How did ANDAMAN GROUP SDN BHD come about? Who's the REAL power behind all that's happening in Meda Inc Bhd? Is Meda Inc Bhd doomed?
On 10th Nov 2006, I mentioned about their grand plan to let Meda Inc Bhd sink under heavy debt, together with the lenders, suppliers and others to whom Meda owes money. And their sneaky scheme to put up their new company Andaman Group for listing on the Bursa.
"A Friend" wrote in to give us a closer look at the hanky-panky in Meda Inc Bhd...
"Dear Wendy....you were wrong on one count. The Cova project does not come under the Meda Group, so the sales do not goes to Meda. Most probably you do not know the history of the Andaman Group. Let me set the record straight for you.
Basically Meda went public because they need funds to expand. Meda have been listed on the main board for more than five years and with the funds from the listing you would expect the company to have expanded and have more projects.
If you look deeper the company have no new projects at all. The current projects are the very SAME projects that they have when they got listed.So one would think that the management of Meda and the Directors are sitting on their fat butts doing nothing as there were no new projects. ON THE CONTRARY. TEOH SENG AUN HAVE BEEN VERY BUSY USING THE RESOURCES OF MEDA TO IDENTIFY NEW PROJECTS.
The marketing and project department of Meda have been scouring around for viable projects and they have identified two such projects namely One Subang and the Cova, Kota Damansara.
But instead of injecting these projects into Meda he took it private.He formed the ANDAMAN GROUP using his brothers in law as a front. The brothers in law are Alex Wong, William Wong and Joshua Wong. In fact he is grooming Alex Wong to head the group.
He went further to ensure the Cova project is a success by entering into an agreement with SEGi to rent the apartments from them so that the company can provide guaranteed returns to the purchasers.
The question here is why Teoh Seng Aun(TSA) did not inject the projects into Meda. IT IS VERY SIMPLE. HE WANTS TO ENRICH HIMSELF FURTHER AND HIS FAMILY TOO.
It was also rumored that TSA siphoned RM8 million from Meda to form the Group and till today have not repaid the money back to Meda.In fact the Cova project was obtained through the contacts of Ong Bok Siong who is very close to the people in PKNS or PNSB.
So why is Ong Bok Siong allowing TSA to take the project private instead of injecting into Meda? Has Ong Bok Siong no loyalty to Meda which is paying his fat salary and giving him a luxurious car and a driver? Is he not responsible to the minority shareholders who expect him to perform his duties?
Now we have to ask the other question on what will the authorities do to the Board of Directors of Meda who sit back and allowed TSA to abuse his power as the majority shareholder to misuse the resources of Meda to enrich himself instead of resolving the financial problems of the company?. Are the Directors not guilty of dereliction of duty? What about TSA? As the major shareholder, does he have the authority to determine the direction of the company? What business have he to manage the company? Are all the Directors just figureheads?
The authorities would want to have evidence to investigate Meda. The evidence are actually there for everyone to see, the abuse of power and the arrogance of Teoh Seng Aun, who thinks he can get away with it and that the authorities are IMPOTENT.
Actually the MOTHER of all arrogance of TSA is to have the Andaman Group located on the 18th Floor of Menara Summit, which was the Directors' floor of the Meda and KEB group where at one time ALL the Directors were located. WHY? Because TSA sits on that floor and he wants his pivate company to be located there so HE CAN OVERSEE ITS OPERATIONS.
Next are the transfer of KEY PERSONNEL FROM MEDA. Robert You the COO was formerly with Salcon under Kumpulan Emas, so he cannot be counted. What about the Director of Project Charanjeet Singh who was formerly the Senior General Manager - Project of Meda. Then there is the Senior Manager - Marketing Lau Hon Chong who holds the same position with Meda. The Sales and Administration Manager, Iris Chai, was formerly the Assistant Sales and Administration Manager of Meda. Isn't the transfer of these key personnels a sure sign of abuse of the public listed company?
The final question to be asked is WHAT ARE TEOH SENG AUN'S PLANS FOR MEDA? NOTHING!!!!!. Meda is too heavily in debt to a tune of more than RM200 million to be able to save. He will allow Meda to die a slow and painful death.
Meanwhile he has formed the Andaman Group and he has grand plans for the group.
He is talking about a billon dollar JV in China and more exciting projects. Then he WILL LIST the Group again. DEJA' VU?"
Wendy says:"It will be the same story all over again. Just like Kumpulan Emas (EcoFirst) before, Meda Inc Bhd now and Andaman Group in the future.
"Here's the news report about the RM1billion JV in China. There's no way a newly-formed Sdn Bhd can suddenly find all that money to take on an expensive RM1Billion project unless the funds are improperly obtained.
