An extraordinary general meeting (EGM) has been requisitioned by the controlling shareholder of Catalist-listed door maker KLW Holdings, the company said in a Singapore Exchange filing on Thursday.
Veteran boardroom fighter Quek Chek Lan, who holds a 19.4 per cent stake, and another shareholder Siew Yong Wan with a 0.04 per cent stake are convening the EGM on Oct 12 to remove three directors from the five-man board.
They are seeking to appoint four new ones, including Mr Quek himself. The other three appear to have worked with Mr Quek when he was chairman of Teledata. These are Wong Joo Wan, a corporate advisor who joined Mr Quek on the board of Teledata in 2004; Nicholas Narayanan, a lawyer who was appointed to the board of Teledata while Mr Quek was there; and Lim Jit Siew, who was chief financial officer at Teledata under Mr Quek's watch.
In a Sept 23 letter to KLW shareholders that the firm uploaded on SGX, Mr Quek and shareholder Siew Yong Wan said they were concerned about recent developments at the firm.
"Despite the present directors' assurances, there remains many unanswered questions" at KLW's July 29 annual general meeting, the two wrote. "If an immediate and decisive course of action is not taken to address these issues, the company may suffer irrevocable damage to its fundamental business."
KLW had said in a May 27 bourse filing that its founder and managing director, Lee Boon Teck, had entered into three term sheets without board approval. It later said it had appointed special auditors to investigate the circumstances surrounding the three term sheets.
""The ongoing special audit investigations into the company's internal control lapse and corporate governance failures must take its course. It is not our intention to cease or hinder the investigation process," Mr Quek and Mr Siew said.
"However, given that these lapses and failures occurred during the present directors' tenure, it is important that the board of directors be reconstituted so that the company can start on a fresh slate and concentrate on its business operations."
KLW shares last closed S$0.001 or 11.1 per cent up at S$0.01 on Wednesday. Thursday was a public holiday.