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            T R O U B L E D   C O M P A N Y   R E P O R T E R

                        A S I A   P A C I F I C

                 Tuesday, April 17, 2001, Vol. 4, No. 75


                               Headlines

A U S T R A L I A

ANSETT AIRLINES: CASA Grounds 10 Aircraft
HIH INSURANCE: Insured Law Firms Retained In New Deal
MONTEATH PROPERTIES: To Go Into Liquidation


C H I N A   &   H O N G  K O N G

ASIA COMMERCIAL: Winding Up Petition
CHINA BICYCLE: Company's Status Still Unconfirmed
ON SHING: Winding Up Petition To Be Heard
SIDCO ALUMINUM: To Face Winding Up Petition
YUET WING: Winding Up Petition Hearing Sked


I N D O N E S I A

BARATA INDONESIA: Debt Restructuring Ends
HISTAKA KARYA: Completes Debt Restructuring
HUTAMA KARYA: Completes Debt Restructuring
JABABEKA GROUP: Completes Debt Restructuring
SEAMLESS PIPE: Completes Restructuring, FSPC Says


J A P A N

MYCAL CORPORATION: Posts Y87.29-B Net Loss
TAKEDA CHEMICAL: To Liquidate HK Unit


K O R E A

HYUNDAI ENGINEERING: Fate Uncertain Despite Gov't Efforts
HYUNDAI ENGINEERING: New Aid Package Offered
HYUNDAI HEAVY: Guarantee Contract For Hynix Troubling
HYUNDAI LIFE: Panel To Probe Kia Stake Purchase


M A L A Y S I A

ABRAR CORPORATION: To Face Case Before Industrial Court
KELANAMAS INDUSTRIES: Court Orders 90-Day Extension  
MAI KAH: Court Orders Stay Of Winding Up
MAN YAU: SC OKs Proposed Acquisitions
NGIU KEE: Subsidiary Disposes Of Assets
SISTEM TELEVISYEN: MRCB To Retain Control
SOUTHERN PLASTIC: Inks MOU With MAFA
UNITED ENGINEERS: Reports Details Of Submission Deferment


P H I L I P P I N E S

PILIPINO TELEPHONE: SEC Warns of Possible Penalties
TRUST PAPER: Debt Papers Get `Poor' Rating

S I N G A P O R E

GUIZHOU LION: Goes Into Voluntary Administration
TONG TIEN SEE: Sues Directors


T H A I L A N D

METROPOLIS TRUST: Bankrupt, Court Declares
THAI-ASIA FUND: Posts Losses Of US$5.725M
THAI HEAT: Rehab Plan In Works

     -  -  -  -  -  -  -  -  -   

=================
A U S T R A L I A
=================


ANSETT AIRLINES: CASA Grounds 10 Aircraft
-----------------------------------------
The Civil Aviation Safety Authority (CASA) grounded 10 Boeing 767
Ansett Airlines aircraft over the weekend, until the losing
airline can provide proof it has resolved its "sloppy maintenance
procedures", The Times reported yesterday.

The ANSETT sanction upset about 50,000 ANSETT passengers, further
hurting the airline's business standing in Australia's aviation
sector.

ANSETT has about two weeks to prove its worthiness to operate,
otherwise it will face a shut down.

A year ago, Air New Zealand-owned ANSETT was sideswiped in
competition by low-cost carriers, Virgin Blue and Impulse
Airlines. It suffered another blow when "pivotal routes" from
Sydney to Melbourne and Brisbane.


HIH INSURANCE: Insured Law Firms Retained In New Deal
-----------------------------------------------------
HIH-insured law firms will be retained in a new agreement with
the New South Wales Law Society, ABC News Online reported last
Saturday, citing ACT Government.

ACT Attorney-General Bill Stefaniak told ABC, "We will still see
the after-effects of the HIH bust in a lot of ways, but that
might take years to actually ascertain. That's always the way
when a big company goes belly up."

Last month, HIH Insurance went into provisional liquidation.


MONTEATH PROPERTIES: To Go Into Liquidation
-------------------------------------------
Monteath Properties and Fieldmont Holdings Pty Ltd, flagship
companies of property developer Bruce Monteath, might be placed  
into liquidation by creditors with combined debts of over $30
million, The West Australian reported last week.

Meanwhile, the Australian Taxation Office has called in South
Perth accountant Guy Pollitt as liquidator of Gabstone Pty Ltd, a
Monteath-run company that owns major assets of Old Papa's Caf‚ in
Fremantle.


================================
C H I N A   &   H O N G  K O N G
================================


ASIA COMMERCIAL: Winding Up Petition
----------------------------------------
Asia Commercial Watch Company Limited is scheduled to appear for
a winding up petition before the High Court of Hong Kong on April
25, 2001. It was filed February 13, 2001 by the Asia Commercial
Company Limited of 1708 Dominion Centre, 43-59 Queen's Road East,
Wanchai, Hong Kong.


CHINA BICYCLE: Company's Status Still Unconfirmed
-------------------------------------------------
After posting net losses for four straight years, Shenzhen China
Bicycle (Holdings) Company Limited has yet to receive a notice
from the China Securities Regulatory Commission or the Shenzhen
Stock Exchange confirming the company's status, said an AFX
report Friday last week, citing company secretary Li Hai.

