TCRAP_Public/010712.mbx        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

           Thursday, July 12, 2001, Vol. 4, No. 135


                         Headlines


A U S T R A L I A

131 SHOP.COM.AU: Posts Results of General Meeting
ALPHA HEALTHCARE: Suspended from Official Quotation
CENTAUR MINING: Chairman Offers A$6m To Creditors
ISP LIMITED: Administrator Proposes Deed of Arrangement
ISP LIMITED: Notice of Meeting of Creditors


C H I N A   &   H O N G  K O N G

CHASE DEVELOPMENT: Winding Up Petition Set For Hearing
DIAMOND SUN: Winding Up Petition Slated For Hearing
DIMAN HOLDING: Winding Up Petition To Be Heard
FORTUNE GLOBAL: Winding Up Petition Hearing Set
GREATFOUND INTERNATIONAL: Petition To Wind Up On Docket
HONG KONG CONSTRUCTION: Announces Change of Directors
KUEN LEE: Faces Winding Up Petition
MILLION YEAR: Hearing of Winding Up Petition Set


I N D O N E S I A

PT BANK CENTRAL: Shares Oversubscribed 30%
PT BANK NEGARA: Liquidates Subsidiary


J A P A N

ASAHI BANK: Ratings Downgrade Likely, Moody's Says
CHOGIN GROUP: Fund-Raising Planned For Failed Credit Unions


K O R E A

HYUNDAI ENGINEERING: Creditors Aim to Reduce Stake
HYUNDAI INVESTMENT: Sale Negotiations Completion Near
KOHAP GROUP: Failed to Meet W5.3bln Debt Guarantee
KOREA DEVELOPMENT: Moody's Assigns Samurai Bonds Baa2 Rating  
SEOUL BANK: Deutsche Bank Wants Equity Stake
SSANGYONG CEMENT: KFTC Imposed Fines for Failed Debt Guarantee


M A L A Y S I A

DATAPREP HOLDINGS: Receives SC's Waiver Notice
FARLIM GROUP: Aborts Implementation Of Proposals
HAI MING: Talks With Creditors Over Debt Workout Continue
INNOVEST BERHAD: Enters Agreement With Danaharta
KELANAMAS INDUSTRIES: Awaits SC's Decision Re Meeting
L&M CORP: Variance In Results Due Unit Consolidation
PICA CORP: Demand Notice For Debt Repayment Received
SUNGEIWAY HOLDINGS: Placed Under Voluntary Liquidation
UNITED ENGINEERS: Unit Remains In Default


P H I L I P P I N E S

NATIONAL POWER: Drops US$150-400M Scheduled Bond Flotation
URBAN BANK: Export Bank Finalizes Reopening


T H A I L A N D

CENTRAL PAPER: No Warrant Exercise In June
MEDIA OF MEDIAS: Plan Examination Postponed To July 23
THAI DURABLE: EGM Resolves Debt Workout Deal
THAI PETROCHEMICAL: EGCOMP Negotiates Plant Purchase
SIAM STEEL: Announces Debt to Equity Conversion


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A U S T R A L I A
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131 SHOP.COM.AU: Posts Results of General Meeting
-------------------------------------------------
131 Shop.com.au Limited posted the results of the General
Meeting of shareholders held yesterday at 2:30pm as follows:

RESOLUTION 1 - SHARE CONSOLIDATION

To consider and, if thought fit, to pass the following
resolution as an ordinary resolution:

"That, the members of the Company hereby approve, pursuant to
section 254H(1) of the Corporations Law:

(a) a consolidation of all of the issued capital of the Company
on the basis that every 4 existing fully paid ordinary shares in
the capital of the Company be consolidated into fully paid
ordinary share; and

(b) a consolidation of all of the existing options in the
Company on the basis that every 4 existing options be
consolidated into 1 option and the exercise price of each option
be multiplied by 4, such consolidations to take effect on the
passing of this resolution."

This motion was passed by shareholders.

The Proxies for this resolution were as follows:

Total Proxies For:                22,775,757
Total Proxies Against:                95,300

RESOLUTION 2 - GRANT OF 10,000,000 OPTIONS TO TOMORROW
CORPORATION
PITY LIMITED

To consider and, if thought fit, to pass the following
resolution as an ordinary resolution:

"That, subject to each Of the resolutions 1, 3 to 6 set out in
the Notice being duly passed, the members of the Company hereby
approve, pursuant to section 208(1)(a) of the Corporations Law
and Listing Rule 10.11 of the Australian Stock Exchange Limited
Listing Rules, the granting to Tomorrow Corporation Pty Limited
ACN 095 159 201 (a wholly owned subsidiary of Tomorrow Limited)
of 10,000,000 options over unissued shares in the capital of the
Company, each option exercisable into 1 fully paid ordinary
share in the capital of the Company at an exercise price of
$0.20, with an expiry date which is 7 years from the completion
date of the Subscription Agreement dated 21 February 2001
between the Company, Tomorrow Limited and Tomorrow Corporation
Pty Limited (as amended by the Deed of Amendment of Subscription
Agreement dated 19 April 2001 and Deed of Amendment of
Subscription Agreement dated 30 May 2001 (collectively the
"Subscription Agreement")) and otherwise on the terms set out in
the Subscription Agreement, a copy of each of which has been
tabled by the Chairman and initialed for the purposes of
identification."

This motion was passed by shareholders.

The Proxies for this resolution were as follows:

Total Proxies For:                  22,779,165
Total Proxies Against:                  91,892

RESOLUTION 3 - ACQUISITION BY TOMORROW CORPORATION PTY LIMITED
AND OTHERS OF MORE THAN 20% OF THE VOTING POWER IN THE COMPANY

To consider and, if thought fit, to pass the following
resolution as an ordinary resolution:

"That, subject to each of the resolutions 1, 2 4 to 6 set out in
the Notice being duly passed, the members of the Company hereby
approve, pursuant to item 7 of section 611 of the Corporations
Law and Listing Rule 11.1 of the Australian Stock Exchange
Limited Listing Rules, the acquisition by Tomorrow Limited,
Tomorrow Corporation Pty Limited (a wholly owed subsidiary of
Tomorrow Limited), Wayne Bos and Guinness Peat Group plc and its
related bodies corporate of up to 32.9% of the voting power in
the Company by virtue of Tomorrow Corporation Pty Limited
exercising any or all of the 10,000,000 options over unissued
ordinary shares in the capital of the Company to be granted
pursuant to resolution 2 above."

This motion was passed by shareholders.

The Proxies for this resolution were as follows:

Total Proxies For:                 22,779,165
Total Proxies Against:                 91,892

RESOLUTION 4 - THE ACQUISITION OF SHARES IN TIG INTERNATIONAL
PTY LTD AND THE ISSUE OF 500,000 FULLY PAID ORDINARY SHARES AND
A MAXIMUM OF 5,000,000 FULLY PAID ORDINARY SHARES AND 500,000
OPTIONS RESPECTIVELY OVER SUCH SHARES TO THE HOLDERS OF SHARES
IN TIG INTERNATIONAL PTY LTD AND 250,000 OPTIONS OVER SUCH
SHARES TO E-CANDOO LIMITED

To consider and, if thought fit, to pass the following
resolution as an ordinary resolution:

"That, subject to each of the resolutions 1 to 3, 5 and 6 set
out in the Notice being duly passed, the members of the Company
hereby approve, pursuant to:

(a) Listing Rules 7.1 and 11.1 of the Australian Stock Exchange
Limited Listing Rules:

(i) the acquisition by the Company of all of the fully paid
ordinary shares in the capital of TIG International Pty Ltd ACN
092 192 464 ("TIG") from the persons ("TIG Vendors"), and in the
respective numbers, set out in Annexure D to the Explanatory
Memorandum accompanying the Notice;

(ii) the issue of 500,000 fully paid ordinary shares (each share
having an issue price of $0.40) to the TIG Vendors in the
numbers set out in Annexure D in consideration for the
acquisition of their TIG shares;

(iii) the issue to E-Candoo Limited ACN 090 863 068 as part
payment of monies owing by TIG to E-Candoo Limited and Paringa
Group Pty Ltd ACN 006 093 901 of 250,000 options over unissued
fully paid ordinary shares (each option having an exercise price
of $0.40), with an expiry date of 31 December 2003; and

(b) Listing Rule 11.1 of Australian Stock Exchange Limited
Listing Rules, the issue of 10 fully paid ordinary shares for
each $1.00 of EBITDA for the period from 1 May 2001 to 31
December 2001 (up to a maximum of 5,000,000 fully paid ordinary
shares) and 10 options over unissued fully paid ordinary shares
(each option having an exercise price of $0.40 and with an
expiry date of 31 December 2003) for each $6.00 EBITDA for the
period from 1 May to 31 December 2001 (up to a maximum of
500,000 options), to the TIG Vendors in consideration for
the acquisition of their TIG shares, in each case on the terms
set out in the TIG Agreement dated 21 March 2001, as amended by
agreement dated 3 May 2001, between each of the TIG Vendors,
Tomorrow Limited and the Company, a copy of each of which has
been tabled by the Chairman and initialed for the purposes of
identification."

