#Update 3* CHGS founder gets 99% votes to end oil palm scheme

  • Tuhan Harun case postponed again to July 22 – Bernama
    Tuhan Harun case postponed again to July 22 – Bernama

    The Lower Shariah Court today postponed again the case of leader of the “Tuhan Harun” deviant sect, Harun Mat Saat, to July 22. Judge Abdul Wahid Mohd Ali set the date after hearing the application from Pahang Islamic Religious Department deputy prosecutor Mohd Fahmi Abd Jalil that he needed more time to examine the legal representation... …

  • What if flight MH370 is never found?
    What if flight MH370 is never found?

    Despite assurances from Malaysia and Australia that the search will continue for Malaysia Airlines flight MH370, the lack of significant leads after almost seven weeks are leading many to ask: What if the jetliner that disappeared over the southern Indian Ocean is never found? At the start of the massive international search effort, such a... …

  • New law to give Sarawak natives freedom in purchasing customary rights land
    New law to give Sarawak natives freedom in purchasing customary rights land

    Bumiputera from Sarawak could eventually buy Native Customary Rights (NCR) land outside their ethnic group or community when the state amends its Land Code in November. Chief Minister Tan Sri Adenan Satem (pic, right), in disclosing the government's intention to table the amendment at its Budget sitting, said with the amendment the Iban, for... …

  • Cops cannot declare May Day rally illegal, lawyer says
    Cops cannot declare May Day rally illegal, lawyer says

    KUALA LUMPUR, April 24 — There are no provisions under the Peaceful Assembly Act (PAA) 2012 that allows the authorities to declare the anti-GST rally planned for May 1 as illegal, human rights... …

  • On May Day, trade unions to rally against GST, TPPA
    On May Day, trade unions to rally against GST, TPPA

    SUBANG JAYA, April 24 — The Malaysian Trades Union Congress (MTUC) announced today a May Day rally to protest against Putrajaya’s newly-approved consumption tax system and a US-led free trade... …

  • Rafizi rips apart deputy minister's grant denial

    A PKR leader has pointed out that Abu Bakar Mohamad Diah referred to grant recipients from a different time period when denying that RM100 million was allocated to a firm purportedly favoured by Prime Minister Najib Abdul Razak. Rafizi Ramli also questioned if this was an oversight on the part of the science, technology and innovation deputy minister or a deliberate attempt to put a lid on the matter. In a statement today, the PKR director of strategy said Abu Bakar (left) disclosed to the …

KUALA LUMPUR (Feb 8): An overwhelming majority of Country Heights Growers Scheme (CHGS) shareholders adopted the resolution to terminate a failed oil palm scheme early after a long drawn heated debate and voting today.

The resolution was passed with 98.98% votes cast in favour of the move at an extra-ordinary general meeting today. This was equivalent to RM57.26 million worth of shares being cast.

After the results were announced, founder of the investment scheme Tan Sri Lee Kim Yew said, "I'm happy that everyone is happy. This is not about my reputation, but about my responsibility to the growers."

Lee said that he will put CHGS plantation land up for an open tender to sell it as soon as possible. He added that his “goodwill” offer would be an outright net loss for him.

"As far as investors go, they are unhappy that the scheme did not work in the long term. Nevertheless, they are happy they can get back their money quickly. It is a fair deal," said J.D. Menon, representative for the shareholders at the EGM.

Many shareholders were also eager to take Lee’s "goodwill" offer and cut their losses.

Immediately after the meeting, founder Tan Sri Lee Kim Yew sent a letter of undertaking to the media to state that he will honour his verbal promise on the “goodwill” offer.

Lee's “goodwill” offer is to return 90% of shareholder's capital to them within six months, as well as a RM25 million payout which works out to be 11.6% yield.

Lee's offer was seen by many shareholders as an easy way out of the failing scheme. But many did not get to know what they came for – an answer on the scheme's failure.

Earlier at the meeting, Lee had evaded questions calling for him to explain the failure of the scheme at Gua Musang, Kelantan. After the results were out, he maintained silence on this when approached by theedgemalaysia.com.

"I don't want to talk about why the yield is so bad. I just want to establish that the bad yield is the trust, so shareholders can determine if they want to terminate the scheme," said Lee amid a tensed meeting with disgruntled shareholders.

In the morning, Lee also encountered resistance from a small pocket of shareholders who were dissatisfied with the last minute nature of Lee's offer. They called for the vote to be postponed to a later date so that Lee's offer could be included in the circular.

Lee however noted that his offer was made strictly in his personal capacity and not part of the resolution today. On top of that, his “goodwill” package is conditional upon the resolutions being passed today.

Some shareholders said that they felt bullied into making the decision, but were contented with the offer as it would allow them to get their money back sooner.

After a long three-hour meeting peppered with emotionally charged discussions, more than 1,500 shareholders cast their votes.

"If I can recover all my capital, it is enough for me. Including the RM25 million sweetener and the yield I have been collecting since the scheme started, my investment has returned about 60%," one shareholder told the Edge.

Some other shareholders were skeptical about Lee's personal guarantee to return the funds promptly, but Lee insisted that he would be able to pay the monies back to shareholders.

Follow @YahooMalaysia on LINE for daily news updates.

Comments on Yahoo pages are subject to our link to Comments Guidelines. You are responsible for any content that you post. Yahoo is not responsible or liable in any way for comments posted by its users. Yahoo does not in any way endorse or support comments made by its users.

  • MH370 passenger’s partner tells of strange email from sacked Fox officer The Malaysian Insider
    MH370 passenger’s partner tells of strange email from sacked Fox officer

    The partner of an American passenger aboard the missing Malaysia Airlines flight MH370 has spoken about how a Fox executive who was recently sacked by the news station had contacted her offering to raise funds on her behalf. Sarah Bajc, whose partner Philip Wood is among the 239 people on board the missing plane, told the Sydney Morning Herald... …

  • My last moments with Pa: Ramkarpal Singh The Malaysian Insider
    My last moments with Pa: Ramkarpal Singh

    A week after the tragic crash that took the lives of veteran lawyer and politician Karpal Singh and his personal aide, Michael Cornelius, his son Ramkarpal recounts the final hours with his father that fateful day. This is his story, as told to V. Anbalagan, assistant news editor. “My parents (Karpal and Gurmit) had gone to Pantai Hospital... …

  • Absolute power corrupts absolutely, Dr Mahathir reminds current leaders The Malaysian Insider
    Absolute power corrupts absolutely, Dr Mahathir reminds current leaders

    Malaysian leaders have been reminded not to look down on the public’s capability to topple a corrupt government as what had happened in the Middle East during the Arab spring, warned Tun Dr Mahathir Mohamad (pic). In his latest blog posting today, the country’s longest serving prime minister said that monarchs and dictators in the Middle East... …