In an interview with AFX Asia, not one of the agencies mentioned
has clarified or instructed if Bicycle would be moved to PT
(particular transfer) category, or subject to delisting.

Bicycle's 1999 annual results recorded 200.1 million yuan in net
profit. According to Li, a revision was made in compliance with a
new accounting rule, which dropped the figure to 166.3 million
yuan in net loss because Bicycle wasn't allowed to record its
write-off of foreign debts worth US$60 million as earnings.

"However, I must remind you," he continued, "that investing in
our company entails great risk, because the company has a lot of
debts and many problems. It seems impossible that the company
could return to profit of its own accord."

Following Chinese accounting standards, China Bicycle incurred a
net loss of 178 million yuan in 2000, with a net asset value of
negative-60 million yuan. Its debts stood at 2.52 billion yuan.


ON SHING: Winding Up Petition To Be Heard
-----------------------------------------
The winding up petition against On Shing International (Hong
Kong) Company Limited is scheduled to be heard before the High
Court of Hong Kong on May 16, 2001. The petition was filed on
March 7, 2001 by Choi Man Pun of Room 3403, Kam Wai House, Kam
Fung Court, Ma On Shan, New territories.


SIDCO ALUMINUM: To Face Winding Up Petition
-------------------------------------------
Sidco Aluminum (Holdings) Limited is scheduled to face a winding
up petition before the High Court on Hong Kong on May 2, 2001.
The petition was filed on February 19, 2001 by Chan Suet Na of
Flat C, 24th Floor, Hong Shing Court, Sun Hing Garden, Tai Po,
New Territories.


YUET WING: Winding Up Petition Hearing Sked
-------------------------------------------
The winding up petition against Yuet Wing (International) Trading
Limited will be heard before the High Court of Hong Kong on May
9, 2001. The petition was filed on February 28, 2001 by Sin Hua
Bank Limited, No. 2A Des Voeux Road Central, Hong Kong.


=================
I N D O N E S I A
=================


BARATA INDONESIA: Debt Restructuring Ends
-----------------------------------------
PT Barata Indonesia has completed its debt-restructuring program
with Indonesian Bank Restructuring Agency (IBRA), the Financial
Sector Policy Committee (FSPC) said in a Bisnis report.

The completed exercise involved a total of Rp160 billion in
debts, and is expected to bolster the state firm's business
conditions, while meeting its tax obligations and settling debts
to IBRA and its shareholders.


HISTAKA KARYA: Completes Debt Restructuring
-------------------------------------------
Pt Histaka Karya has completed its debt restructuring exercise,
which involved a total of Rp477 billion, with Indonesian Bank
Restructuring Agency (IBRA), Bisnis reported citing an FSPC
official.

Histaka is one of the eight state firms handled by IBRA that have
completed the process, conducted through cash settlement and
customary restructuring.


HUTAMA KARYA: Completes Debt Restructuring
------------------------------------------
State firm PT Hutama Karya has completed its debt restructuring
exercise, which involved a total amount of Rp700 billion with the
Financial Sector Policy Committee (FSPC), Bisnis reported, citing
an FSPC official.

FSPC Secretary Syafruddin Arsyad Temenggung said , "The
restructuring of the state firms was requested by the state firms
supervisor, the Finance Minister, who wished to maintain the
companies' going concern."

It was hoped, he added, that with the completion of the
restructuring exercise, the firm's business performance would
normalize and earn the company favorable results."The firms are
also expected to meet their obligations to IBRA and distribute
dividends to the shareholder, in this case the state," he said.

The Indonesian Bank Restructuring Agency (IBRA) handled the
company's debt restructuring program.


JABABEKA GROUP: Completes Debt Restructuring
--------------------------------------------
The Financial Sector Policy Committee (FSPC) announced Thursday
last week that it has completed the debt restructuring of
Jababeka Group, Bisnis reported. According to FSPC, this was
completed through the usual restructuring pattern as covered by
the Jakarta Initiative Task Force Scheme.

Jababeka's debt restructuring program involved, among others,
Rp108 billion, and US$109 million, including a general term loan,
Bisnis said.


SEAMLESS PIPE: Completes Restructuring, FSPC Says
-------------------------------------------------
FSPC has announced that PT Seamless Pipe Indonesia has completed
its restructuring program, Bisnis reported. According to
Syafruddin Arsyad Temenggung, secretary of the FSPC, Seamless's
restructuring was "a follow up of FSPC's decision made on  
December 12, 2000," the report said. That decision suggested that
the company provides IBRA a share portion of equivalent to 45
percent.


=========
J A P A N
=========


MYCAL CORPORATION: Posts Y87.29-B Net Loss
------------------------------------------
Mycal Corporation announced Friday last week that the company
recorded Y87.29 billion in consolidated net loss for the year
ended in February, Japan Times Online reported yesterday. This is
the third consecutive year Mycal has reported a loss.

The figure was attributed to a rise in non-operations expenses
which led to a pre-tax loss amounting to Y6.79 billion, a rise of
101.1 percent, notwithstanding a consolidated operating profit of
Y19.04 billion.

