CAD swoops in on Tee Int'l after PwC report flags possible wrongdoings

Singapore

A DAY after Tee International's external investigator released a report that said laws might have been broken, the white-collar crime buster has swooped on the mainboard-listed company.

In a statement to the Singapore Exchange on Wednesday night, Tee said it had been asked to furnish documents to the Commercial Affairs Department (CAD) and also provide assistance in investigations into an offence.

The white-collar crime buster's actions came hot on the heels of a 13-page executive summary released by Tee's external investigator PricewaterhouseCoopers Risk Services (PwC) on Tuesday.

The PwC summary noted that former group chief executive Phua Chian Kin had admitted to taking company funds to repay his own debts as well as satisfy margin calls from stock brokers.

Tee is required to provide the CAD access to the following:

CAD has taken certain documents and items from the premises of the company on March 4, said Tee in the regulatory statement.

Further, Tee has received a notice to provide access to the computer(s) containing corporate e-mail accounts and instant messages or chats accounts assigned to Mr Phua, former group chief financial officer Yeo Ai Mei; and financial controller Tan Keng Hean.

Mr Phua was relieved of his CEO duties last September but remains a director. However, Ms Yeo was asked to resign after being asked to do so last week, due to her involvement in the remittances.

"The business and operations of the company are not affected by the investigations and will continue as normal. The company will monitor the progress of the investigations and make such further announcements as required," the company stated.

The counter closed 0.3 Singapore cent, or 6.98 per cent, down at S$0.04 on Wednesday, before Tee issued this statement on the investigations.