SINGAPORE - KLW Holdings said it has received a cheque payable to the company for the sum of $1 million, the first of three payments under a legal settlement proposal with investor Michael Chan Ewe Teik. However, the cheque received is only due for clearance on Dec 10.
In an exchange filing on Tuesday (Dec 4), the investment holding and door manufacturing company said it will monitor the clearance of the cheque on Dec 10 to decide its next course of action.
Catalist-listed KLW is claiming a total of about $7.8 million from Mr Chan and his company Straitsworld Advisory Limited, for legal costs and the commitment fees paid under the term sheet for a property development project in Zhangye Gansu, China.
In a Singapore Exchange filing on Monday, KLW said Mr Chan had appealed against a bankruptcy order filed against him by KLW in February to recover the payments.
On Nov 29, Mr Chan proposed to split the payments into $1 million to be paid by Dec 3, $1.5 million by Jan 3 and the balance of $5.3 million by April 7. KLW accepted Mr Chan's proposal offer.