The troubled retailer expects to post a combined consolidated net
and pretax profits of Y1 billion, from a group turnover of Y1.62
trillion.

Due to the year-end results, Mycal will not issue dividend
payments.


TAKEDA CHEMICAL: To Liquidate HK Unit
-------------------------------------
Takeda Chemical Industries Limited (TSE:4502), a manufacturer of
pharmaceutical products, announced that the company has decided
to liquidate Takeda IMC Chemical Limited, a sales subsidiary
based in Hong Kong later this year, Jiji Press reported Friday
last week. Another sales subsidiary Takeda Chemical Industries
(Taiwan) Limited will take over operations and staff.

This exercise is part of the parent company's program to
streamline its operations.


=========
K O R E A
=========


HYUNDAI ENGINEERING: Fate Uncertain Despite Gov't Efforts
---------------------------------------------------------
American brokerage firm J.P. Morgan said Friday last week that
the fate and future of Hyundai Engineering and Construction
remain bleak, Korea Herald reported over the weekend. "Despite a
recent government move to rescue Hyundai Construction from its
insolvency crisis, a steep acceleration in the lame duck
phenomenon surrounding the President Kim Dae-jung government may
hinder the subsequent bailout efforts," Morgan said in its report
on the Korean economy.

Morgan recommended that the government must determine the ailing
construction firm's market viability first to achieve the desired
end of the current reforms taken. Morgan also cited the support
of domestic and foreign creditors as invaluable in the
government-led bailout operations.

"But it is questionable whether foreign creditors and small-time
domestic lenders would fully cooperate in the bailout effort,"
said Morgan.


HYUNDAI ENGINEERING: New Aid Package Offered
--------------------------------------------
Hyundai Engineering and Construction Company (HEC) will receive
another aid package from its creditors, Korea Herald reported
yesterday, citing a creditor bank official. The package will
contain an extension of the maturity of the company's debts worth
W1.4 trillion to the year's end. It will also call for an
interest rate reduction to 9.75 percent, which would mean a W43
billion of annual savings from interest payments.

This new aid package was made based on a financial management
team's report delivered on April 6 to the company. According to
the official, this new package will be finalized in a general
creditors' meeting within the week, Herald reported.

In addition to the extension and interest rate reduction, the
creditors will pursue the issuance of bonds amounting to $49.2
million to secure provision of a payment guarantee against the
company's building projects abroad.

"After the bond issue, the creditors will request HEC's foreign
creditors, suppliers and subcontractors to roll over the
company's debts," the bank official stated.


HYUNDAI HEAVY: Guarantee Contract For Hynix Troubling
-----------------------------------------------------
Shipbuilding giant Hyundai Heavy may face troubles due to its
guarantee contract on behalf of Hynix Semiconductor, Korea Herald
reported last Saturday.

The trouble will come when, in all likelihood, Hynix defaults on
payment for the procurement of HSA-supplied wafers, as the
contract, according to creditors and market analysts, is a
virtual payment guarantee. However, officials of Hyundai Heavy
say the contract is intended to cover commodity purchases only. A
Hynix default will drain Hyundai Heavy's coffers.

A report by Daewoo Securities further added, "Downgrades of
investment opinions for Hyundai Heavy are inevitable. The news of
Hyundai Heavy's huge payment guarantee to the near-bankrupt Hynix
is likely to severely hurt the ship builder's recovering investor
confidence."

Hyundai Heavy posted a net profit of W15.1 billion last year,
plunging year-on-year by 95 percent. This was largely attributed
to losses of W60 billion incurred by its investments in sister
unit Korea Industrial Development.


HYUNDAI LIFE: Panel To Probe Kia Stake Purchase
-----------------------------------------------
The Financial Supervisory Service (FSS) will probe into Hankook
Life Insurance's alleged losses made from the insurer's purchase,
in 1995, of a Kia Motors stake, The Digital Chosun reported last
Saturday. Hankook is the predecessor of what is now Hyundai Life.

The probe is to unearth Hyundai group's involvement with or
possible influence on the purchase, as the group was building up
its stakes in Kia.

It was announced last Friday by FSS that the purchase involved a
total of 3.347 million shares comprising the 4.5 percent stake in
Kia for the sum of W48.4 billion. This incurred losses for the
insurer of about W46 billion at the end of 2000.

For the same purchase, Hankook was charged with conducting the
acquisition without taking into consideration concomitant
investment risks, Chosun said.

The Hyundai group acquired Hankook, early last year, which was
then integrated with Chosun Life to form a new unit called
Hyundai Life Insurance.

Hyundai Life has already been turned over to Korea Life Insurance
due to the former's non-viability as a life insurance firm.


===============
M A L A Y S I A
===============


ABRAR CORPORATION: To Face Case Before Industrial Court
-------------------------------------------------------
Abrar Corporation Berhad announced that it had received Tuesday
last week a Notice of Mention of Case from the Industrial Court,
Kuala Lumpur, in respect to an industrial court case filed by a
former employee of the company. The former employee of the
company is claiming that he has been unfairly dismissed pursuant
to a retrenchment exercise carried out by the company in July
1998.

