Supplier files winding up petition against Libra unit

DISTRESSED Libra Group said on Thursday its supplier Yick Hoe Steel Industries had filed a winding up petition dated Nov 12 in the High Court of Malaya against Libra's subsidiary, Libra Engineering & Manufacturing Sdn Bhd.

The winding up petition will be heard on Feb 10, 2020 at 9am.

The Catalist-listed company added that it is taking legal advice on its next steps and "considering its options with regard to the winding up petition".

The Singapore High Court had granted Libra a six-month debt moratorium on Oct 14.

Before the moratorium was granted, one of Libra's creditors, United Overseas Bank (UOB), had in September sent letters of demand claiming that certain default events had happened with banking facilities granted to Libra Engineering Pte Ltd.

According to earlier bourse filings by Libra, UOB asked for more than S$1.3 million to be paid - which represents the sums guaranteed, as well as outstanding amounts, under the entire credit line.

In November, UOB appointed receivers for Libra's mortgaged property in Loyang Drive.

Libra suspended trading in August when it could no longer continue as a going concern due to the various claims filed against two subsidiaries of the company.