was passed at the EGM.
'The plaintiff has claimed that in not allowing the plaintiff to attend and vote, the company was in breach of the company's articles of association and the applicable laws, making the resolution invalid and illegal,' added LRH.
As such, TMB Bank Public is asking the court to revoke the resolution and cancel the registration of that resolution.
LRH intends to defend itself against the allegations.
'The company would like to inform you that the company did not breach the company's articles of association or the applicable laws as accused and will appoint legal counsel to submit a statement of defence,' LRH said in the letter.
Banyan Tree Holdings recently reported a loss attributable to shareholders of $4.2 million for the second quarter ended June 30 - down from a $3.5 million profit a year back - as the unstable political situation in Thailand was compounded by the H1N1 flu outbreak and economic weakness.
Second-quarter revenue fell 44 per cent to $59.8 million.
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</TD></TR><TR><TD vAlign=top width=452 colSpan=2>Banyan Tree subsidiary sued over 2007 EGM event
Plaintiff claims proxy not allowed to attend, vote at Laguna Resorts meeting
By NISHA RAMCHANDANI
<TABLE class=storyLinks border=0 cellSpacing=4 cellPadding=1 width=136 align=right><TBODY><TR class=font10><TD width=20 align=right>
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</TD><TD>Feedback</TD></TR></TBODY></TABLE>BANYAN Tree Holdings' subsidiary, Laguna Resorts & Hotels (LRH), has been sued in a Thai court by TMB Bank Public Company for disallowing a proxy from attending and voting at a shareholders' meeting back in 2007.
LRH disclosed this in a letter to the Stock Exchange of Thailand. The letter was forwarded by Banyan Tree to the Singapore Exchange yesterday. The suit was filed on Aug 5, 2009.
TMB Bank Public Company was a security agent acting on behalf of the creditors of Thai Wah Public Company, a shareholder of LRH with 27.98 million shares, according to Banyan Tree's 2008 annual report.
Thai Wah Public Company is now known as Universal Starch Public Company.
'The plaintiff's proxy was present at the EGM on the plaintiff's behalf but the company and/or chairman of the LRH EGM did not allow the plaintiff's proxy to attend,' LRH said in the letter.
A resolution relating to an issue of shares to shareholders in connection with a non-renounceable rights issue undertaken by LRH was passed at the EGM.
'The plaintiff has claimed that in not allowing the plaintiff to attend and vote, the company was in breach of the company's articles of association and the applicable laws, making the resolution invalid and illegal,' added LRH.
As such, TMB Bank Public is asking the court to revoke the resolution and cancel the registration of that resolution.
LRH intends to defend itself against the allegations.
'The company would like to inform you that the company did not breach the company's articles of association or the applicable laws as accused and will appoint legal counsel to submit a statement of defence,' LRH said in the letter.
Banyan Tree Holdings recently reported a loss attributable to shareholders of $4.2 million for the second quarter ended June 30 - down from a $3.5 million profit a year back - as the unstable political situation in Thailand was compounded by the H1N1 flu outbreak and economic weakness.
Second-quarter revenue fell 44 per cent to $59.8 million.
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