The Industrial Court scheduled April 16, 2001 for Mention. Since
the company is currently under the administration of special
administrators, the special administrators will advise the
Industrial Court that there is a 12-month moratorium on the
company effective from the date of the appointment of the special
administrators, May 27, 2000.

Abrar Corporation Berhad (ACB) originally operated as a textile
retailer under the name of Mun Loong stores. In 1996,
construction activities and infrastructure development replaced
retailing as the main core business.

The retailing business was then disposed of in 1997. In the same
year, ABRAR Group International became the company's major
shareholder, resulting in a change of name from Mun Loong Berhad
to Abrar Corporation Berhad.

On May 27, 2000, Pengurusan Danaharta Nasional Berhad appointed  
Gong Wee Ning and Lim San Peen as special administrators (SAs) of
ACB pursuant to Section 24 of the Danaharta Act, 1998.

The SAs will carry out an assessment on the viability of ACB's
business and will thereafter prepare a workout proposal to
address ACB's debt issues.

In May 2000, pursuant to a directive from the Economic Planning
Unit, ACB agreed to dispose of its entire 20 percent stake in
Express Rail Link Sdn Bhd at the original cost of RM5.2 million.
The disposal was completed in October 2001.


KELANAMAS INDUSTRIES: Court Orders 90-Day Extension  
---------------------------------------------------
Kelanamas Industries Berhad (KIB) obtained, Wednesday last week,
a court order to extend the time period to convene a meeting
pursuant to Section 176 of the Companies Act, 1965 for a further
period of 90 days from April 11, 2001.

Background

At the time of listing the company, then called Sungei Besi Mines
Bhd (SBM), was one of the major tin producers in Malaysia. SBM
had been incorporated to take over the business of the Sungei
Besi Mines Ltd (Sungei Besi), a UK-incorporated company.
Effective November 1, 1976, the issued share capital of Sungei
Besi was cancelled in exchange for shares in SBM.

In December 1989, SBM ceased its mining operations to become an
investment holding company. A period of diversification followed
from 1991 to 1997 during which the SBM Group became involved in
property investment, trading and distribution of consumer
products, manufacture of cordials, fruit juices, soft drinks and
food products, granite quarrying and stockbroking.

SBM changed its name to Kelanamas Industries Bhd (KIB) in 1993 to
reflect its diversification from tin mining into the new areas of
business.

On February 12, 1999, the Group's main contributor, Alor Setar
Securities Sdn Bhd (ASSEC), was put under a special administrator
appointed by Pengurusan Danaharta Nasional Bhd.

Assec subsequently went through a restructuring exercise to help
restore its financial and operational viability. The scheme has
been fully implemented including a capital reduction and new
issue of shares to the new investor on July 17, 2000.

As such, from that date, Kelanamas Capital Sdn Bhd (subsidiary of
KIB) only holds 45 shares of a total of 30,000,100 shares of
ASSEC on issue. Therefore, ASSEC is no longer a related company
of KIB.

In addition, in May 2000, Kelanamas entered into an agreement
with Dolomite Bhd (DB) pursuant to the Group's restructuring
involving DB and its eight subsidiaries.

The restructuring entails capital reduction, debt reconstruction
and acquisition of the DB Group. The Group's future viability
hinges on the successful outcome of this restructuring scheme.

As part of the scheme, disposal/liquidation of all other
subsidiaries, assets, businesses shall be undertaken by
Kelanamas.

Any corporate guarantee liabilities arising from the liquidation
of these subsidiaries and associated companies will be assumed by
the company in its debt restructuring schemes.


MAI KAH: Court Orders Stay Of Winding Up
----------------------------------------
Hong Leong Industries Berhad (HLI) announced that the
liquidator's application for the Stay of Winding-up of Mai Kah
Corporation Sdn Bhd has been granted by the Kuala Lumpur High
Court April 13, 2001. The liquidator's solicitors are in the
middle of obtaining a sealed copy of the order from the Court.


MAN YAU: SC OKs Proposed Acquisitions
-------------------------------------
The Securities Commission has approved Man Yau Holdings Berhad's
(MYHB) proposals, as follows:

(a) Proposed Acquisitions - Comprising collectively the proposed
acquisitions of equity interests in the following companies by
Kinta Mestika Sdn Bhd (KMSB) (to be converted to a public limited
company and renamed later), which would function as the new
holding company of the Acquiree Companies and the existing MYHB
Group, and will assume the listing status of MYHB:

i)To acquire 100 percent of the issued and paid-up share capital
of the following:

ia)Applied Business Systems Sdn Bhd for proposed purchase
consideration of RM68,461,925, and as approved by the SC, for the
purchase consideration of RM61,7979,129;

ib)BASS Consulting Sdn Bhd for the approved purchase
consideration of RM29,591,214;

ic)Applied Information Management Services Sdn Bhd for approved
purchase consideration of RM8,235,465.

ii)To acquire 70 percent of the issued and paid-up share capital
of the following:

iia)Atlas CSF Sdn Bhd for RM16,747,049;

iib) Continuous Network Advisers Sdn Bhd for RM10,201,255; and

iic)Continuous Network Services Sdn Bhd for RM4,339,085.

