by Parliamentary Opposition Leader, DAP Secretary-General and MP for Tanjung, Lim Kit Siang, in Petaling Jaya on Friday , 30th March 1990:
If MCA leadership had announced acceptance of my proposals before or at the Two Lims meeting, there would have been no need for the disgraceful and dishonourable episode of MCA Rambos disrupting and breaking up the meeting
The MCA leadership has suddenly performed a volte-face on the KSM-MPHB Investment issue in accepting my proposals.
If MCA leadership had announced acceptance of my proposals before or at the Two Lims meeting at the MCA Headquarters last Tuesday, there would have been no need for the disgraceful and dishonourable episode of MCA Rambos, led by the Liong Sik loyalists like MCA National Treasurer, William Chek and MCA Deputy Secretary-General, Chua Jui Meng, disrupting and breaking up the meeting with their unruly, ill-mannered and indisciplined behaviour.
There would have been no for the Ling Liong Sik faction in MCA to stage a ridiculous demonstration by so-called KSM-MPHBIF unitholders shouting abuses opposing my proposals, which are to be officially accepted as MCA policy two days later.
Is the Ling Liong Sik faction now going to get these same unitholders to go the MCA Headquarters to stage a demonstration against the MCA leadership for accepting my proposals?
DAP brought two proposals to MCA Headquarters which are now official MCA policy
Lee Kim Sai said he was not present at the Two Lims meeting at the MCA Headquarters on Tuesday, because I did not ask to meet him, but only Ling Liong Sik. But this did not prevent the MCA Rambos, William Chek and Chua Jui Meng, and even Liong Sik’s political secretary, Ong Kah ting, from taking over the proceedings, as if the MCA President was incompetent and cannot be trusted with handling the situation!
I went to the MCA Headquarters to meet Liong Sik with two concrete proposals:
Firstly, to tell the MCA national leadership that it owes the 50,398 unitholders a moral responsibility and that it should take a public stand to support the sale of the 147.98 million MPHB shares en bloc to fetch a premium price after the ‘share-for-share’ exchange;
Secondly, that the KSM Receivers should amend their court application to entrust and empower the Manager of the Investment Fund to sell the 19.7 per cent stake in MPHB en bloc at premium price after the ‘share-for-share’ exchange.
I handed these proposals which I had incorporated in a paper which I had specially prepared for the meeting, entitled ‘Position and Proposal with regard to the KSM-MPHBIF’ to Ling Liong Sik at the meeting at the MCA Headquarters.
The MCA top party leadership, in an emergency meeting yesterday, had now accepted both these proposals, as announced by MCA Deputy President, Datuk Lee Kim Sai. I am glad that the MCA top party leadership has now recognised my contention that it has a ‘moral responsibility’ to work for the best deal for the 50,398 unitholders.
Demand for Public Apology by the MCA Newspaper for their campaign of Lies and Distortions
I must nonetheless deplore the campaign of lies and distortions by the MCA newspapers which through headlines, reports and commentaries, accused me of not forwarding any proposal at the Two Lims meeting. I demand that these MCA newspapers publicly apologise for their campaign of lies and distortions against me in the past two days?
Up till yesterday, MCA leaders through their newspaper columns were pouring ridicule and scorn on my argument that selling the 147.98 million NPHB shares en bloc at premium price will be in the better interest of the unitholders instead of sale individually by retail on the open market. I had said that the dumping of the 147.968 million MPHB shares on the market through individual sale by retail may force down the MPHB share price to $1 per share or lower, while its sale en bloc at premium price should able to fetch $2 per share or higher.
The MCA leaders through their newspaper columns counter-argued that I had ignored the reverse possibility of a very inflated stock market, where the MPHB share price exceeds $2 a share. These MCA leaders do not understand that in such I situation, where the individual retail sale of the 147.98 million MOHB shares could be transacted at $2 a share, then its sale en bloc at premium price should fetch $3 a share or more. It is pathetic to follow the twists and turns of shallow minds in the MCA national leadership!
Main object to persuade, convince or shame Liong Sik to abandon MCA’s irresponsible and immoral position
My main objective in meeting the MCA President last Tuesday was to persuade, convince or shame him into moving away from the irresponsible and immoral MCA position that the unitholders are to be left on their own to decide to keep or individually sell their MPHB shares.
I am glad that I have succeeded and that the MCA leadership has now accepted my view and recognised that the present proposal of the KSM Receivers which was earlier approved by the MCA leadership and publicly hailed by Ling Liong Sik as the “best solution possible” is just not good enough.
Now that the MCA leadership has again recognised its “moral responsibility” to the unitholders, the MCA leaders should retract Ling Liong Sik’s denial of the statement by the KSK Receivers, Khoo Eng Choo, that three companies had shown interest to buy the 19.7 per cent stake of MOHB-unless they could get Eng Choo to admit that he had been misreported himself.
At his press conference after the break-up of the Two Lims meeting at the MCA Headquarters on Tuesday, a reporter told Ling Liong Sik that he was present at Khoo Eng Choo’s press conference two weeks ago, and Khoo Eng Choo distinctly and definitely had said tat three companies had shown interest in buying the 19.7 per cent stake. Liong Sik was speechless.
MCA leadership should publicly declare whether the KSM Receivers have agreed to accept the DAP proposals which have now been endorsed by the MCA leaders
Now that the MCA leadership has come around to the DAP stand that the 50,398 unitholders are entitled to the best price for their 147.98 million MPHB shares, which could not be obtained if they are sold individually in retail on the open market, we can move to the nest stage of discussing the mechanics of how best to get the best possible price through their group ownership of a strategic 19.7 per sent stake of MPHB.
In the application to the Kuala Lumpur Court, the KSM Receivers should also provide for the option for the unitholders to appoint a special Trust Management Committee to manage the 147.98 million MPHB shares, including its sale en bloc to the highest bidder, if the KSM Receivers are not prepared to carry out this task.
The unithoders can even consider the option of using their strategic block of 19.7 per cent stake in MPHB, not only to get the best price in an en bloc sale, but to demand a full and effective role in the management and policy-making of Multi-Purpose Groups of Companies until there is the best and highest price offer for the shares en bloc.
Arising from its ‘moral responsibility’ for the best interests of the 50,398 unitholders, the MCA leadership should publicly declare whether the KSM Receivers are prepared to make the necessary amendments to their court application to incorporate the DAP’s proposals, which have now been endorsed by the MCA leadership.
Public slap in the face Liong Sik
I note that Lee Kim Sai has denied that the MCA’s new position on the KSM-MPHBIF is based on my proposals all along. I am not going to enter into an argument with him on this. Be that as it may, the new position taken by the MCA leadership announced by Kim Sai yesterday is clearly a public slap in the face for the MCA President, Datuk Dr.Ling Liong Sik, and the MCA Rambos like William Chek and Chua Jui Meng.
I only hope tat the MCA leadership will in future show greater responsibility in matters not only affecting the Chinese community as a whole, but MCA members themselves.