Pine Capital Group’s former interim CEO Tan Choon Wee is seeking to appeal the court decision that allowed his removal as director of subsidiary Advance Capital Partners Asset Management (ACPAM).
In early April, Tan had served the company with a writ of summons from the High Court of Singapore alleging ACPAM had unfairly discriminated against or was prejudicial to his interests, the company said in a filing to SGX Tuesday. Pine Capital owns 51 percent of ACPAM.
Tan had pointed to the extraordinary general meeting (EGM) on 5 April which had removed him and Lin Kuan Liang Nicolas as ACPAM directors and appointed replacements, and he later sought an injunction invalidating those changes, Pine Capital said.
Pine Capital said it then applied for a Court order for another EGM to ratify the 5 April decisions, which were passed at a 10 May meeting.
Tan’s injunction application was then dismissed by the Court, and he was ordered to pay costs to the company, but he has now filed an application for leave to appeal to the Court of Appeal against the decision to remove him as a director of ACPAM, the company said.
Tan did not immediately respond to Shenton Wire’s request for comment, which was sent via what is believed to be his LinkedIn profile; the message was sent outside of office hours.
Pine Capital said it didn’t previously announce the events due to the Court restraining disclosure, but those interim orders were discharged after the 10 May EGM.
“The company would like to clarify that it had requisitioned the 5 April EGM due to the board having received numerous allegations from various parties concerning the operations of ACPAM, including allegations in respect of potential conflict of interest and possible lapses in internal control,” Pine Capital said.
It added that Tan was also reprimanded by the Monetary Authority of Singapore in April for omitting material information in a capital markets services license application, which made the application misleading, and for failing to discharge his duties as a CEO and director.
Despite a July 2018 MAS reprimand for being repeatedly late with regulatory submissions, ACPAM continued to be tardy with its filings to the regulator, the central bank said.
“The company is currently seeking legal advice from its legal advisers and will, in consultation with its legal advisers, take such steps as necessary to vigorously defend the action and the leave application,” Pine Capital said. “At this juncture, the financial impact, if any, arising from these legal proceedings cannot yet be determined.”
In March, Tan had resigned as interim CEO and executive chairman of Pine Capital ahead of an attempt to oust him from the asset management group.
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