(b) Proposed Debt Restructuring - Proposed schemes of arrangement
of each of MYHB, Wang Corporation Sdn Bhd and Man Yau Plastics
Factory (Malaysia) Sdn Bhd (MYPF), both of which are wholly-owned
subsidiaries of MYHB, respectively under Section 176 of the
Companies Act, 1965 between MYHB, Wang and MYPF, as the case may
be, the promoters, namely, Datuk Rahim Baba, Dato' Megat
Najmuddin bin Datuk Seri (Dr) Hj Megat Khas and Chan Ngow, and
their respective unsecured creditors including lender banks and
unsecured preferential creditors, for the restructuring and
settlement of the aggregate of the debts owing by MYHB, Wang and
MYPF to the Scheme Creditors.

(c) Proposed Share Exchange - Proposed scheme of arrangement of
MYHB under Section 176 of the Act between MYHB, all its
shareholders and KMSB, whereby all the existing shareholders of
the Company will exchange all of their existing shares in MYHB
for new shares in KMSB on the basis of one new KMSB share for
every six existing MYHB shares held.

(d) Proposed Private Placement - The proposed private placement
by KMSB of up to ten (10) million new shares at an issue price of
RM1.10 per share.

(e) Proposed KMSB Listing - The proposed de-listing of MYHB from
the Official List of the Second Board of the KLSE, and in its
place, the listing of and quotation for the entire issued and
paid-up ordinary shares and ICPS of KMSB on the Second Board of
the KLSE.

(f) Proposed ESOS - The proposed establishment of an employee
share option scheme for the benefit of the eligible Directors and
employees of KMSB and its subsidiaries, after the Proposed KMSB
Listing.

2. The approval of the SC for the Proposals is subject to, among
others, the following conditions:

(a) The utilization of the proceeds to be raised from the
Proposed Private Placement is subject to the following:

(i) SC's approval must be obtained for any revision in the
proposed utilization of the proceeds where such revised use is
for purposes other than for the core business of KMSB.

(ii) The approval of the shareholders of KMSB must be obtained
for the proposed manner of utilization of the proceeds and for
any subsequent revision to the manner of utilisation of 25
percent or more of the proceeds. However, if such subsequent
revision involves less than 25 percent of the proceeds,
appropriate disclosure must be made on the same by KMSB to its
shareholders.

(iii) Any extension of time required by KMSB from the pre-
determined deadlines for the utilization of the Proceeds must be
approved through a firm resolution of the Board of Directors of
KMSB and announced in full to the KLSE.

(iv) Appropriate disclosures on the status of the utilization of
the proceeds must be made in KMSB's quarterly reports and annual
report(s), until such time when the Proceeds have been fully
utilized.

(b) A moratorium shall be imposed on the sale of shares by the
respective vendors of the Acquiree Companies, whereby they are
not allowed to sell, transfer or assign their shareholdings
aggregating 50 percent of the new shares to be issued pursuant to
the Proposed Acquisitions, for at least one year from the date of
listing of the said shares, as stipulated under sub-paragraph
18.09(5) of the Policies and Guidelines on Issue/Offer of
Securities of the SC. Thereafter, the vendors are allowed to
sell, transfer or assign not more than one-third of their
respective shareholdings (under the moratorium) per annum.

In the case where a vendor is a private company, a moratorium
condition is also imposed on each shareholder of the private
company or on each ultimate shareholder if the shareholder of the
first mentioned private company is another private company. Each
of the said individual shareholders or ultimate shareholders are
required to provide written undertakings that they will not sell,
transfer or assign their respective shareholdings in the private
company(ies) concerned as long as the moratorium is effective.

(c) The identities and backgrounds of the placees and, if
relevant, the name(s) of the ultimate beneficiary(ies), are to be
provided for the SC's review before the implementation of the
Proposed Private Placement.

(d) The following is to be provided to the SC in relation to the
Proposed ESOS:

(i) final list of names of the eligible Directors and employees,
and the details of the allocation of options for the SC's
approval; and

(ii) a copy of the final Proposed ESOS Bye-Laws for the SC's
record as well as a letter of confirmation from KMSB that all
conditions imposed by the SC have been fulfilled and that the
Proposed ESOS Bye-Laws do not contravene the SC Guidelines on
employee share option schemes.

(e) The Acquiree Companies are required to achieve their
respective estimated profit before taxation for the financial
year ended 31 March 2001, as stated in the application to the SC,
before the Proposed Acquisitions are implemented.

(f) The Promoters are required to provide guarantees in relation
to the following:

(i) the value of the net tangible assets of the Acquiree
Companies, on an aggregate basis, as at 31 March 2001; and

(ii) the profit before taxation of the Acquiree Companies, on an
aggregate basis, for the financial years ending 31 March 2002 and
2003.

(g) MYHB is required to disclose the basis of valuation for the
businesses of two schools to be disposed by the company in a
circular to be sent by MYHB to its shareholders in relation to
the Proposals. MYHB is further required to confirm to the SC that
the valuations concerned do not exceed the total liabilities to
be borne by the buyer.

(h) MYHB is required to disclose in the said circular to its
shareholders, the potential conflict of interest between KMSB and
Formis (Malaysia) Berhad, and the steps to be taken to avoid it.