Tuesday, July 31, 2007
Meda Complex Building given Certificate Of Fitness when not fully completed!
A post from my other (main) blog:
"Anonymous" sent in this contribution in my comments box:"I used to work for Meda Complex, infact I was one of the pioneer staff that open the shopping complex....(some comments removed to maintain confidentiality of the person)...Seriously, the stories that I am reading now are not new and even during those times circa-1997, they were facing a crisis. Rumours were heard that they even had to take an off-shore loan to stay afloat and the architect was forced to certify that the construction for the Complex was completed (when it was only 90%) to avoid late delivery to purchasers."
Notice the word forced.I think this is the Meda Inc Bhd way of doing things. I think that if the authorities want to carry out an inspection of their buildings, Meda Inc Bhd will arrange for some "bonus" for the inspectors and everything will be taken care of. That's what they also do with licences and approvals for their shopping complex and hotel operations.So, you should be careful if you are thinking of buying any of Meda Inc Bhd's condominium or shopping units, such as the Cova Villa, or One Subang, or even Semantan Suites. You won't know whether they have fulfilled all building and construction laws, unless you are an expert yourself.
If you look closely at their Semantan Avenue Suites, the 2 blocks sit on a very tiny plot of land. At the back is a very steep hillslope. I wonder whether the walls behind is strong enough to withstand 2 weeks of continuous rain.
Already, large parts of Johor is under water and KL has seen some aweful landslides.We must not forget the Highland Towers disaster. Developers with a shakey track record and bad reputation should be avoided at all costs, no matter how cheap their apartments or shops are. All it takes is a combination of factors happening all at the same time, and your home will crumble and the lives of your loved ones lost forever. By then, the developer would have enjoyed all the profits and it's too late for you to go after them.
Why did the architect give in to pressure from Meda Inc Bhd to certify the Complex building when it was not ready yet? Was it because the owners offered the architect more money to certify it? Was it because the owners promised payment on time? Did the architect fail to fulfil their professional duty?
Below are our court's findings regarding the guilty parties in the Highland Towers collapse:
Liability:The following were the findings on liability by the Court:
The First Defendant was liable in negligence for not engaging a qualified architect,constructing insufficient and inadequate terraces, retaining walls and drains on the hillslope which could reasonably have been foreseen to have caused the collapse diverting the East Stream from its natural course and failing to ensure the pipe culvert diversion was adequate, and in nuisance for not maintaining drains and retaining walls.
The Second Defendant (Architect) was liable in negligence for not having ensured adequate drainage and retaining walls were built on the hillslope adjacent to the Highland Towers site, which he foresaw or ought to have foreseen would pose a danger to the buildings he was in charge of, in not complying with the requirements of the authorities in respect of drainage, in colluding with the First Defendant and Third Defendant (the Engineer) to obtain a Certificate of Fitness without fulfilling the conditions imposed by the Fourth Defendant (the Local Authority), in so doing not complying with his duties as Architect, and in not investigating the terracing of the hillslopes and construction of retaining walls even though he was aware they would affect the buildings he was in charge of, and also in nuisance as he was an unreasonable user of land.
The Third Defendant (Engineer) was liable in negligence for not having taken into account the hill or slope behind the Towers, not having designed and constructed a foundation to accommodate the lateral loads of a landslide or alternatively to have ensured that the adjacent hillslope was stable, for not having implemented that approved drainage scheme, for colluding with the First and Second Defendants to obtain a Certificate of Fitness without fulfilling theconditions imposed by the Fourth Defendant and also in nuisance as he was an unreasonable user of land.
The Fourth Defendant (Local Authority) although negligent in respect of its duties associated with building. i.e. in respect of approval of building plans, to ensure implementation of the approved drainage system during construction, and in the issue of the Certificate of Fitness, was nonetheless conferred immunity by reason of s95(2) of the Street, Drainage and Building Act.The Fourth Defendant was however not immune in respect of its negligence in carrying out its post building functions of maintaining the East Stream.
This also attracted liability in nuisance.The Fifth Defendant (Arab-Malaysian Finance Bhd) was liable in negligence in failing to maintain the drains on its land, and in taking measures to restore stability on its land after the collapse.The Seventh Defendant (Metrolux Properties) and its Project Manager, the Eighth Defendant, who were liable in negligence and nuisance for preventing water from flowing downhill (into their site) and instead directing water into the East Stream, when they knew or ought to have known that this would increase the volume of water and inject silt, especially where there was extensive clearing on their land, into the East Stream where it would be deposited, which would in turn (as proved) cause or contribute to the failure of the drainage system and collapse of Block 1.
