TALAM hereby announces that a Winding-Up Petition vide Kuala Lumpur High Court Winding Up Petition No. D1-28-417-2008 pursuant to Section 218 of the Companies Act, 1965 was received by Kenshine Corporation Sdn Bhd (“Kenshine”), a subsidiary of Talam from Agnes Hor Po Lian (“the Petitioner”)’s solicitors, Messrs Nur Ashikin Alex & Rakan-Rakan by serving the winding-up petition at Suite 2.05, Level 2, Menara Maxisegar, Jalan Pandan Indah 4/2, Pandan Indah, 55100 Kuala Lumpur on 24 July 2008.
The Petitioner is alleging that Kenshine is indebted to the Petitioner in the sum of RM55,408.20 together with interest of 8% per annum and cost of RM3,882.00.
The Company hereby furnishes the information as required by Bursa Malaysia Securities Berhad for public release:-
1. the sealed copy of the Winding-Up Petition dated 20 June 2008 against Kenshine was served at Suite 2.05, Level 2, Menara Maxisegar, Jalan Pandan Indah 4/2, Pandan Indah, 55100 Kuala Lumpur vide Kuala Lumpur High Court Winding Up Petition No. D1-28-417-2008 on 24 July 2008.
2. the total amount claimed under the petition is RM55,408.20 being the judgment sum, interest and cost included.
3. Kenshine had filed an injunction on 9 July 2008 to injunct the Petitioner’s solicitors from proceeding with the winding-up as the Petitioner’s solicitors has turned down Kenshine’s offer to pay them the judgment sum of RM8,584.52 together with interest and cost as per the actual liquidated ascertained damages (“LAD”) payable under clause 20 of the sale and purchase agreement in accordance with Schedule G of the Housing Developers’ Act, 1966 and the balance would be paid upon the final outcome of Kenshine’s appeal. The Petitioner’s solicitors had obtained judgment on 7 April 2006 in the Kuala Lumpur Sessions Court for the LAD of RM34,815 together with interest of 8% per annum on RM34,815.00 from 1 April 2001 to full settlement and cost of RM3,882.00.
4. Kenshine has provided for the judgment sum of RM55,408.20 to be kept by our lawyer, Messrs Ricky Tan & Co. as stakeholders as evidence of solvency to challenge the petition for winding-up and the amount to be deposited in the court when directed by the high court judge as we are also challenging the judgment by the Kuala Lumpur Sessions Court and we have filed an appeal which is pending to be heard.
5. Kenshine is not a major subsidiary of the Company and the total cost of investment in Kenshine is RM29,387,250.58.
6. the Company do not foresee the amount claimed to have material financial nor operational impact on the Group.
7. Apart from the amount claimed, the Company do not foresee any further losses except for legal costs for both parties.
This announcement is dated 25 July 2008.