(i) KMSB to is required to confirm to the SC that the SC's
requirement relating to the minimum NTA per share has been
fulfilled (based on certain flexibilities which have been given
to rescue/debt restructuring schemes under the auspices of the
Corporate Debt Restructuring Committee) before the said circular
to the shareholders of MYHB is issued. In connection with this,
the SC has approved the valuation of a thirty-one (31) storey
office tower building held under Geran 16742 Lot 1154 and Geran
16741 Lot 1156, Section 13, Bandar Georgetown, Daerah Timur Laut,
Pulau Pinang, developed by a subsidiary of MYHB (known as the
'Northam Towers'), at RM95 million as compared to RM111.5 million
as proposed.

(j) KMSB is required to inform the SC when the Certificate of
Fitness for the said 'Northam Towers' office building is
obtained.

(k) KMSB is required to comply with all the requirements of the
SC Guidelines relating to the Proposals.

3. The proposals are now subject to, inter-alia, the approvals of
the following:

(a) the SC, in respect of an application made by the Promoters
for an exemption under Practice Note 2.9.3 of the Malaysian Code
on Take-Overs and Mergers 1998 (relating to rescue operations)
from the obligation under Part II of the Code to extend a
mandatory offer to acquire the remaining shares in KMSB not
already held by them collectively, after the completion of the
Proposed Acquisitions.

(b) the Ministry of International Trade and Industry;

(c) the sanction of the Court pursuant to Section 176 of the Act
for the Schemes, and the Proposed Share Exchange;

(d) the KLSE, for the following:

(i) the de-listing of MYHB and the initial listing of and
quotation for the entire issued and paid-up ordinary share
capital of KMSB and the ICPS to be issued pursuant to the
Proposals, on the KLSE;

(ii) the additional listing of and quotation for the new shares
in KMSB to be issued pursuant to the conversion of the ICPS and
the exercise of any Proposed ESOS options, on the KLSE; and

(iii) the Bye-Laws of the Proposed ESOS.

(e) the shareholders of MYHB at an extraordinary general meeting
(EGM) to be convened in relation to the Proposals; and

(f) the shareholders of MYHB and the Scheme Creditors at the
respective court-convened meetings in relation to the Creditors'
Schemes and Shareholders' Scheme.

The Foreign Investment Committee had on 16 February 2001,
approved the Proposals.

4. The Board of Directors of MYHB is presently deliberating with
KMSB and the Promoters/major vendors of the Acquiree Companies on
the approved terms and conditions of the SC.


NGIU KEE: Subsidiary Disposes Of Assets
---------------------------------------
Ngiu Kee Corporation (Malaysia) Berhad announced that its wholly
owned subsidiary, Ngiu Kee Sdn Bhd has finalized the disposal of
the following assets:

(a) 6 units of shophouses at Lot 511-516, Block9, Sibu Town
District;

(b) for a consideration of RM1.11 million, which is based on the
current market value and was satisfied in cash;

(c) the net book value of the shophouses is RM2,041,160 after
deducting accumulated amortization of RM50,192;

(d) the net loss (after deducting all charges and taxation and
excluding extraordinary items) attributable to the assets
disposed off is RM954,424;

(e) the effect of the transaction on the earnings per share and
net tangible assets per share of Ngiu Kee Corporation (M) Bhd.
would be a decrease of 3.4 cents per share. There is no effect of
the transaction on the share capital and the substantial
shareholding of Ngiu Kee Corporaion (M) Bhd.

(f) None of the directors, substantial shareholders, persons
connected with the directors and substantial shareholders of Ngiu
Kee Corporation (M) Bhd, have any interest, direct or indirect in
the above transactions.

(g) The transaction is not subject to the approval of shareholder
and the relevant government authorities.

(h) The rationale for the transaction is to dispose of
unproductive assets and to improve the cash flow position of the
Company.

(i) The original cost of acquiring the shophouses was RM1.2
million with interests and renovation incurred at RM891,353 and
the acquisition date was January 29, 1991.

(j) The Board of Directors deemed the disposal of the shophouses
in the best interests of the company.

(k) The purchaser is Jollywin Enterprise Sdn Bhd (Co.No.:155105-
W), a company incorporated in Malaysia and having its registered
office at No.8, Lorong 2, Jalan Tuanku Osman, 96000 Sibu.

(l) The proposed utilization of the proceeds in respect of the
disposal is to settle the bank loan with Hong Leong Bank Berhad
(formerly, Wah Tat Bank Berhad), which was initially granted to
the company to finance the purchase of the shophouses.

(m) The expected gains arising from the disposal is that the
company will improve its cash flow position and improve on its
profitability due to less financial and maintenance costs.

(n) The date on which the terms of the transaction were agreed
upon is January 3, 2001.

Ngui Kee's subsidiaries are principally involved in the operation
of supermarkets and department stores. Presently, the Group
operates 13 supermarkets and department stores in Sarawak and
Sabah.

The Group is also involved in small-scale garment manufacturing
and the operation of boutiques in Sabah.

One of its garment factories, located in Kuching, Sarawak, has a
capacity of approximately 6,000 pieces of garments per month.

Another, located in Kuala Lumpur, has a maximum capacity of
18,000 pieces of garments per month.

The range of fashion wear and accessories produced are marketed
under the names "Top Shop", "D & M Clothing & Co" and "Goggles".

