Stone Master's Koh 'seizes' company documents from office

KUALA LUMPUR: The boardroom tussle at Practice Note 17 Stone Master Corp Bhd took a dramatic turn yesterday when “ousted” managing director Datuk Koh Mui Tee removed important financial and secretarial documents from its head office in Jalan Klang Lama here.
Koh told reporters, who were tipped off about the goings-on, he did so to protect the documents, which are “important evidence” in the legal suits filed against executive director and single largest shareholder Datuk Karen Lee Fong Yin, second largest shareholder Datuk Eii Ching Siew, and others.
These include financial documents, photocopies of cheques, information in the computer, secretarial and official files, company meeting minutes and circular resolutions.
Koh said the documents are now kept at his legal counsel’s office, which will aid in the investigations related to the lawsuits.
Koh also claimed that the seizure was done in the presence of police. SunBiz was unable to independently verify this.
The main personalities of the boardroom tussle at Stone Master are Fong Yin and Koh. Fong Yin managed to oust Koh and another executive director Datuk Lee Hwa Cheng at an EGM held on May 30, and appoint seven new directors to the company’s board. Koh, however, has rejected the validity of the EGM and insists that the board prior Tuesday’s meeting is intact.
A number of announcements to Bursa Malaysia on the outcome of the EGM released on the day disappeared after a few minutes and since then no announcement has been made on changes in the board and the outcome of the EGM, making it impossible to independently verify the claims made.
Koh justified his action to remove the company documents as “an appropriate emergency action plan that has to be carried out by the management”, and one that does not require any board resolution.
“We’re removing only documents, which are necessary evidence for the court cases filed against Fong Yin and Eii and others. That’s all. The office premises remains there. The business address remains there. The registered office has been changed, which was preplanned at Monday’s board meeting.”
Meanwhile, a fuming Fong Yin, who was met at the office premises, said the company is unable to operate following the incident, accusing Koh of stealing the documents. Fong Yin was not served any notice of the seizure and she said she was locked out of the office where the company documents were held.
“Koh claimed that it’s business as usual but why is he removing all these documents? This is a listed company, you cannot take away things just like that,” she said.
At Tuesday’s EGM, about 91.48% of the shareholders voted for the appointments of Low Eng Tack and Datuk Ng Boon Siong as directors to replace Koh and Hwa Cheng.
Low said yesterday that after securing control of the company at the EGM, which he chaired, they did not have a chance to peruse the documents before they were taken away by Koh.

Ng said: “This has just happened, we have lodged a police report and will seek legal advice on how to deal with this and take the next appropriate action."
He added that the company’s announcements to Bursa were being controlled by Koh.