This motion was passed by shareholders.

The Proxies for this resolution were as follows:

Total Proxies For:                22,729,165
Total Proxies Against:               141,892

RESOLUTION 5 - THE ACQUISITION OF SHARES IN REDSTAR ITC PTY LTD
AND THE ISSUE OF 3,750,000 FULLY PAID ORDINARY SHARES AND FULLY
PAID ORDINARY SHARES WITH AN AGGREGATE VALUE OF $2,000,000 IN
THE COMPANY TO THE HOLDERS OF SHARES IN REDSTAR ITC PTY LTD

To consider and, if thought fit, to pass the following
resolution as an ordinary resolution:

"That, subject to resolutions 1 to 4 and 6 set out in the Notice
being duty passed, the members of the Company hereby approve
pursuant to;

(a) Listing Rules 7.1 and 11.1 of Australian Stock Exchange
Limited Listing Rules:

(i) the acquisition by the Company of all of the fully paid
ordinary shares in the capital of Redstar ITC Pty Ltd ACN 078
683 280 ("Redstar") from the persons ("Redstar Vendors"), and in
the respective numbers, set out in Annexure E to the Explanatory
Memorandum accompanying the Notice;

(ii) the issue of 3,750,000 fully paid ordinary shares in the
Company (each share having an issue price of $0.40) to the
Redstar Vendors in the numbers set out in Annexure E in
consideration for the acquisition of their Redstar shares ("the
Redstar Acquisition"); and

(b) Listing Rule 11.1 of Australian Stock Exchange Limited
Listing Rules:

(i) the issue of fully paid ordinary shares in the Company
(having an aggregate value of $1,000,000) 12 months after the
date of completion of the Redstar Acquisition to the Redstar
Vendors in the numbers set out in Annexure E in consideration
for the acquisition of their Redstar shares; and

(ii) the issue of fully paid ordinary shares it the Company
(having an aggregate value of $1,000,000) 18 months after the
date of completion of the Redstar Acquisition to the Redstar
Vendors in the numbers set out in Annexure E in consideration
for the acquisition of their Redstar shares, in each case on the
terms and conditions of the Redstar Agreement dated 10 April
2001, between each of the Redstar Vendors, Tomorrow Limited and
the Company a copy of which has been tabled by the Chairman and
initialed for the purposes of identification.

This motion was passed by shareholders.

The Proxies for this resolution were as follows:

Total Proxies For:              22,684,165
Total Proxies Against:             186,892

RESOLUTION 6 - SHARE OFFER

To consider and, if thought fit, to pass the following
resolution as an ordinary resolution:

"That, subject to resolutions 1 to 5 set out in the Notice being
duly passed, the members of the Company hereby approve, pursuant
to Listing Rule 7.1 of Australian Stock Exchange Limited Listing
Rules, the issue and allotment of up to 7,000,000 fully paid
ordinary shares in the Company to members of the public at an
issue price of not less than $0.25 per share pursuant to a
prospectus to be issued by the Company."

This motion was passed by shareholders.

The Proxies for this resolution were as follows:

Total Proxies For:              22,781,757
Total Proxies Against:              89,300

RESOLUTION 7 - CHANGE OF COMPANY NAME

To consider and, if thought fit, to pass the following
resolution as a special resolution:

"That, subject to resolutions 1 to 6 set out in the Notice being
duly passed and to the approval of the Australian Securities and
Investments Commission, the name of the Company be changed from
"131 Shop.com.au Limited" to "Focus Technologies Limited"
pursuant to section 157(1) of the Corporations Law."

This motion was passed by shareholders.

The Proxies for this resolution were as follows:

Total Proxies For:             22,781,757
Total Proxies Against:             89,300

The Company also wishes to announce that the Mincom Limited
shareholders who have granted options to 131 Shop.com.au Limited
have agreed to provide a transfer notice to Mincom, triggering
the pre-emptive rights process under Mincom's Articles of
Association.

This will result in the shares over which 131Shop holds options
being offered to all other Mincom shareholders at a value of
$2.50 per share.


ALPHA HEALTHCARE: Suspended from Official Quotation
----------------------------------------------------
The securities of Alpha Healthcare Limited will be suspended
from quotation at the close of trading on Monday 16 July 2001 in
accordance with listing rule 17.4, following the receipt of a
compulsory acquisition notice from Ramsay Centauri Pty Ltd under
its takeover offer for the Company's ordinary shares.


CENTAUR MINING: Chairman Offers A$6m To Creditors
-------------------------------------------------
Australasian Business Intelligence reported Monday that Chairman
Joe Gutnick of Centaur Mining & Exploration offered to pay $A6m
to the company's creditors. The company's administrators were
told on July 8, 2001 that Gutnick was willing to donate funds
and payments to finance a $A20m court case against Anaconda
Nickel, in order to avoid the company being placed in
liquidation.  

However, an alternative plan, put forward by a group of the
company's creditors, has gained support from the administrators.
Under this plan, the creditors would approve a deed of company
arrangement for six months so that claims Centaur's directors
continued to trade while the company was insolvent can be
further investigated.


ISP LIMITED: Administrator Proposes Deed of Arrangement
-------------------------------------------------------
R Albarran, one of the appointed Administrators of ISP Limited
on 25 May 2001, reported to Australian Stock Exchange yesterday
that it is evident that a proposal for the company to execute a
Deed of Company Arrangement would allow greater funds to become
available for distribution to unsecured creditors. Creditors
should take into account however, the potential realizations
from voidable transactions which may become available if the
company was placed into liquidation.

The benefit to creditors from the proposal for the company to
execute a Deed of Company Arrangement is that it provides a
greater opportunity for the unsecured creditor to receive a
distribution. The likely distribution to unsecured creditors is
15 cents on the dollar subject to the claims by creditors, the
realizations of the assets and the quantum of the lease
liability. It is extremely unlikely that any greater
distribution would become available for unsecured creditors
should the company be placed into liquidation.


ISP LIMITED: Notice of Meeting of Creditors
-------------------------------------------
Notice is given that the major meeting of creditors of ISP
Limited will be held at Hall Chadwick Level 29, 31 Market Street
Sydney NSW 2000 on 12 July 2001 at 10:00am.

The purpose of the meeting is to consider and if thought fit,
vote on the following issues:

(a) whether to adjourn the meeting (for a maximum of 60 days);

(b) whether the company execute a deed of company arrangement;

(c) whether to end the administration;

(d) whether the company be wound up;

(e) if a deed of company arrangement is approved, the
appointment of administrators of that deed;

(f) the remuneration of the administrators and either the
liquidators or administrators of the deed, whichever is
applicable;

(g) any other business.


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C H I N A   &   H O N G  K O N G
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CHASE DEVELOPMENT: Winding Up Petition Set For Hearing
------------------------------------------------------
The petition to wind up Chase Development Limited will be heard
before the High Court of Hong Kong on July 25, 2001 at 9:30 am.
The petition was filed with the court on May 23, 2001 by
Kincheng Banking Corporation, Hong Kong Branch whose principal
place of business is situated at 55 Des Voeux Road Central, Hong
Kong.


