The former CEO of Midas Holdings, Patrick Chew Hwa Kwang, was charged on Thursday, February 10th 2022 for allegedly failing to use reasonable diligence in the discharge of his duties as a director. He was said to have failed to exercise reasonable supervision over the financial affairs of the Midas’ subsidiaries, Jilin Midas Aluminium Industries and Luoyang Midas Aluminium Industries. He allegedly ceded control of his legal representative stamps for the two subsidiaries to other parties to enter into loans or to stand as guarantors of loans in the name of the two firms.
Here is the relevant section in the Companies Act with regards to directors’ duties.
For this offence under the Companies Act, Chew shall be liable on conviction to a fine not exceeding $5,000 or to imprisonment for a term not exceeding 12 months according to section 157(3)(b).
When in doubt, seek legal advice or consult an experienced ACRA Filing Agent.
The editorial team at Singapore Secretary Services
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