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Tee International ex-CEO interviewed by CAD, removed from director post

TEE International on Thursday night said its former chief executive officer (CEO) Phua Chian Kin has been interviewed by the Commercial Affairs Department (CAD).

Based on the order it received from the CAD on Wednesday to provide certain documents and assist in investigations, the engineering group believes Mr Phua's interview is related to an offence under the Penal Code, Chapter 224.

Tee has removed Mr Phua from his post as director of the company and the group. He has also surrendered his travel documents to the CAD.

The company's external investigator, PricewaterhouseCoopers Risk Services, on Tuesday released a report that noted Mr Phua had admitted to taking company funds to repay his own debts as well as satisfy margin calls from stock brokers.

Mr Phua has informed the board that he will continue to cooperate fully in the investigations and that he will keep the board updated on material developments of the investigations, Tee said.

The business operations of the group are continuing as usual, the mainboard-listed company added.

Mr Phua was CEO of Tee International until September last year, when he was relieved of his duties but remained a director.

Tee had in September removed Mr Phua as an authorised signatory for all payments by the group. On Feb 14, 2020, Tee's nominating committee decided to remove group chief financial officer (GCFO) Yeo Ai Mei as authorised signatory for all payments by the group, and the company is in the process of removing her as an authorised signatory for all payments by the group with its bankers.

Tee's financial controller will also be removed as an authorised signatory for all payments by the group.

Ms Yeo is currently serving her six-month notice after Tee had asked her to leave in February. She will continue to serve as GCFO until a new CFO has been appointed, Tee said.

Tee International shares closed down 0.4 Singapore cent or 10 per cent to 3.6 cents on Thursday.