DIAMOND SUN: Winding Up Petition Slated For Hearing
---------------------------------------------------
The petition to wind up Diamond Sun (HK) Jewellery Limited is
scheduled for hearing before the High Court of Hong Kong on July
18, 2001 at 9:30 am. The petition was filed with the court on
May 21, 2001 by The National Commercial Bank, Limited Hong Kong
Branch whose principal place of business is situated at 1-3
Wyndham Street, Central, Hong Kong.


DIMAN HOLDING: Winding Up Petition To Be Heard
----------------------------------------------
The petition to wind up Diman Holding Company Limited will be
heard before the High Court of Hong Kong on July 25, 2001 at
9:30 am. The petition was filed with the court on May 22, 2001
by Sin Hua Bank Limited, Hong Kong Branch whose principal place
of business in Hong Kong is situated at 2A, Des Voeux Road
Central, Hong Kong.


FORTUNE GLOBAL: Winding Up Petition Hearing Set
-----------------------------------------------
The petition to wind up Fortune Global (Hong Kong) Limited is
scheduled for hearing before the High Court of Hong Kong on the
12th day of September 2001at 9:30 am.  The petition was filed
with the court on the 27th day of June 2001 by Leung Yee Fai of
Flat C, 26th Floor, Tower 1, Elegant Terrace, 36 Conduit Road,
Hong Kong.


GREATFOUND INTERNATIONAL: Petition To Wind Up On Docket
-------------------------------------------------------
The petition to wind up Greatfound International Limited is set
for hearing before the High Court of Hong Kong on July 11, 2001
at 9:30 am. The petition was filed with the court on May 15,
2001 China Merchant Bank having its registered office at No. 2
Shannan Road Central, Shenzhen, The People's Republic of China.


HONG KONG CONSTRUCTION: Announces Change of Directors
-----------------------------------------------------
The Board of Directors of Hong Kong Construction (Holdings)
Limited announces that, effective 6 July 2001, the Board has
made the following changes:

Resignations of Executive Directors

     * Mr Wang Mingquan resigned as an Executive Director and
Chairman of the Board.

     * Mr Li Xiao Ru resigned as the Managing Director.

     * Mr Wang Zhongze resigned as an Executive Director and
Chief Financial Officer.

     * Dr Mu Shicheng resigned as an Executive Director.

Appointment of Executive Directors

     * Mr Shi Liwen was appointed an Executive Director and
Chairman of the Board.

Mr Shi Liwen graduated from Civil Engineering Department
of Nanjing Institute of Technology in 50s. He is a senior
engineer in professor grade. Mr Shi was the former
Director of Construction Works Bureau of Shanghai,
Director of Construction Works Management Bureau of
Shanghai, and President and General Manager of Shanghai
Construction (Group) General Co., He is presently a Member
of the Ninth National People's Congress of the PRC, Vice-
Chairman of China Building Association, Standing Vice
President of Shanghai Building Union and Consultant of
Shanghai Construction (Group) General Co., Chairman of S C
G (H. K.) Limited. Mr Shi is experienced in management of
conglomerate. He also has extensive expertise and
practical experience in the fields of civil engineering,
construction, hydraulic engineering, construction
economics and management as well as construction
technology.

     * Mr Yao Jianping was appointed the Managing Director.

Mr Yao Jianping has postgraduate qualification. He holds a
master degree in business administration from La Trobe
University of Australia. He is a senior economist. Mr Yao
was the former General Manager of Shanghai Construction
Co., Limited and project manager of the main contractor of
the 88-storey Jin Mou Tower in Shanghai. At present, he is
a Director of Shanghai Construction (Group) General Co.
and Shanghai Construction Co., Limited. Mr Yao is
experienced in management of conglomerate, management of
general contract of large construction projects and
construction economics management.

     * Messrs Jiang Zhiquan, Liu Guolin and Fan Zhongwei as well
as Ms Zhu Yanlan were appointed Executive Directors.

Mr Jiang Zhiquan has postgraduate qualification. He holds
a master degree in business administration from the
University of Hong Kong. He is a senior economist. He was
former Vice President and General Manager of Shanghai
Construction (Group) General Co.. At present, he is the
President of Shanghai Construction (Group) General Co. and
Shanghai Construction Co., Limited. Mr Jiang has extensive
experience in management of conglomerate and in such areas
as construction technology and construction economics and
management.

Mr Liu Guolin graduated from Shanghai University of
Finance & Economics majoring in infrastructure financing.
He is a senior accountant. At present, Mr Liu is a
Director and General Accountant of Shanghai Construction
(Group) General Co. and Vice President of Shanghai
Construction Co., Limited. He has extensive experience in
finance and corporate matters.

Mr Fan Zhongwei has postgraduate qualification. He holds a
master degree in business administration from La Trobe
University of Australia. He is a senior economist. At
present, he is a Director of Shanghai Construction (Group)
General Co. and Shanghai Construction Co., Limited. He has
extensive knowledge and experience in such areas as
comprehensive management of construction budgeting and
management of human resources.

Ms. Zhu Yanlan is an Executive Director and Chief
Executive Officer of China Everbright International
Limited. She was formerly General Manager of Everbright
International Investment Consulting Company and Everbright
Assets Valuation Company. Ms Zhu holds a doctorate's
degree in the field of International Political Economics
from the University of Chicago, U.S.A.. She has extensive
experience in financial advisory, investment and asset
valuation work in the PRC. Ms Zhu was a former director of
the Company during the period from November 1999 to March
2000.


KUEN LEE: Faces Winding Up Petition
-----------------------------------
The petition to wind up Kuen Lee Transportation Company Limited
will be heard before the High Court of Hong Kong on July 25,
2001 at 9:30 am. The petition was filed with the court on May
23, 2001 by Chui Wing Kin of Flat E, 21st Floor, Block 12, Yuet
Wu Villa, Tuen Mun, New Territories, Hong Kong.


MILLION YEAR: Hearing of Winding Up Petition Set
------------------------------------------------
The petition to wind up Million Year Industries Limited is set
for hearing before the High Court of Hong Kong on August 1, 2001
at 9:30 am. The petition was filed with the court on the 29th
day of May 2001 by The National Commercial Bank Limited, Hong
Kong Branch whose principal place of business in Hong Kong is
situated at 1-3 Wyndham Street, Central, Hong Kong.


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I N D O N E S I A
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PT BANK CENTRAL: Shares Oversubscribed 30%
------------------------------------------
The second public offering of PT Bank Central Asia Tbk (BCA)
shares -- listed at the Jakarta Stock Exchange as BBCA-- owned
by the Indonesian Bank Restructuring Agency (IBRA) has been
oversubscribed by 30%.

The amount of BCA's shares offered by IBRA through public
offering represents 10% of the total shares or 588,800,000
shares, while applications for shares received by the managing
underwriter (PT Danareksa Sekuritas) and international selling
agent (PT Merril Lynch) has reached approximately 700 million
shares.

The high interest is mostly shown by domestic investors followed
by foreign investors. Some of the foreign investors who have
invested in the Indonesian stock market since pre-crisis time
have also subscribed for BCA's shares on quite large amounts.

Market satisfactory responses come along with the result of a
public offering which reflect positive progress on IBRA's
efforts and commitment specifically on the BCA restructuring
process, and generally, on the banking sector. The results also
provide positive indications on domestic and international
confidence on the stock market. IBRA hopes the results achieved
on this BCA shares offering will be a stepping stone to
rejuvenate domestic stock market, especially in the banking
shares.

IBRA received a statement of effective action of BCA shares'
public offering on 29 June 2001, and the offering period lasted
from 4 to 6 July 2001. The result will be free to trade on
Tuesday, 10 July 2001.


PT BANK NEGARA: Liquidates Subsidiary
-------------------------------------
PT BNI Faysal Finance, one of the subsidiaries of PT Bank Negara
Indonesia (BNI) and a joint venture of BNI and Shamil Bank of
Bahrain EC, was dissolved, IndoExchange announced on Monday
referring to the report of BNI Corporate Secretary Lilies
Handayani's to the Jakarta Stock Exchange.

The plan to liquidate was decided on June 28 during the
subsidiaries' extraordinary meeting of shareholders to save it
from collapse due to continuing economic dilemma. Further agenda
of the meeting were the appointment of Fathor Rahman as
liquidator and the dismissal of BNI Faysal Finance's board of
commissioners and board of directors starting on July 1, 2001.