The Group is also aggressively expanding its chain of specialty
stores, namely D & M Trendy and FOS throughout East Malaysia with
eight of such stores expected to be opened by end of 2000.


SISTEM TELEVISYEN: MRCB To Retain Control
-----------------------------------------
Malaysian Resources Corporation Bhd (MRCB) will continue to stay
in control over management of Sistem Televisyen Malaysia Bhd
(TV3) even after the completion of the proposed debt
restructuring exercises, AFX reported Friday last week, citing a
Star report. The restructuring plan will provide the TV3's
creditors its 37.1 percent stake in MRCB.

According to the AFX report, TV3 Chairman Abdul Rahman Maidin
told The Star, "The restructuring plan benefits everybody.
Whatever rationalisation the group takes will be in the best
interest of all parties."

The restructuring plan proposes a debt waiver worth 214 million
ringgit, two-to-one capital reduction exercise, and issuance of
new shares and convertible preference shares, and bonds and
warrants.


SOUTHERN PLASTIC: Inks MOU With MAFA
------------------------------------
Southern Plastic Holdings Berhad (SPHB), Thursday last week
signed a memorandum of understanding (MOU) with MAFA Groups
Corporation Sdn Bhd (MAFA), the owner developer and operator of
International Deep-Sea Port, Research Centres, Sea-World and
Mixed Development at Kampung Kiamsam, Wilayah Persekutuan Labuan,
Malaysia working in alliance with Lembaga Kemajuan Ikan Malaysia
(LKIM) and Labuan Development Authority (LDA) to be appointed as
the Turnkey Contractor of The Project.

The scope, detail of works and the terms and conditions to be
agreed upon and to be executed between SPHB and MAFA in the final
agreement at a subsequent date.

Included in the MOU, among others:

(i) Within 180 days from the date of MOU or such extended date as
shall be mutually agreed SPHB and MAFA shall enter into an
Agreement to formally appoint SPHB as The Turnkey Contractor of
The Project subject to the acceptance by SPHB of a final due
diligence audit of the financial capability of project funding
procured by MAFA.

MAFA shall provide a Payment Guarantee of not less than the
project construction cost provided to SPHB on an annual basis and
such a Payment Guarantee must be of acceptable form to SPHB and
renewable annually.

The Southern Plastic Group, which originally produced both
finished and semi-finished plastic and plastic electrical
products for the local and export market, has diversified into
plastic packaging and manufacturing and trading of timber
products.

Timber supply is sourced from within Malaysia and the products
are exported mainly to Thailand, China, Japan and the US.

The Group's factories are located in Province Wellesley in the
North and Sungei Buloh and Sungei Besi in Selangor.

On November 25, 1999, the company proposed to undertake a bonus
issue, a rights issue and an ESOS to partially meet the SC's
revised requirement on the share capital of Second Board
companies and to reduce its gearing.

As such, the company's authorized capital will be revised upwards
from RM25 million to RM100 million.

In May 2000, the company aborted the proposed bonus issue after
considering the pre-tax loss position of its third quarterly
results.

The revised proposal incorporating a rights issue and an ESOS was
submitted to the SC on June 2, 2000.

In November 2000, the company appointed Messrs Arthur Andersen
Consulting to assist it in restructuring the company's
substantial banking facilities.

As of March 2000, the company is refining its restructuring
scheme, taking into consideration the comments from its creditor
banks.


UNITED ENGINEERS: Reports Details Of Submission Deferment
---------------------------------------------------------
On behalf of United Engineers (Malaysia) Berhad (UEM), Arab-
Malaysian Merchant Bank Berhad announced that:

(i) UEM has deferred the relevant submissions to the authorities
as the company is revisiting the timing of the asset realization
program originally intended vis-…-vis the cost of acquisition in
view of the present market conditions. Arising wherefrom, UEM is
deliberating on certain terms relating to the proposed
acquisitions and will further discuss the above matter with
Renong Berhad.

(ii) In view that the abovementioned matters have not been
resolved at this juncture, the company is unable to ascertain a
definite timing of the submission to the relevant authorities.
However, the company expects that any submissions to be made to
the relevant authorities will take about 4 months from the date
of its announcement.


=====================
P H I L I P P I N E S
=====================


PILIPINO TELEPHONE: SEC Warns of Possible Penalties
---------------------------------------------------
Pilipino Telephone Corporation (Piltel), according to a
Securities and Exchange Commission released order, may face
penalties if it isn't able to file the required reports with the
agency, Business World reported late last week.

This wouldn't be the first time the troubled cellular phone
provider could stumble into penalties. Piltel had earlier paid a
fine of P75,000 imposed by the same agency for its late filing of
reports on the company's debt securities defaults.

Early in 1999, SEC launched an investigation into Piltel's
financial health, after reports circulated that the company had
accumulated debts amounting to P39.4 billion. It was found the
company had defaulted on interest payments totaling P34.9
billion.

The SEC's money markets operations department recommended that
the company be fined for its failure to fulfill the SEC's
required full disclosure. The company, World reported, was said
to have failed to file reports on parent PLDT's infusion of P28-
billion capital into Piltel, the defaults on interest payments,  
suspension of principal payments, and the company's failure to
discuss the gravity and effects of these debts, liquidity and
restructuring plan.