If you're interested you can read more about it here http://www.trett.co.uk/digest/doit.asp?iss=27&art=4
Why developers put people's lives at risk? Simple. To make more profits for themselves, to cut costs.
Just look at the quality of Meda Inc Bhd's properties and you'll know that they have been cutting costs at all four corners.(Cova Villa, Subang One are developed under Pharma Exel Sdn Bhd, which is part of Andaman Group Sdn Bhd, which is owned by the Meda Inc Bhd people.
They don't want to pay their suppliers, but use suppliers' money for other projects. As mentioned in my previous posts, I think they are using Meda funds to finance their Andaman Group projects, with the intention to go for public listing on the Bursa. They know their Meda name is not well-received by share investors. I believe it is illegal to use public-subscription funds for projects that are not under the public-listed company.)Architects can be manipulated to certify completion when it's not fully completed. Engineers can collude with the owners to do less construction work to save costs. Even local authorities can be paid to tutup mata. Who can you trust when you fork out MR200,000 for your investment?
Check the developer yourself. Do your calculations. Ask around. Check their previous property developments and see the (poor) quality. It will save you a lot of pain later.Thank you, "anonymous" for your info. Does anyone else know anything more about this matter?
"Anonymous" sent in this contribution in my comments box:"I used to work for Meda Complex, infact I was one of the pioneer staff that open the shopping complex....(some comments removed to maintain confidentiality of the person)...Seriously, the stories that I am reading now are not new and even during those times circa-1997, they were facing a crisis. Rumours were heard that they even had to take an off-shore loan to stay afloat and the architect was forced to certify that the construction for the Complex was completed (when it was only 90%) to avoid late delivery to purchasers."
Notice the word forced.I think this is the Meda Inc Bhd way of doing things. I think that if the authorities want to carry out an inspection of their buildings, Meda Inc Bhd will arrange for some "bonus" for the inspectors and everything will be taken care of. That's what they also do with licences and approvals for their shopping complex and hotel operations.So, you should be careful if you are thinking of buying any of Meda Inc Bhd's condominium or shopping units, such as the Cova Villa, or One Subang, or even Semantan Suites. You won't know whether they have fulfilled all building and construction laws, unless you are an expert yourself.
If you look closely at their Semantan Avenue Suites, the 2 blocks sit on a very tiny plot of land. At the back is a very steep hillslope. I wonder whether the walls behind is strong enough to withstand 2 weeks of continuous rain.
Already, large parts of Johor is under water and KL has seen some aweful landslides.We must not forget the Highland Towers disaster. Developers with a shakey track record and bad reputation should be avoided at all costs, no matter how cheap their apartments or shops are. All it takes is a combination of factors happening all at the same time, and your home will crumble and the lives of your loved ones lost forever. By then, the developer would have enjoyed all the profits and it's too late for you to go after them.
Why did the architect give in to pressure from Meda Inc Bhd to certify the Complex building when it was not ready yet? Was it because the owners offered the architect more money to certify it? Was it because the owners promised payment on time? Did the architect fail to fulfil their professional duty?
Below are our court's findings regarding the guilty parties in the Highland Towers collapse:
Liability:The following were the findings on liability by the Court:
The First Defendant was liable in negligence for not engaging a qualified architect,constructing insufficient and inadequate terraces, retaining walls and drains on the hillslope which could reasonably have been foreseen to have caused the collapse diverting the East Stream from its natural course and failing to ensure the pipe culvert diversion was adequate, and in nuisance for not maintaining drains and retaining walls.
The Second Defendant (Architect) was liable in negligence for not having ensured adequate drainage and retaining walls were built on the hillslope adjacent to the Highland Towers site, which he foresaw or ought to have foreseen would pose a danger to the buildings he was in charge of, in not complying with the requirements of the authorities in respect of drainage, in colluding with the First Defendant and Third Defendant (the Engineer) to obtain a Certificate of Fitness without fulfilling the conditions imposed by the Fourth Defendant (the Local Authority), in so doing not complying with his duties as Architect, and in not investigating the terracing of the hillslopes and construction of retaining walls even though he was aware they would affect the buildings he was in charge of, and also in nuisance as he was an unreasonable user of land.
The Third Defendant (Engineer) was liable in negligence for not having taken into account the hill or slope behind the Towers, not having designed and constructed a foundation to accommodate the lateral loads of a landslide or alternatively to have ensured that the adjacent hillslope was stable, for not having implemented that approved drainage scheme, for colluding with the First and Second Defendants to obtain a Certificate of Fitness without fulfilling theconditions imposed by the Fourth Defendant and also in nuisance as he was an unreasonable user of land.
