OUE C-Reit independent director to remain in role amid unrelated legal dispute, manager says

TAN Huay Lim remains suitable to continue as independent director and audit and risk committee chairman of OUE Commercial Real Estate Investment Trust ’s (OUE C-Reit) manager, its board said on Monday (May 29). (*see amendment note)

The bourse filing came after Tan, who is also lead independent director at Dasin Retail Trust (DRT), informed OUE C-Reit’s board that an originating claim was filed against him and DRT’s trustee-manager.

DRT substantial unitholder Zhang Zhencheng is suing Tan on allegations that Tan’s conduct has been “oppressive” and “in disregard” to Zhang’s interests. He is seeking, among others, Tan’s removal from the board of the trust’s manager.

In deciding that Tan remains in his role, OUE C-Reit’s board considered that the legal proceedings were not criminal in nature and do not concern the affairs of OUE C-Reit’s manager and the Reit.

Furthermore, as the proceedings are still pending, with Tan planning to defend the claim, the courts have yet to determine any fraud or dishonesty which involves any breach of law and regulations.

The board also took into account Tan’s track record and experience as a former partner of a Big Four auditing firm. In spite of other commitments, Tan was able to give sufficient time and attention to his duties as an independent director of the manager.

SEE ALSO

Dasin Retail Trust substantial unitholder sues lead independent director, seeks his removal from board

OUE C-Reit units closed flat at S$0.33 on Friday.

*Amendment note: A previous version of this story incorrectly stated that Tan was the chairman of OUE C-Reit when he is in fact the chairman of its audit and risk committee.