Friday 29 Mar 2024
By
main news image

KUALA LUMPUR (Feb 19): Paragon Union Bhd will receive a reduced total sum of RM16.5 million following a settlement agreement between the company and Prestamewah Development Sdn Bhd and Liw Jun Wai.

In a filing with Bursa Malaysia today, Paragon Union said the initial sum ordered by the Court of Appeal for Prestamewah and Liw to refund was RM18 million.

According to the settlement agreement, Prestamewah will pay its portion of the RM13.5 million by transferring three units of three-storey factories worth RM11 million to Paragon Union as partial settlement.

Upon completion of the properties transfer, Prestamewah will pay another RM100,000 while Liw will pay his portion of RM3 million.

For the balance of the settlement, Prestamewah will pay another RM2.4 million in six equal monthly installments of six pre-signed post-dated cheques in the amount of RM400,000 each.

With the settlement, Paragon Union shall withdraw the bankruptcy proceeding against Liw and the winding-up petition filed against Prestamewah with no order as to costs.

Paragon Union said the settlement agreement will not have any material effect on its revenue and earnings but the net assets per share of the company will increase in line with the settlement properties being recorded as fixed assets of the company.

      Print
      Text Size
      Share