SCB steps back from WEH

SCB steps back from WEH

Siam Commercial Bank, the country's second-largest lender by assets, says SCB has no involvement in the drama engulfing Wind Energy Holding (WEH).

In a statement yesterday, the bank said the disputes between WEH's former and current shareholders and between the current shareholders and the Narongdej family are unrelated to SCB.

"We have yet to accept WEH shares as collateral because the shares remain mired in controversy," SCB said. "Furthermore, the bank will not approve any financial support for shareholders to repay former stakeholders, following their purchase contacts."

The WEH saga erupted in April after Nop Narongdej was publicly alienated by his own family, with KPN Group releasing a statement accusing him of improperly using the Narongdej family name to advance his business while withholding crucial information regarding WEH from the family.

Mr Nop is chairman of renewable energy firm WEH.

KPN said that no member of the Narongdej family, including Kasem Narongdej, Krishn Narongdej and Korn Narongdej, is involved in WEH, and any statements linking them to the company would be considered impersonation.

The family reserves the right to take legal action against the source of any such statements.

In late May, the High Court of Hong Kong issued an injunction prohibiting a company owned by Mr Kasem from divesting itself of WEH shares, bolstering suspicions of inappropriate behaviour in the company and confirming the involvement of the Narongdej family in the scandal.

The court prohibited Golden Music Ltd, a Hong Kong-based firm owned by Mr Kasem, from selling its 37.8% stake in WEH. Mr Nop is Mr Kasem's son.

SCB said WEH has received loans from the bank for eight power projects. Three of those, with a combined capacity 240 megawatts, have already commenced commercial operations.

WEH has also made debt payments adhering to the bank's time frames and conditions.

The remaining five power projects are under construction and development, with a total capacity of 450MW.

"SCB considers all eight projects under possible evaluation to be progressing well, with cash on hand and sufficient debt payment ability, so all considerations are in line with SCB's policy," the bank said.


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