In the same announcement, Raffles Education said its net current liabilities position “will not likely pose material uncertainty” on itself as a going concern.
This latest development in the former investors’ favourite is taking place amid a multi-year fight between Chew Hua Seng, the company’s founder and CEO, and tycoon Oei Hong Leong, who has built up a position as the company’s second largest shareholder.
Oei, banking on his stake of more than 10%, has tried multiple times to ask for an EGM to be held so that he can oust Chew.
Oei has alleged that Chew did not make good his promise to find a buyer to take from Oei his stake in Raffles Education at 44 cents per share.
Meanwhile, the company has been served with a RM410 million writ and statements of claim by Affin Bank in Malaysia, for a loan taken out by Raffles Education’s subsidiary.
The filing was made in May but the disclosure was made only in July.
2004 file photo of Lim How Teck / The Edge Singapore
