R&A seeks court declaration that EGM notice issued by founder is invalid

PETALING JAYA: Guidance Note 3 (GN 3) firm R&A Telecommunication Group Bhd is taking legal action against its founder Francis Tan Hock Leong, who called for an EGM to remove four directors.
The company said in a filing with the stock exchange that it had on November 10 filed an originating summons against Tan in the High Court of Malaya, seeking a declaration that the EGM notice issued by Tan on November 1 is invalid and of no effect.
R&A is also seeking a declaration that any general meeting of R&A, including any adjourned meeting thereof, sought to be convened by Tan pursuant to the notice of EGM is invalid.
The EGM is set to be held at 10am on November 22 at Cheng Yi Auditorium, The Kuala Lumpur And Selangor Chinese Assembly Hall, Kuala Lumpur.
Last month, R&A received written requisitions from Nexgram Holdings Bhd and Tan to convene an EGM for the removal and appointment of directors.
The directors whom they seek to remove with immediate effect are Sim Keng Siong, Chua Soo Seong, Lim Tiong Jin and Selva Rasan Datuk Puspa Das while the three directors to be appointed are Rajendra Raja S. Govindaraj, Cheang Soon Siang and Kamal Abdul Aziz.
Tan stepped down from his position as executive director last December. Tan and Nexgram hold 7.93% and 6.83% equity interest in R&A respectively.
R&A returned to the black for the three months ended June 30, 2017, registering a net profit of RM1.07 million against a net loss of RM583,000 in the same period a year ago.
Its regularisation plan is still pending the approval of Bursa Malaysia.