The company's stake in the dissolved subsidiary was only Rp12.75
billion, or less than 20 percent of the company's total equity,
which is Rp9.198 trillion as of March 31, 2001 thus the
subsidiaries' liquidation was not included in the company's
announcement.


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J A P A N
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ASAHI BANK: Ratings Downgrade Likely, Moody's Says
--------------------------------------------------
Moody's Investors Service has placed the credit ratings and bank
financial strength rating of Asahi Bank on review for possible
downgrade. The review was prompted by increased concerns that
Asahi Bank's financial fundamentals, particularly its economic
capitalization, and its relatively large unrealized losses in
its investment securities portfolio are under increasing
downward pressure from the continuing deterioration of local
middle-market corporate credit quality. Moody's believes these
risks are increasingly beyond the control of the bank's
management under deteriorating current operating environment.
The review will focus on the degree of financial flexibility
remaining for the bank to deal with these downward pressures,
the bank's ability to properly manage risks associated with its
large special mention exposure, and the depth of management
thinking as to strategic alternatives to break the current
stalemate.

The following ratings were placed on review:

Asahi Bank, Limited -- the E+ bank financial strength rating,
the Prime-2 short-term deposit rating, the Baa1 long-term
deposit rating, the Baa2 unsecured senior debt rating, the Baa1
issuer rating, the Baa3 senior subordinated debt rating, the Ba1
junior subordinated debt rating.

Asahi Finance (Cayman) Ltd. -- the Baa3 senior subordinated debt
rating, the Ba1 junior subordinated debt rating.

AB International Cayman Trust -- the "ba1" preferred stock
rating.

Asahi Bank, Ltd. (Cayman Branch) -- the Prime-2 short-term
deposit rating.


CHOGIN GROUP: Fund-Raising Planned For Failed Credit Unions
-----------------------------------------------------------
Japan Times Online reported yesterday a group of business
leaders feel the need to raise 5.5 billion yen to put four
failed credit unions, Chogin Tokyo Shinyo Kumiai, Chogin Chiba,
Chogin Nagano and Chogin Niigata, back on their feet and lift
their capital adequacy ratio to 5 percent.

Pak Chu Ng, head of the group of supporters and vice chair of
the Korean Federation of Commerce and Industry in Japan, said
the group needs to raise half the 5.5 billion yen total by Sept.
14, when it plans to file a preliminary application with the
Financial Services Agency.

The four credit unions, which mainly cater to North Korean
residents and companies, were declared insolvent in May 1999.
Just for Chogin Tokyo alone liabilities in excess of assets
stood at 193 billion yen at the end of fiscal year 2000.


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K O R E A
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HYUNDAI ENGINEERING: Creditors Aim to Reduce Stake
--------------------------------------------------
Creditors of Hyundai Engineering and Construction are determine
to reduce 12.6 percent stake out of its 69 percent total stake
in the company within this year, The Digital Chosun reports
yesterday.

In the long term, creditors plan to reduce their equity holdings
to 35 percent.

The shares to be sold are equivalent to W386.6 billion, as the
creditors purchased them at W500 per share in the recent debt-
for-equity conversion measure.


HYUNDAI INVESTMENT: Sale Negotiations Completion Near
-----------------------------------------------------
Negotiations between the government and the US-based financial
group, AIG for the sale of Hyundai Investment Trust Management
Company have reached the final stage, Digital Chosun reported
yesterday.

"The government and AIG have agreed on most of the terms of the
sale except for the price at which the insolvent HITMC will be
sold to AIG." Said Chairman Lee Keun-young of the Financial
Supervisory Commission.

He added that that negotiation would most likely be concluded
within the month.


KOHAP GROUP: Failed to Meet W5.3bln Debt Guarantee
--------------------------------------------------
Kohap Group, one of Korea's chaebols under restructuring, has
been charged W329 billion in fines for not clearing its W5.3
billion debt guarantee to its construction arm, Digital Chosun
reported yesterday.

The KFTC approved a one-year deadline extension to remove debt
guarantees, which expired in March.


KOREA DEVELOPMENT: Moody's Assigns Samurai Bonds Baa2 Rating  
------------------------------------------------------------
Moody's Investors Service assigned a Baa2 rating to the proposed
Yen 50 Billion Samurai Bonds due 2006 of Korea Development Bank
(KDB).

The rating reflects KDB's special status as Korea's sole
developmental finance institution. The bank functions as a
conduit for funds derived from domestic and foreign sources that
are channeled to strategic, and often underserved, sectors. KDB
also plays a critical role in the country's reform efforts -- it
provides funds to restructuring corporates with liquidity needs.
Its policy function ensures strong government support but
negatively impacts its intrinsic financial strength.

KDB was established in 1954 pursuant to the KDB Act that
requires the government to maintain 100% ownership and support
the bank's solvency. KDB is also rated Baa3/Prime-3 for its
long-term and short-term deposits, and its bank financial
strength rating is E. As of December 2000, the bank reported
consolidated assets of W81 trillion (US$64 billion).


SEOUL BANK: Deutsche Bank Wants Equity Stake
--------------------------------------------
German financial Deutsche Bank submitted a letter of intent to
Korea Deposit Insurance Corp (KDIC) to take over 30 to 50
percent of equity in Seoul Bank, Digital Chosun reported
yesterday.

KDIC believes the bank would not be interested in taking over
managerial rights in the company.

A KDIC official said details on the acquisition would be
disclosed after the parties established an agreement.


SSANGYONG CEMENT: KFTC Imposed Fines for Failed Debt Guarantee
--------------------------------------------------------------
The Korea Fair Trade Commission (KFTC) announces that it imposed
fines to Ssangyong Cement and brought it to the prosecutor's office on
charges it failed to remove its 31 billion won debt guarantee to
its construction subsidiary, Digital Chosun reported yesterday.

The KFTC extended the deadline for removing debt guarantees for a
period of one year. The revised deadline expired in March.


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


DATAPREP HOLDINGS: Receives SC's Waiver Notice
----------------------------------------------
Dataprep Holdings Berhad on 9 July 2001 received a notification
from VXL Holdings Sdn Bhd (VXL) dated 3 July 2001 with regards
to the waiver granted by the Securities Commission (SC) to VXL
and parties acting in concert with VXL from the obligation to
undertake a mandatory take-over offer in relation to the
Proposed Restructuring Scheme.

Condition Of The SC's Approval

The SC has, via their letter dated 14 June 2001, approved the
application by VXL and parties acting in concert with VXL from
the obligation to undertake a mandatory take-over offer under
Practice Note 2.9.3 of the Malaysian Code on Take-Overs and
Mergers 1998. This is based upon the subscription of 40,000,000
new shares in Dataprep by VXL (SC's Waiver) pursuant to the
Proposed Subscription of Shares with Warrants.

The SC has however imposed a condition on VXL that in the event
the equity shareholding of VXL in Dataprep reduces to less than
50 percent. And subsequently, Dataprep increases its equity
through the conversion/exercise of Irredeemable Convertible
Unsecured Loan Stocks or Warrants or Employee Share Option
Scheme options which gives rise to an obligation by VXL to
undertake a mandatory take-over offer to acquire the remaining
Dataprep shares which are not already owned by them. VXL is
required to submit a fresh application for waiver to the SC at
that point in time.

Contents Of The Notification

VXL has notified the Company vide its letter dated 3 July 2001
that VXL would require an appeal be made against the said SC's
condition.

The Notification is made pursuant to Clause 4.7 of the
Subscription Agreement (Agreement) entered into between Dataprep
and VXL dated 29 February 2000, which is conditional upon,
inter-alia, a waiver being granted by the SC in favor of VXL and
parties deemed acting in concert with VXL from making a
mandatory take-over offer in accordance with the Code.

Pending the outcome of the aforesaid appeal, the conditions
precedent in the Agreement shall be not deemed by VXL to have
been fulfilled.

Response To The Notification

Arab-Malaysian will be making an appeal to the SC on behalf of
VXL on the condition to the SC's Waiver.

The Dataprep Group rents and maintains data processing equipment
and software, markets computer systems and peripherals, personal
computers and computer software, and carries out research and
development of computer software.