A SEC team responsible for investigating Piltel's books is set to
submit its audit report to the commission en banc this week.


TRUST PAPER: Debt Papers Get `Poor' Rating
------------------------------------------
Long-term commercial debt papers of Trust International Paper
Corporation (TIPCO), involving a total amount of P200 million,
received a `poor' rating standing from Philippine Ratings
Services Corporation  (PhilRatings), Business World reported
Thursday last week. The same credit ratings agency gave it a PRS
Caa, as it cited a "high possibility of default" on debt
obligations, which may impact on its liquidity.


=================
S I N G A P O R E
=================


GUIZHOU LION: Goes Into Voluntary Administration
------------------------------------------------
Lion Teck Chiang Limited announced that its dormant subsidiary,
Guizhou Lion Telecommunication Development Co. Ltd (GLT), a
company incorporated in the People's Republic of China, has been
voluntarily liquidated.

Lion Teck said the liquidation of GLT has no material effect on
both of the company's net tangible asset per share and earnings
per share.


TONG TIEN SEE: Sues Directors
-----------------------------
Collapsed Tong Tien See Construction is set to sue its directors,
including three affiliate units, for having allegedly caused the
accumulation of debts amounting to $53 million, The Straits Times
reported Thursday last week.

Directors facing the charges are 71-year-old Tong Tien See, the
company's founder, his wife Koo Yoke Fong, the couple's four
daughters and three other family members. They are being charged
with taking advantage of their power and authority as company
directors by expending company funds for personal gains, the
report said.

Chia Siew Keng, a company director, along with three affiliated
units of the company, are also being charged as accomplices in
`fraudulently falsifying' the company's accounts by covering up
the losses and recording the company's net worth at over $5
million.  

The appointed liquidator, Yin Kum Choy, filed the suit against
the 13 defendants through the company.

Tong Tien See Construction was established in February 1985. It
posted a total turnover in 1998 of $220 million.


===============
T H A I L A N D
===============


METROPOLIS TRUST: Bankrupt, Court Declares
------------------------------------------
The Central Bankruptcy Court has declared Metropolis Trust and
Securities Plc, one of 56 suspended finance companies under the
supervision of the Financial Sector Restructuring Authority
(FRA), bankrupt. Metropolis is under absolute receivership.

Kamol Juntima, the FRA Chairman, said a liquidator, appointed by
Section 30 Committee of Metropolis Trust and Securities Plc by
virtue of the Emergency Decree on Financial Sector Restructuring
B.E. 2540, requested the court on April 4, 2001 to declare the
company bankrupt and put it under absolute receivership since its
assets are insufficient to pay its outstanding debts. The court
acted on the request on that same day.

Kamol further said that Metropolis Trust and Securities had only
six eligible creditors and the company has already distributed
the proceeds from asset sales to those creditors amounting to
Bt589.11 million, of which Bt420.44 million was paid to the
Financial Institutions Development Fund (FIDF).

Metropolis Trust and Securities Plc was established on November
4, 1965 with a registered capital of about Bt300 million. It was
one of 16 finance companies suspended on June 26, 1997. The
company has Bt2.79411 billion of assets and Bt3.68548 billion of
outstanding debts as of February 28, 2001.The amount of the
company's assets which had been sold was small since most of its
assets are under litigation.

Under the bankruptcy process, the remaining assets of Metropolis
Trust and Securities together, with all cases of litigation, will
be handled by the receivers of the Legal Execution Department in
accordance with the bankruptcy law procedures. However, all the
creditors still have to file similar claims with the receivers
for their outstanding debts within two months from the date a
public announcement of receiving order is made.

Of 56 suspended companies under the supervision of the FRA, Kamol
said , 13 have already distributed repayments to their creditors;
seven are preparing to repay their debts during April and May
2001, ten others have been notifying their creditors of the claim
adjudication results . Until now, eleven of the companies have
already been brought into the bankruptcy process.


THAI-ASIA FUND: Posts Losses Of US$5.725M
-----------------------------------------
Thai-Asia Fund Limited posted a total operations loss of US$5.725
million on turnover of US$2.639 million, both recorded in the
year ended December 31, 2000, up from the preceding year's
figures of US$4.353 million and US$2.494 million in operating
losses and turnover respectively.

Loss per share stands at US$0.11 based on the loss for the year
of US$5,769,457 (after tax and ETD items) (1999: profit
US$4,353,190) and 50,340,800 (1999: 50,340,800) ordinary shares
in issue during the year.


THAI HEAT: Rehab Plan In Works
------------------------------
Thai Heat Exchange Pcl has opted to create a rehabilitation plan
to maintain the company's listing status.

The Central Bankruptcy Court ordered the company to rehabilitate
on January 22, 2001 and proposed the appointment of Thai Heat
Revival Co., Ltd as the planner.  

Grant Thornton, the company's financial advisor, is currently  
making the plan and negotiating with creditors to submit the plan
to the Central Bankruptcy Court on May 27, 2001.


S U B S C R I P T I O N  I N F O R M A T I O N

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Copyright 2000.  All rights reserved.  ISSN: 1520-9482.

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