Chinese firm wants Dhara Dhevi rights
published : 14 Jan 2015 at 13:52
writer: Online Reporters
A Chinese businessman filed a complaint with the Crime Suppression Division on Wednesday, claiming he had been deceived by a Thai company into paying 1.1 billion baht for a majority stake in a famous luxury Chiang Mai hotel and then denied management rights.
Choey Loey, a signatory director of Yunnan Hai Chang Industrial Group Stock Co Ltd, claimed his company had bought a stake from Naddasri Co Ltd, the company that owned the Dhara Dhevi Chiang Mai hotel, according to Matichon Online.
Naddasri had promised to sell its 49% stake in the hotel and to persuade other shareholders to sell another 2%.
Mr Choey said he had been led to believe with a 51% stake, his company could immediately manage the hotel.
The Chinese company therefore entered into a contract to buy the stake for 1.1 billion baht but after the payment, it got only 45% of all shares and Naddasri's articles of association on shareholders' meetings were changed to allow only the owner with 80% of all shares the right to vote.
The Chinese company ended up not being able to manage the hotel as planned even if it had been transferred the entire 51% stake.
"We believe this is deception and fraud," he said.
The Chinese company also filed a petition with the Stock Exchange of Thailand's board and the Bank of Thailand to investigate into ACAP Asset Management Co Ltd, to which Naddasri owed 922.5 million baht. He claimed the creditor refused to accept repayment of the last instalment of 2.5 million baht after being repaid 920 million baht earlier.
Mandarin Oriental ceased management of the property in mid-2013 and the name of the hotel was changed to the Dhara Dhevi Chiang Mai. It is now run by Dhara Dhevi Hotel Co Ltd, according to its website.