Among the Group's key projects is the development of the
electronic community for Kulim High Tech Park. In 1997 the Group
signed a franchisee agreement with Telekom to market its
Corporate Information Superhighway Malaysia Bhd network
services.

The Company had, on 13 January 2000, entered into a MOU with VXL
Holdings Sdn Bhd on a proposed subscription of 40m new shares
and 15,151,515 warrants in Dataprep for RM53.03 million cash by
VXL.

The proposed subscription is an integral part of Dataprep's
proposed restructuring scheme involving a capital reduction and
consolidation, debt restructuring, subscription of shares with
warrants, offer for sale of shares to Bumiputera parties by VXL,
and offer for sale of warrants to existing shareholders of
Dataprep by VXL.


FARLIM GROUP: Aborts Implementation Of Proposals
------------------------------------------------
Farlim Group (Malaysia) Berhad released an addendum to its 4
December 2000 announcement regarding its entrance into a
subscription agreement with Aseambankers Malaysia Berhad,
Malayan Banking Berhad and Arab-Malaysian Merchant Bank Berhad
(Syndicated Lenders.  The agreement to subscribe for the 3
percent non-tradable redeemable convertible secured bonds (Non-
Tradable RCSB) was designed as a settlement of its existing
US$20,000,000 syndicated revolving credit facility (Proposed
Debt Settlement).

It was further announced on the same day that the Company
proposed to implement the following:

   (a) proposed private placement of up to 12,000,000 new
ordinary shares of RM1.00 each in Farlim (Farlim Shares),
representing 10 percent of the existing issued and paid-up share
capital of Farlim (Proposed Private Placement), at an issue
price to be determined at a later date;

   (b) proposed special Bumiputera issue of up to 41,000,000 new
Farlim Shares to Bumiputera investors to be identified at an
issue price of RM1.00 per share (Proposed Special Bumiputera
Issue); and

   (c) proposed increase in authorised share capital from
RM300,000,000 comprising 300,000,000 shares of RM1.00 each to
RM400,000,000 comprising 400,000,000 shares of RM1.00 each
(Proposed Increase in Authorized Share Capital).

The Proposed Debt Settlement, Proposed Private Placement,
Proposed Special Bumiputera Issue and Proposed Increase in
Authorized Share Capital are collectively referred to as
"Proposals".

In view of the current bearish market sentiment, CIMB, on behalf
of the Board of Farlim, wishes to announce that the Company
proposes to abort the Proposed Private Placement and the
Proposed Special Bumiputera Issue. Consequently, the Proposed
Increase in Authorized Share Capital will also not be
implemented.

In respect of the Proposed Debt Settlement, Farlim is currently
negotiating with the Syndicated Lenders to revise certain terms
of the Non-Tradable RCSB to be issued pursuant to the Proposed
Debt Settlement. An announcement will be made once Farlim has
reached an agreement with the Syndicated Lenders on the revised
terms.

On 4 May 2001, CIMB announced on behalf of the Board of Farlim
that an application to the Securities Commission (SC) in
relation to the Proposals would be submitted within two (2)
months, ending 3 July 2001. In view of the latest development,
the Company would not be able to make the necessary application
to the SC by that date. Farlim expects to make the application
to the SC for the Proposed Debt Settlement within six months
from the date the revised agreement is reached.

Profile

The main thrust of Farlim's activities is the development of a
new township known as Bandar Baru Ayer Itam, Penang. The
development represents the single largest development currently
undertaken by a private sector developer on Penang Island,
covering 356 acres of land and comprising approx. 12,000
residential and commercial units. The Company has to-date
launched about 10,095 units of properties with a total sales
value of RM739 million.

In Petaling Jaya, subsidiary Bandar Subang Sdn Bhd, is
developing a 105-acre township known as Bandar Sri Subang
located in the Sungei Way-Subang region. To-date 2,851 units
have been launched and 2,082 units delivered.

While Farlim's core business is property-based, the Company had
in 1992 acquired an interest in oil palm cultivation, and in
1994, the China-based manufacturing industry. The Group's
manufacturing arm in Quanzhou, China, held indirectly through
Farlim Group (China) Ltd, has successfully undertaken two JVs
with Northern Elevators (Malaysia) Sdn Bhd and Nakamura Metal Co
Japan for the manufacture of passenger and cargo lifts,
decorative stainless steel pipes, and mirror-finish stainless
steel plates respectively.

In line with diversification plans, the Company's JV with Suiwah
Corporation Bhd, Crimson Omega Sdn Bhd, commenced its
hypermarket operations in 1999.

Farlim's agreement with Prolink Development Sdn Bhd to acquire
land in Gelang Patah, Pulai, Johor was approved by the SC on 16
December 1999 and shareholders on 29 June 2000. The acquisition
will strengthen the Group's core activity as a leading developer
and enhance its presence in Johor.


HAI MING: Talks With Creditors Over Debt Workout Continue
---------------------------------------------------------
Since the appointment of Public Merchant Bank Berhad as the
financial advisors of Hai Ming Holdings Berhad in April 2001,
the Company has been actively negotiating with its bank lenders
to restructure the existing debts of the Hai Ming Group.

According to Executive Director Wong Mun Wai, the company will
post its announcements on any further developments.


INNOVEST BERHAD: Enters Agreement With Danaharta
------------------------------------------------
Innovest Berhad revealed the Company (Innovest) and two of its
wholly-owned subsidiaries namely, IB Timber Industries Sdn Bhd
(IBT) and Merry Acres Sdn Bhd (MASB) have reached a settlement
with Danaharta Managers Sdn Bhd (Danaharta):

   i) On 23 April 2001, Innovest accepted a letter of offer
dated 18 April 2001 from Danaharta in relation to the swap of
121 plots of undeveloped industrial land measuring 59.31 acres
in Mukim of Plentong, District of Johor Bahru as partial
settlement of the amount owing to Danaharta of approximately
RM71 million.

   ii) On 29 June 2001, Innovest accepted a second letter of
offer dated 22 June 2001 from Danaharta pertaining to the swap
of additional properties and as partial settlement of
Danaharta's debts. The balance of Danaharta's debts of RM1.24
million shall be converted into a 4 year Term Loan.

Details Of Danaharta Debt Settlement

   Background Information

      In 1999 Pengurusan Danaharta Nasional Berhad acquired the
term loan granted to MASB by MBf Finance Bhd and as of 30 April
2001 MASB was indebted to Pengurusan Danaharta Nasional Berhad
for the sum of RM7,742,120 only (MASB indebtedness).

      IB Timber Industries Sdn Bhd (IBT) defaulted in the
repayment of bank facilities granted by Sime Bank Bhd (Sime
Bank) and in 1998 Danaharta acquired Sime Bank's loan. As at 30
April 2001, IBT was indebted to Danaharta for the sum of
RM28,925,300 (IBT indebtedness).

      Innovest also defaulted on the repayment of bank
facilities granted by Sime Bank and in 1998 Danaharta acquired
Sime Bank's loan. As at 30 April 2001, Innovest was indebted to
Danaharta for the sum of RM34,498,268 (Innovest indebtedness).

      As a result of the foregoing, the total amount owing to
Danaharta as at 30 April 2001 was RM71,165,688 (Danaharta's
debts) which was inclusive of capitalization of interest and
penalty.

Pursuant to the abovementioned Letters of Offer, Danaharta's
debts will be settled through the swap of the following
properties and the balance of the RM1.24million will be
restructured into a 4-year Term Loan, the repayment of which
shall constitute a full and final settlement:

   i) 121 plots of undeveloped industrial land measuring 59.31
acres in Mukim of Plentong, District of Johor Bahru and 5
adjoining plots of vacant land in Mukim of Plentong, District of
Johor Bahru .

   ii) Six (6) units of tenanted industrial factories in Taman
Perindustrian Sri Plentong, Johor Bahru;

   iv) A parcel of commercial land designated for petrol filling
and service station in Mukim of Batu,District of Gombak,
Selangor Darul Ehsan ;

   v) One (1) unit of commercial office lot at Wisma Rampai,
Taman Sri Rampai, Setapak, Kuala Lumpur; and

   vi) One (1) unit of shop lot at Selayang Capitol Complex,
Selayang, Selangor Darul Ehsan.

