THREE directors of Dasin Retail Trust’s trustee-manager, including the chairman of the board, denied allegations of misconduct made by Zhang Zhencheng, a non-executive director and shareholder of the trustee-manager as well as a substantial unitholder of the trust.
The trustee-manager said on Friday (May 3) that the trio responded on Thursday to the letters of demand issued on behalf of Zhang saying that there is no reason for them to accede to his demands.
The letters of demand were issued on Tuesday to board chairman and non-executive director of the trustee-manager Wesley Kong; chairman of the nominating and remuneration committee and independent and non-executive director Sonny Tan; and non-executive director Lyu Guoliang.
The alleged misconduct of the trustee-manager’s affairs included the trust’s ongoing restructuring exercise, the incurrence of expenses by the trustee-manager, the alleged failure to transfer units in the trust said to be held by the trustee-manager on trust for Zhang to him, as well as the recent appointment of Wang Peng as chief investment officer and acting chief executive and attempt to appoint him as a replacement director for the Singapore subsidiaries of the trust.
Zhang also demanded their resignation as members of the board.
Last week, the trustee-manager received letters dated Apr 24 from a credit facility provider exercising its right to repossess two properties over the outstanding amount owed by its trustee-manager for its offshore facility. The two properties were held by Zhang.
GET BT IN YOUR INBOX DAILY
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
In January, Zhang’s nephew Zhang Guiming issued a letter of demand to the trustee-manager in relation to alleged outstanding payments under two short-term advance agreements.
While the trustee-manager is seeking legal advice, it received a winding-up application filed by Zhang Guiming in February.
Dasin Retail Trust : CEDU 0% requested lifting its trading halt before the market opened on Friday. As at 9.20 am, its units were trading down 4 per cent or S$0.001 at S$0.024.
