(copy refers from https://bursakingcross.wordpress.com/2015/12/01/wintoni-minorities-demand-sc-action-on-sp-setia-and-ecoworld-big-wigs-share-collapse-29/)

(Refers: http://www.bursamalaysia.com/market/listed-companies/company-announcements/4931741)

[Kuala Lumpur, 1 Dec 2015] : According to The Edge Daily, Wintoni Group Bhd [Code: 0141] is unable to submit its 3Q2015 financial statement, which is due on Monday (30th November 2015) due to a loss of data following a recent break-in of its office and the company required more time to seek third party opinion on its 3Q2015's financial statement.

If the company fails to issue the outstanding 3Q2015 financial statement within five market days after the expiry of the deadline, Bursa Securities shall suspend the trading of its shares with effect from 8th December 2015.

Share price collapse with suspension risk heighten

The Ace listed software company saw its share price tank from as high as RM0.425 on 16 March 2015 to as low as RM0.06 on 30 November 2015. The controversial hostile entry of SP Setia Bhd [Code: 8664] and Eco World Development Group Bhd [Code: 8206] top executives, led by Yap Kok Weng and Chang Khim Wah, together with both public listed companies senior management and staff, were being sued for illegal take over and not fulfilling mandatory general offer when these parties working in concert have aggregated over 33% controlling shares of Wintoni according to the law suit.

Yap and Chang entry raises eyebrows among fund managers, which market perceives the illegal act does not fits the big wigs profile, and yet the duo together with the dozens of SP Setia and Eco World staff have proven to be involved in market manipulation. "There are many ways to take over a company, and hostile is the least respected and arrogant method. Yap and Chang under estimated the legal system in this country and overestimated their social status, a mistake that cost not only their reputation but public investors’ fortune at large. They have to pay the cost for illegal trespassing", said a regulatory officer.

[Wintoni Group Bhd historical stock chart. Source: Bursa Malaysia]

Reckless and irresponsible corporate big wigs raise eyebrows

General market perception questions the integrity and trustworthiness of these controversial shareholders, especially Raymond Yap Kok Weng, on their motive of speculation which is clueless and without proper business proposition or taking corporate responsibility into consideration, causing public listed company (Wintoni) loss of business and public investors lost of investments. Yap and his cohorts have ruin their reputation and distrusted the market because of these reckless actions.

“The madness also doesn’t fit Tan Sri Liew Kee Sin profile, despite his finger print is everywhere thanks to his men involvement.” Commented a news reporter refused to be named. “The biased report and omission of certain facts of wrong doing linked to the big shots by local financial papers are amazingly suspicious. Sometimes people does thing beyond imagination, which shows that they are still human being, and human make mistakes and they broke the law, regardless if they are rich or poor,” added the journalist.

Wintoni was formerly known as Winsun Technologies Bhd. The company suffered multiple years of losses and turns profitable last financial year, until a group of hostile shareholders led by Yap came into picture.

Practice of corporate responsibility, statutory and fiduciary duties

Wintoni board of directors on the other hand has shown professional handling of the issues by carrying out their duties in defending stakeholders’ interest. The company is taking legal action against the potential lawbreakers, count Yap and Chang as their leaders, including their lawyer Foong & Partners for failing, refusing and/or neglecting to hand over documents and records in relation to the EGM held on 11 Sept 2015.

Earlier, Yap Kok Weng’s proxy director Anita Chew Cheng Im, resigned being an independent director of Wintoni. Market perceived that the sudden awakening by Anita Chew in view of the damages caused by Yap and associates had crossed the legal boundary.

The company is unable to raise fund due to hostile vote on last AGM by Yap and associates, rejected the company proposal of 132D private placement right. With the new major shareholders showing no sign of either fund the company operation or fulfill their duty with a general offer to comply with capital market ruling, the company has no other avenue to rescue the business. It will be up to the law makers to decide on Wintoni stakeholders’ faith.

A new chapter of corporate governance would be at utmost stress test, and not much option for the minority shareholders except to review their own investment decisions. Perhaps investment public should question the Securities Commission on their options.

[EPress Research review. 1 December 2015]

References:

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(Source: http://www.thestar.com.my/business/business-news/2015/11/13/wintoni-takes-legal-action-to-recover-egm-documents/?style=biz)

KUALA LUMPUR: Wintoni Group Bhd has started legal action against Foong & Partners for failing, refusing and/or neglecting to hand over documents and records in relation to the EGM held on Sept 11.

The automation systems provider told Bursa Malaysia that on Aug 13, 10 shareholders of the company had named Foong & Partners as the return address for the proxy forms in their notice of the upcoming EGM.

“The defendant (Foong & Partners) had taken steps to organise the EGM, including having booked the venue, appointed scrutineers, making arrangements for the attendance of the share registrar and its partners acting as proxy, among others. Following the EGM, the defendant continued to hold on to possession of the meeting documents,” it said.

The meeting documents comprise the attendance lists, proxy forms, poll forms, poll results, and scrutineer’s report.

To recap, the EGM was called to remove Wintoni Group’s entire board of directors. However, all the directors resigned a day before the EGM.

Based on Wintoni’s Bursa announcement on Sept 11, the resolutions to remove the directors were declared as academic by the chairman.

The resolution to remove any director appointed between June 26 (the AGM date) and the tabling of the final resolution to remove a director, was declared and ruled as invalid and was not put to the shareholders.

Wintoni shares shed half a sen to close at 16.5 sen on Friday, with 5.017 million shares traded during the day.