Basis for Determining the Settlement Amount

   An independent valuer was appointed by Danaharta to value the
abovementioned properties and the settlement of Danaharta's
debts was determined after taking into consideration of the said
valuation.

Rationale For Danaharta's Debt Settlement

The Debt Settlement is crucial in restoring the financial
position of Innovest as it will:

   i) provide full settlement of the Danaharta's debts;

   ii) reduce the liabilities of Innovest Group substantially;

   iii) enable the Company to focus its efforts on the
restructuring of Innovest Group to strengthen the financial and
operational health of the Group; and

   iv) enable the management of the Company to focus on its core
business activities ie. timber operations.

Share Capital and Substantial Shareholders' Shareholding

The Danaharta's debts settlement will not have any effect on the
issued and paid-up share capital and substantial shareholders'
shareholdings of the Company.

Earnings

The Danaharta's debts settlement sum of RM71 million will enable
Innovest Group to save an estimated amount of RM6.4 million per
annum in interest.
The Earnings per Share of the Company is expected to increase by
13.5 sen for the financial year ending 31 December 2001 as a
result of Danaharta's debt settlement.

Net Tangible Assets (NTA)

The audited NTA of Innovest Group as at 31 December 2000 will be
enhanced by approximately 13.3 sen as a result of the
Danaharta's debts settlement.

Gearing

With Danaharta's debts settlement, the borrowings of the Group
will be reduced substantially by 83 percent based on the audited
financial status as at 31 December 2000.

None of the Directors or substantial shareholders or persons
connected with the Directors and/or substantial shareholders of
Innovest has any interest, direct or indirect, in the
Danaharta's debts settlement.

The Directors of Innovest, having considered all aspects of the
Danaharta's Debts settlement, are of the opinion that the
Danaharta's debts settlement is in the best interest of the
Company.

Profile

The Company's principal activity was manufacturing and sale of
nets, ropes and twines until 1984, when it sold all its assets
relating to this business and moved into credit and leasing, and
the machining and general fabrication of metal materials. The
Company later diversified into power electronics, fast food
business (Kentucky Fried Chicken or KFC), manufacture of
activated bleaching clay and gypsum products, and poultry
breeding and feedmilling.

Subsequently, the Group divested subsidiaries that were no
longer synergistic with the Group's core businesses via a
reorganization exercise. This included the disposal of its
entire stake in KFC.

In December 1995, the Group completed restructuring exercises
which included the acquisition of three property-based companies
as well as the wood-based business of Sim Hoe Wood Industry.
This transformed the Group into an entity with core businesses
in property development and timber.

The Group expanded its property and timber operations in 1996,
through participation in a multi-billion dollar land
privatization project in Bagan Datoh, Perak, and in a timber
concession covering more than 800,000 acres of forest in Congo,
Africa.

However, the Group revisited the viability of the Bagan Datoh
project and in 1998 decided against going ahead. For the African
investment, the Group's operations were adversely affected by
the civil war. In view of the uncertainties, the costs of
investments and fixed assets in Africa have been substantially
written off.

In 2001, the Company has formulated a three-pronged approach to
restore the Group's financial health, namely, debt restructuring
and settlement with major creditors, divestment of Group's
assets overseas and non-core businesses, and business focus in
core timber operations.


KELANAMAS INDUSTRIES: Awaits SC's Decision Re Meeting
-----------------------------------------------------
Kelanamas Industries Berhad stated an application will be made
by the Company to obtain a Court order to convene the Court
Convened Meeting pending the outcome of Kelanamas' appeal to the
Securities Commission decision.  The application will take place
within one month from 13 June 2001.

Last month, the Securities Commission (SC) rejected the Proposed
Rescue/Restructuring Scheme via its letter dated 13 June 2001 as
the SC deems that Dolomite Berhad (DB) is not suitable for
undertaking the rescue and restructuring of KIB.

It was announced by KIB on 19 June 2001 that the Board of
Directors of KIB has resolved that an application will be made
to appeal against SC's rejection within one month from 13 June
2001.

DB is in the process of compiling the necessary
information/documents to facilitate KIB's aforesaid appeal to
the SC.

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 1 November 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 12 February 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 17 July
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.


L&M CORP: Variance In Results Due Unit Consolidation
----------------------------------------------------
L & M Corporation (M) Bhd (LMCM) announces that the audited
annual results for the year ended 31 December 2000 differed from
the unaudited results previously announced by RM3,298,240. This
is primarily due to the consolidation of L & M Agencies Sdn Bhd
(LMA) that had previously been excluded from the unaudited
consolidated financial statement.

Other adjustments include written back of merger reserve deficit
attributable to L & M Geotechnic Sdn Bhd (LMG), L & M
Instrumentation Sdn Bhd (LMI) and LMA that had previously been
written off in full and net liabilities of LMCM, LMG and LMI
previously over accrued in the unaudited consolidated financial
statement.

Unaudited profit after tax for the year RM13,031,335

Less: Consolidating the net liabilities of LMA previously
excluded from consolidation (RM7,862,764)

Add: Merger reserve deficit attributable to LMG, LMI and
LMA now written back RM3,213,636

Net liabilities of LMCM, LMG and LMI over accrued
previously RM1,350,888

Profit after tax for the year as per audited account RM9,733,095

Background

On 29 May 2000, the High Court granted the Company a restraining
and stay order pursuant to section 176 of the Companies Act,
1965 which has been extended.

On 22 November 2000, the Company filed an application for
another extension for a further period of 90 days from 1
December 2000 to 28 February 2001.

Meanwhile, L&M proposes to undertake a restructuring scheme
which involves:

   i) transfer of its listing status to Eastern Atlas Bhd (EAB),
a newly incorporated company;

   ii) disposal of the entire equity interests in L&M Geotechnic
Sdn Bhd (LMG) and L&M Instrumentation Sdn Bhd (LMI) to EAB;

   iii) rights issue;

   iv) composite scheme of arrangement with financial
institutions and trade and other creditors of L&M and/or LMG
and/or the subsidiaries of L&M with corporate guarantees from
L&M encompassing five separate schemes of arrangement;

   v) acquisition by EAB of the entire equity interests in
Satujaya Sdn Bhd, Kayman Integrated Sdn Bhd and Vistashine Sdn
Bhd;

   vi) liquidation of the remaining subsidiaries of L&M,
excluding LMG and LMI; and

   vi) listing of EAB on KLSE.

L&M and its companies had mainly provided specialized
engineering and construction services. Currently, other than the
Pelabuhan Tanjung Pelepas Project undertaken by L&M Geotechnic
Sdn Bhd, there are neither any on-going projects nor new
projects secured by other subsidiary companies.

Subsidiaries L&M Piling Sdn Bhd and L&M Prestressing Specialist
Sdn Bhd were wound up by creditors on 1 June 2000 and 5 July
2000 respectively.


PICA CORP: Demand Notice For Debt Repayment Received
----------------------------------------------------

In addition to the Company's announcement on 7 June 2001
regarding the status of the Company's Guaranteed Revolving
Underwriting Facility amounting to RM60 million (GRUF), Pica
(Malaysia) Corporation Berhad announces that it had received a
notice of demand from the Guarantor Bank's solicitors, Messrs.
Shearn Delamore & Co.  Shearn Delamore & Co are demanding  
repayment of the outstanding debt within 7 days from the notice
date.

The Company conducted discussions with the Guarantor Banks in
order to restructure the debt. No agreements have be finalized
as of the date hereof.

Profile

Pica specializes in direct equity and equity-related investment,
and through its subsidiaries, is also involved in specialized
financial activities including the offer and arrangement of
equity investments and the provision of mezzanine capital and
equity financing.

Pica makes direct investment in and offers financial assistance
to emerging companies where the injection of additional capital
and financing can generate growth and enhance the profitability
of these companies.

The Company seeks out under-performing and/or under-valued
companies with significant growth potential. Through equity-
participation, it uses its expertise to restructure these
companies and add value to its clients. Its skills range from
corporate finance management to strategic planning and
investment advisory services.

In addition, Pica's network allows it to offer and arrange
intermediary services between Malaysian and overseas investors
and businesses to capitalize on existing resources and to
develop new markets. Its subsidiaries are also involved in
money-lending, fund management and investment advisory services.