The Fourth Defendant (Local Authority) although negligent in respect of its duties associated with building. i.e. in respect of approval of building plans, to ensure implementation of the approved drainage system during construction, and in the issue of the Certificate of Fitness, was nonetheless conferred immunity by reason of s95(2) of the Street, Drainage and Building Act.The Fourth Defendant was however not immune in respect of its negligence in carrying out its post building functions of maintaining the East Stream.
This also attracted liability in nuisance.The Fifth Defendant (Arab-Malaysian Finance Bhd) was liable in negligence in failing to maintain the drains on its land, and in taking measures to restore stability on its land after the collapse.The Seventh Defendant (Metrolux Properties) and its Project Manager, the Eighth Defendant, who were liable in negligence and nuisance for preventing water from flowing downhill (into their site) and instead directing water into the East Stream, when they knew or ought to have known that this would increase the volume of water and inject silt, especially where there was extensive clearing on their land, into the East Stream where it would be deposited, which would in turn (as proved) cause or contribute to the failure of the drainage system and collapse of Block 1.
If you're interested you can read more about it here http://www.trett.co.uk/digest/doit.asp?iss=27&art=4
Why developers put people's lives at risk? Simple. To make more profits for themselves, to cut costs.
Just look at the quality of Meda Inc Bhd's properties and you'll know that they have been cutting costs at all four corners.(Cova Villa, Subang One are developed under Pharma Exel Sdn Bhd, which is part of Andaman Group Sdn Bhd, which is owned by the Meda Inc Bhd people.
They don't want to pay their suppliers, but use suppliers' money for other projects. As mentioned in my previous posts, I think they are using Meda funds to finance their Andaman Group projects, with the intention to go for public listing on the Bursa. They know their Meda name is not well-received by share investors. I believe it is illegal to use public-subscription funds for projects that are not under the public-listed company.)Architects can be manipulated to certify completion when it's not fully completed. Engineers can collude with the owners to do less construction work to save costs. Even local authorities can be paid to tutup mata. Who can you trust when you fork out MR200,000 for your investment?
Check the developer yourself. Do your calculations. Ask around. Check their previous property developments and see the (poor) quality. It will save you a lot of pain later.Thank you, "anonymous" for your info. Does anyone else know anything more about this matter?
SAME UNSCRUPULOUS PEOPLE, OPERATING DIFFERENT COMPANIES
Just watch.
Malaysians will be hearing more of ANDAMAN GROUP and ANDAMAN PROPERTIES.
They will be aggressively developing properties in the Klang valley, Penang and even in China. They will call in the press who will splash big news about their joint ventures all over the place.
ANDAMAN GROUP and ANDAMAN PROPERTIES SDN BHD will be reported to have billions of ringgit worth of property projects, and soon they will want to go on the Bursa.
And Malaysians who don't know anything about the background of the owners will stupidly buy their shares and then regret later on.
Same for those who are looking for properties to buy. Please, for your own good health and happiness, don't buy anything from them.
And especially for contractors and suppliers. If you don't want to wait 10 years (if you are lucky!) to collect your money, I suggest you avoid them. Everyone knows about the MEDA INC BHD reputation. They are the same people who mess up KUMPULAN EMAS and MEDA INC BHD, and now they illegally use the funds to finance the projects at THE COVA at DAMANSARA.
This is because this group is operated by the same three TEOH brothers who own MEDA INC BHD, ECOFIRST CONSOLIDATED, KUMPULAN EMAS and SEGI.
To know more about this group of characters, please go to my main blog.
Malaysians will be hearing more of ANDAMAN GROUP and ANDAMAN PROPERTIES.
They will be aggressively developing properties in the Klang valley, Penang and even in China. They will call in the press who will splash big news about their joint ventures all over the place.
ANDAMAN GROUP and ANDAMAN PROPERTIES SDN BHD will be reported to have billions of ringgit worth of property projects, and soon they will want to go on the Bursa.
And Malaysians who don't know anything about the background of the owners will stupidly buy their shares and then regret later on.
Same for those who are looking for properties to buy. Please, for your own good health and happiness, don't buy anything from them.
And especially for contractors and suppliers. If you don't want to wait 10 years (if you are lucky!) to collect your money, I suggest you avoid them. Everyone knows about the MEDA INC BHD reputation. They are the same people who mess up KUMPULAN EMAS and MEDA INC BHD, and now they illegally use the funds to finance the projects at THE COVA at DAMANSARA.
This is because this group is operated by the same three TEOH brothers who own MEDA INC BHD, ECOFIRST CONSOLIDATED, KUMPULAN EMAS and SEGI.
To know more about this group of characters, please go to my main blog.
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