A further six questions for Ling Liong Sik on the KSM-Multi-Purpose Holdings Bhd Investment Fund (KSM-MPHBIF)

by Parliamentary Opposition Leader, DAP Secretary-General and MP for Tanjung, Lim Kit Siang, in Petaling Jaya on Wednesday, 21st March 1990:

A further six questions for Ling Liong Sik on the KSM-Multi-Purpose Holdings Bhd Investment Fund (KSM-MPHBIF)

MCA President, Datuk Dr.Ling Liong Sik, has completely evaded my eight questions to him about the KSM-Multi-Purpose Investment Fund (KSM-MPHBIF)

I dismiss as not worthy of comment his allegation that I have ulterior political motives n putting to him eight questions about the KSM-MPHBIF. Although the DAP is not involved with the KSM and MPHBIF, the DAP will speak up against injustice, including injustice to ordinary MCA members who had in the past been misled by the ‘sweet and honeyed words’ of MCA leaders to invest their life-savings in the KSM and the MPHB, not to mention the MCA-Sponsored co-operative finance companies.

DAP will always defend MCA members from being cheated of their rights and hard-earned savings by
MCA leaders

Let Datuk Dr.Ling make no mistake about it: DAP will always defend the MCA members from being misled and cheated of their rights and hard-earned savings by MCA leaders.

Liong Sik said that up till now, the KSM receivers had not informed him of the three companies which were interested in the 19.7 per cent stake in the MPHB which would be owned by the 50,398 KSM-MPHBIF after the dissolution of the Fund.

This is unbelievable. If the KSM receivers, Khoo Eng Choo of Price Waterhouse, could make a public announcement that three locally incorporated public-listed companies were interested in buying the 147.98 million MPHB shares (representing 19.7 per cent stake of MPHB) that would be owned by the 50,398 unit holders, how is it the MCA President knew nothing about it?

If the MCA President did not know the background of the receivers’ solution, how could Liong Sik publicly welcome the receiver’s solution on 14th March with these words:” I do not see any other way to solve the problem. This is the one and only solution.”?

Did Liong Sik make this statement without knowing what the solution was all about?
Liong Sik denied that there was anyone from the top MCA leadership who has been appointed as Kamunting Chairman at the salary of $35,000 a month. I never said there was any such appointment and the MCA President had deliberately misunderstood my question, which was:”Is it true that Kamunting has promised to reserve the position of Kamunting Chairman at a salary of $35,000 a month to a top MCA leader?”

In view of Liong Siong’s evasion and failure to answer my eight questions to him three days ago, I have now a further six questions to Liong Sik on the KSM-MPHBIF issue:

Is Liong Sik claiming that he was never briefed about the details and background of the receivers’ formula for the 50,398 unit holders, that he never bothered to find out and was not interested to know anything about it.

If this was the case, how could he publicly approve and recommend to the 50,398 unit holders that the receivers’ solution was the best solution?

Isn’t it the duty of the MCA President and the entire MCA national leadership to work closely with the receivers to ensure that the 50,398 unit holders get the best possible deal, so that the unit holders suffer the minimum financial loss after being so loyal to the Fund for 10 years? If this is the case, how could Liong Sik explain his political negligence and irresponsibility where the MCA leadership was not involved in the process to find a satisfactory solution for the 50,398 unit holders?

Is Liong Sik prepared to openly declare that he would not side Kamunting and that he is not opposed to the 19.7 per cent stake of MPHB being sold to any one of the three companies mentioned by the receivers as interested?

Is Liong Sik prepared to publicly state that he supports the sale of the 19.7 per cent stake in one block to fetch a premium price in the best interest of the 50,398 unit holders?

Is Liong Sik prepared to get all MCA Minister and national leaders to take a public oath that they would never, in the future, take up any appointment in Kamunting?

Liong Sik asked yesterday what proposals do I have. I have a very simple one. The KSM receivers are applying to the Kuala Lumpur High Court for the power to summon a general meeting if unit holders to dissolve the KSM-MPHBIF, and distribute in exchange one MPHB share for one unit of the Investment Fund.

What the receivers should do is to amend their court application to entrust and empower the receivers to sell the entire lot of 147.98 million MPHB shares in one bloc to the highest bidder and at a price of not lower than $2.05 per share to look after the best interests of the 50,398 unit holders.

The ball is back in the court of Liong Sik.