In February 2000, the Company embarked on a rigorous plan to
invest in IT-related ventures, via its newly incorporated
subsidiary Pica dotCom. Pica dotCom entered into an agreement to
acquire a 20 percent stake in Oxford Media Sdn Bhd, a premier e-
commerce payment solution provider through a system called
CYBANK. The 20 percent stake entitles the Company to a 14
percent equity interest in CB International Ltd, the owner of
intellectual property rights to the CYBANK system.


SUNGEIWAY HOLDINGS: Placed Under Voluntary Liquidation
------------------------------------------------------
Sunway Holdings Incorporated Berhad announces that Myanmar
SungeiWay Holdings Limited (MSHL), a 99.9 percent subsidiary of
Suninc has been placed under members' voluntary liquidation on
28 June 2001 by a special resolution passed at the Extraordinary
General Meeting of MSHL held on 28 June 2001.

The issued and fully paid-up capital of MSHL is 250,000 Kyats
which is equivalent to US$40,697.

MSHL was incorporated in Myanmar to carry out general trading
but has remained dormant since its inception. The voluntary
liquidation of MSHL is undertaken as there is no immediate and
foreseeable investment plans in Myanmar in the future.

The voluntary liquidation of MSHL will not have any material
impact on the net tangible assets and earnings per share of the
Suninc Group for the financial year ending 31 December 2001.

Profile

The Group is an integrated construction group with core
businesses in quarrying, manufacturing of building materials,
construction and property development.

Among the Group's significant projects are the Kajang Traffic
Dispersal Ring Road worth RM840 million, the North-West Kuala
Lumpur Traffic Dispersal scheme worth RM550 million and two
other contracts at KLIA worth RM160 million.

In late 1995 and 1996, the Group expanded its quarrying
activities to Vietnam to capitalize on the fast-growing
construction sector in Vietnam. Apart from Vietnam, the Group
has offices in Singapore and Hong Kong.

Within the Group's stable of companies, Sunway Construction Bhd
and Sunway Building Technology Bhd (Suntech) are also listed on
the KLSE. In addition, the Group has a 22.7 percent stake in
listed company, Gopeng Bhd which will ensure the Group a steady
supply of cement, a major raw material required in most of its
businesses.

As of September 2000, its stake has diluted to 19.6 percent.

In 1999, the Group completed two 50:50 JVs with Pioneer
International Holdings Pty Ltd (Pioneer) in the quarrying and
premix businesses, and in the ready-mixed concrete business.

The Group's quarry and asphalt businesses were transferred to a
JVC, Sunway-Pioneer Quarry (SPQ) while Suntech merged its ready-
mixed entity with Pioneer, under Pioneer Sun-Mix Concrete
(PSMC).

Together, SPQ and PSMC are the country's leading quarry
operator/asphalt supplier and ready-mixed concrete producer,
respectively.


UNITED ENGINEERS: Unit Remains In Default
-----------------------------------------
United Engineers (Malaysia) Berhad revealed its wholly-owned
subsidiary, Expressway Lingkaran Tengah Sdn Bhd (ELITE) is still
in default in its payment of principal and interest on its
RM400.0 million Bond Issue Facility (BIF), RM440.0 million Note
Issue Facility (NIF) and RM100.0 million Bridging Loan Facility
(BLF).

ELITE informed the Company that as of 28 June 2001, it has fully
utilized its BIF, NIF and BLF, amounting to RM940.0 million.

The principal and interest due and payable as at 28 June 2001
for the above-mentioned facilities are as follows:

Type of Facility  Default Principal  Default Interest
                                     As of 28 June 2001

1. BIF            RM400.0 million   RM65.9 million

2. NIF            RM440.0 million   RM43.1 million

3. BLF            RM100.0 million   RM15.6 million

Total             RM940.0 million   RM124.6 million

The BIF and NIF are secured by way of the following:

   (i) A fixed and floating charge over all present and future
assets, revenues and rights of ELITE other than any such
property, assets, revenues and rights, subject to the Deed of
Assignment; and

   (ii) An assignment of all contracts for the works,
Construction Guarantee and Performance Bonds required to be
issued in respect of Construction Works; all insurances taken by
ELITE in relation to the Concession and Shareholder's
undertakings.

ELITE is currently looking at various alternatives with regard
to its proposed issuance of Al-Bai Bithaman Ajil Islamic Debt
Securities (BaIDS) with face value of RM1,860 million in series
with tenures of 5 years to 13 years and a profit of 5 percent on
the face value payable semi-annually, which it had obtained a
conditional approval from the Securities Commission (SC) in
February 2001.

However, before the BaIDs can be issued, the Primary Subscriber,
PJB Capital Sdn Bhd (PJB) was required to meet certain
requirements imposed by SC. After a series of correspondences
and meetings, PJB informed that it is unable to fully comply
with SC's requirements and thereafter, PJB has forwarded a
written request to ELITE to be relinquished from its role as
primary subscriber. As of today, ELITE has yet to respond to
PJB's request.

In the meantime, ELITE is negotiating with its existing lenders
on a proposed payment of interim interest whilst various
alternatives are being explored to resolve the matter
expeditiously.


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


NATIONAL POWER: Drops US$150-400M Scheduled Bond Flotation
----------------------------------------------------------
Cash-strapped state-owned National Power Corp (Napocor) plans to
ride on the National Government's bond flotation this month,   
dropping its next month's planned US$150-million to $400-million
bond float scheduled in order to cut costs, The Business World
reported yesterday.

The Department of Finance plans to go to the international
capital market to float a ten-year global bond issue worth some
$500 million. The DF asked the company to hold its own bond
float for it expects to generate enough proceeds from the bond
float due to the strong optimism of investors in the Philippine
debt papers.

"I agree with the DoF that it will be better for Napocor's
financial position if we just join with the DoF's bond float.
But then if the proceeds (from the bond issuance) will not be
enough, we may have to continue with our own borrowing to settle
our own obligations," a Napocor official said Tuesday in an
interview.

Napocor has been planning the US$500 million bond float as early
as last year but its financial condition failed to attract
lenders. In fact, it suffered the biggest ever net loss of
PhP12.9 billion last year from only PhP5.6 billion the previous
year.


URBAN BANK: Export Bank Finalizes Reopening
-------------------------------------------
Urban Bank's white knight, Export Industry Bank (EIB) signed a
memorandum of agreement (MOA) this week with the Philippine
Deposit Insurance Corp (PDIC) and the National Association of
Urban Bank Inc. and Urbancorp Investments Inc. Depositors and
Creditors (NAUD), The Star reported yesterday.

The MOA is expected to trigger a series of activities leading to
the reopening of the bank by end August. It also recognizes the
functional merger between Urban Bank Inc. (UBI), Urbancorp
Investment Inc. (UII) and EIB.

However, before the MOA is signed, the Monetary Board of the
Bangko Sentral ng Pilipinas needs to approve the rehabilitation
plan. The white knight anticipates the biggest hurdle is to be
that of getting a 100 percent approval from the creditors and
depositors of UBI and UII.

Benjamin P. Castillo, President of EIB said they have almost hit
the 90-percent mark, and that the NAUD is giving all our support
in getting the remaining minority individuals and corporations
to give their approval.

Urban Bank was placed under the receivership of PDIC in April
2000 after it declared a bank holiday and was later found
insolvent and illiquid.


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


CENTRAL PAPER: No Warrant Exercise In June
------------------------------------------
Central Paper Industry Public Company Limited (CPICO) issued 120
million units of warrant No.1 (CPICO-W1) with 10 years term
offering to the existing shareholders during July 11-18, 2000.

The exercise is fixed on every 3 months of the normal working
hours of the Company's share registrar on the 15th of March,
June, September and December of each year through the maturity
date.

The Exercise Date shall be on 15 September 2000 while the last
Exercise Date shall be on 15 June 2010 respectively.

One unit of warrant gives the right to the holder to purchase
one share of the company in the Exercise Price of Bt10 per
share.

On the Exercise Date of 15 June 2001, no warrant-holders had
exercised the warrants.


