Friday, November 10, 2006

They will let Meda Inc Bhd sink. Many suppliers are suing them.

They are planning to dump Meda Inc...after ripping it off

A few more minutes and I will be leaving the office.

Azmi called to say our gang is meeting up in Sri Hartamas. He knows how ***king pissed off I am with the Meda Inc for not settling our invoices for so long. He has close friends who often meet up with people who work in Meda or one of the other companies.

Insiders say the owners are planning to let Meda Inc run down. It has very poor reputation which they lack the ability to salvage. Generally investors are also not keen on this counter. They may be running out of suppliers and contractors to "cheat". They are feeling the burden.

Azmi said they are putting their efforts and money - funds from Meda Inc, and money due to suppliers - into developing a very big project in Kota Damansara. This project will include condos, shopping malls, university, houses and so on, approx RM800 million worth.

But, surprise surprise, it is not a Meda Inc project.

This project is placed under another private company which the Teohs have set up, called Casa Andaman Properties Sdn Bhd. That's where the money is being pumped into.

On the 18th floor of their office block Menara Summit, you can see a lavishly decorated Casa Andaman Properties Sdn Bhd office. That's how they are using some of your (investors) money and my company's money which they owe us.

These people have failed their directors' duties. They collect their generous monthly salaries and bonuses from Meda Inc, but they place good and profitable projects under their own personal private companies. So, what have the owners and directors done for the good of the company??

Very soon they will dump Meda Inc. Then they will list Casa Andaman on the Bursa. Different company but the same crooks. (see below)

Azmi said he is sure they are using Meda money to finance the project. Many banks have pulled back their credit lines from Meda Inc because of their poor financial conduct.

As I said in an earlier post, Meda can be considered a bankrupt company.

Inside informants told Azmi that Meda Inc is busy facing a lot of lawsuits - from suppliers, contractors, tenants and customers.

Now I am really worried. They have not settled our invoices amounting to more than RM50,000. We are not a big company, how can we absorb such a heavy loss if they really sink? And my little bit of commission is in there, too!

Same thing at Kumpulan Emas

South City Plaza at Seri Kembangan

Early this year, Kumpulan Emas which operates South City Plaza and is also owned by the same people, changed its name to Eco First. When the reputation gets worse, they abandon the company or change its name. It had been badly managed and lost hundreds of millions of ringgit. (I think it's more likely that the money went somewhere else. How else did they get development rights for Kota Damansara, which is a very big project costing almost RM800 million?) In a report in The Star dated 25 Feb 2006, the Teoh brothers had sold down their stake to only 12%. By then, they have already sucked the company dry. Meda Inc may be the next victim.

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