MEDIA OF MEDIAS: Plan Examination Postponed To July 23
------------------------------------------------------
A meeting for the examination Business Reorganization Plan of
Media of Medias (Public) Company Limited was originally planned
for July 9, 2001. The examination of the plan has been postponed
to July 23 at 9.30 a.m. at the Bankruptcy Court, according to
Company Planner Yuwadee Boonrong.

Yuwadee earlier announced the company completed the Business
Reorganization Plan and submitted the plan to the official in
charge of bankruptcy and reorganization on June 4, 2001.



THAI DURABLE: EGM Resolves Debt Workout Deal
--------------------------------------------
Thai Durable Textule Public Company Limited announces the
Extraordinary General Meeting of Shareholders of the Company
held on 9 July 2001, at 11.00 a.m. at Suisian Room, 9th Floor
Landmark Hotel, 138 Sukhumvit Road, Klongtoey, Bangkok resolved
the following:

   1. That the debt restructuring and the preparation of
rehabilitation plan of the Company be acknowledged according to
the following details:

      According to the Debt Restructuring Agreement dated 27th
December, 2000 and the Amendment to Debt Restructuring Agreement
dated 24th May, 2001 entered into between Thai Durable Textile
Public Company Limited and Bangkok Bank Public Company Limited
(BBL) for the purpose of restructuring of the Company's debt
owed to BBL by way of conversion of debt into equity, the
Company and BBL agreed that the unpaid interest of the principal
owed by the Company to BBL shall be partly converted into the
Company's shares. The remaining unpaid interest shall be
deducted in accordance with the terms and conditions of the Debt
Restructuring Agreements.

     The conversion of the unpaid interest will require the
Company to issue and allocate 30,051,000 new ordinary shares to
BBL at the offering price of not less than Bt1.00.

     After the subscription of new ordinary shares by BBL, BBL
will hold the Company's shares equivalent to 10 percent of the
then total issued shares.

     In addition, the Company is currently in the process of
preparing a rehabilitation plan, assisted by its financial
advisor, and will then provide it for the consideration the
shareholders' meetings. If the rehabilitation plan is approved
by the shareholders then the rehabilitation plan shall be
submitted to the Stock Exchange of Thailand to enable the
Company's shares to be traded in the Stock Exchange of Thailand.

     As a result of the Debt Restructuring Agreements and the
rehabilitation plan, the Company is required to increase its
registered capital for another Bt4,318,517,000 by issuing
431,851,700 new ordinary shares.

   2. That an increase of capital of the registered capital of
the Company of another Bt4,318,517,000 divided into 431,851,700
new ordinary shares from the existing registered capital of
Bt700,000,000 to the new registered capital of Bt5,018,517,000
divided into 501,851,700 ordinary shares at the par value of
Bt10 each and the amendment to Clause 4. (Registered Capital) of
the Memorandum of Association to reflect the increase of the
registered capital, be approved.

   3. That the allocation of 431,851,700 new ordinary shares at
the par value of Bt10 each as follows:

      (1) To allocate 30,051,000 new ordinary shares to Bangkok
Bank Public Company Limited (BBL) which is a creditor of the
Company, in accordance with the Debt Restructuring Agreement
dated 27 December 2000 and the Amendment to Debt Restructuring
Agreement dated 24th May, 2001 (Debt Restructuring Agreements).
The allocation of the new ordinary shares to BBL shall be by way
of private placement in accordance with the SEC's notification
re: application and permission for offer of new shares.

      The periods for the allocation of the above new ordinary
shares are as follows:

         (1.1) To allocate 18,900,000 new ordinary shares at the
offering price of Bt1.00 to BBL within seven months from the
execution date of the Debt Restructuring Agreements. The terms
and conditions and other relevant details will be determined at
the discretion of the Board of Directors; and

         (1.2) To allocate 11,151,000 new ordinary shares at the
offering price of Bt1.00 or more. The allocation of these new
shares must be completed within a twelve-month period from the
completion of the allocation under (1.1) above. The terms,
conditions and other relevant details will be determined at the
discretion of the Board of Directors.

      (2) To allocate 100,100,000 new ordinary shares by way of
rights issue to the existing shareholders whose names appear on
the share register book on 20th June, 2001 at the ratio of one
existing share : 1.43 new shares (any fraction of shares would
be disregarded) at the offering price of Bt1.00 per share. The
subscription period will be between 16 - 20 July 2001.

          The Board of Directors shall be authorized to allocate
any unsubscribed shares from the rights offering to the
shareholders who subscribe for excess rights shares at the same
offering price on the pro rata basis by reference to the total
number of unsubscribed shares and the total number of shares
subscribed under the excess entitlements. The terms, conditions
and any other offering details shall be determined at the
discretion of the Board of Directors.

      (3) To allocate 100,359,000 new ordinary shares and any
unsubscribed shares remaining from the rights issue or as a
result of the fraction of shares under (2) above to the existing
shareholders by rights issue at the offering price of Bt1.00 or
more per share. Any fraction of shares will be disregarded. Any
unsubscribed shares not taken up by the existing shareholders
will be allotted at the same offering price to the shareholders
who subscribe for excess rights shares on the pro rata basis by
reference to the total number of unsubscribed shares and the
total number of shares subscribed under the excess entitlements.

         The terms, conditions and offering details, such as the
closing date of the share register book to determine the
shareholders' entitlement to the allotment of the rights shares,
the ratio of the existing shares to new ordinary shares under
the rights issue, the offering price and the subscription period
shall be determined at the discretion of the Board of Directors.

      (4) To allocate 201,341,700 new ordinary shares and any
unsubscribed shares remaining from the rights issue or as a
result of the fraction of shares under (3) above to the existing
shareholders by rights issue at the offering price of Bt1.00 or
more per share. Any fraction of shares will be disregarded. Any
unsubscribed shares not taken up by the existing shareholders
will be allotted at the same offering price to the shareholders
who subscribe for excess rights shares on the pro rata basis by
reference to the total number of unsubscribed shares and the
total number of shares subscribed under the excess entitlements.  

         The terms, conditions and offering details, such as the
closing date of the share register book to determine the
shareholders' entitlement to the allotment of the rights shares,
the ratio of the existing shares to new ordinary shares under
the rights issue, the offering price and the subscription period
shall be determined at the discretion of the Board of Directors.

      (5) Any unsubscribed shares remaining from the rights
issue and/or as a result of the fraction of shares under (4)
above may be offered in one or several tranches from time to
time by way of private placement at the offering price of Bt1.00
or more per share in accordance with the Notification of the
Securities and Exchange Commission re: application and
permission for the offer of new shares.

          The details of the offer, such as conditions,
subscription period, offering price and other relevant details
shall be determined at the discretion of the Board of Directors.

The offering price of Bt1.00 or greater per share under (1),
(2), (3), (4) and (5), which is lower than the par value of Bt10
each, can be made in accordance with Section 52 of the Public
Companies Act B.E. 2535.

It is provided that a company that has been operating at least
one year may offer shares at the price lower than the par value
if it has accumulated loss and the shareholders' approval is
obtained. The Company had accumulated loss as shown in its
financial statement as of 31 December 2000.


THAI PETROCHEMICAL: EGCOMP Negotiates Plant Purchase
----------------------------------------------------
Electricity Generating Public Company Limited (EGCOMP) informed
the Stock Exchange of Thailand it intends to participate in the
bidding for Thai Petrochemical Industry Public Company Limited
power plant shares.  

The investment criteria must comply with EGCOMP's investment
guidelines and it must enhance shareholder value.


SIAM STEEL: Announces Debt to Equity Conversion
-----------------------------------------------
Siam Steel International Public Company Limited announced it has
already converted a portion of its debts in the amount of
Bt722,024,910 to new shares at the conversion price of Bt10 per
1 new ordinary share. As a consequence, the paid-up capital of
the company will be increased from Bt365,000,000 to
Bt1,087,024,910.

The company is required to restructure Tier 3 debt of
Bt1,270,671,110 by means of a debt to equity conversion in favor
of the 24 Financial Institution Creditors. The remaining of Tier
3 debts of Bt548,646,200 will be converted to equity later.


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

Troubled Company Reporter -- Asia Pacific is a daily newsletter
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Copyright 2000.  All rights reserved.  ISSN: 1520-9482.

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                      *** End of Transmission ***