I have decided to email the CSC again with my previous questions as well as new questions with regards to the apportionment method and the CSA. Perhaps the CSC will have more time this time round to respond to all my questions.
For the sake of fairness and transparency, I have reproduced my email to the CSC for all to see.
"RE: Feedback on BGV Enbloc
From: BGV Stayer (enbloc_bgv@hotmail.com)
Sent: 31 December 2009 20: 39PM
To:
Cc: enbloc_bgv@hotmail.com
Dear Botanic Gardens View CSC,
I am writing in to place on record the various points as stated below:
1. During the EOGM held on 23 August 2008, the apportionment method of 50/50, removal of the lower reserve price clause, etc., were among the suggestions that surfaced. Although the CSC said they would consider the suggestions given by the owners, most, if not, all of them were not taken up. It would seem that written feedback is the only feedback that the CSC would seriously consider. This was not explicitly stated to owners either at the EOGM or via your previous letters. IT ALSO BECKONS THE QUESTION OF WHAT IS THE POINT OF HOLDING EOGMS IF THE VERBAL FEEDBACK GIVEN THEN ARE NOT SERIOUSLY TAKEN?
2. There seems to be a vote of no confidence in the market situation with the inclusion of the lower reserve price clause in the CSA. If the CSC has no confidence in the market, shouldn’t it be better to wait till the next upturn, rather than to sell BGV at whatever price we can? The lower reserve price clause should be removed to safeguard all owners against the quick sale of BGV. It seems like a case of “die die must sell”. We are NOT in dire strait that we need the money from the enbloc sale.
3. In the revised CSA, there are NO details on HOW the CSC will report the lower reserve price to all the owners.
a) Will ALL owners be informed? Or only the 80% who have signed the CSA will be informed? Or only the owners who are PRO-SALE sellers will be informed as they are likely to sign the supplemental agreement TO ACCEPT THE LOWER SALE PRICE?
b) How will all the owners be notified of the lower reserve price? Through an EOGM? Or through a selective process where only owners who are pro-sale sellers will be informed?
4. In the revised CSA, it seems to be a case where only those who AGREE to the lower reserve price have to sign the supplemental agreement.
a) As indicated in 3b, how can we be assured that the CSC has made every effort to contact each and every owner? What sort of assurance is the CSC giving to us, knowing that in the past, some owners had wilfully been omitted by the CSC from notification about the enbloc news?
b) In the case of owners who have signed the CSA but don't agree to the lower RP, what assurance do we have from the CSC and Credo that these owners would not be badgered and harrassed continuously into signing the supplementary agreement? Can we have assurance in black and white from the CSC and the lawyers that once these owners have indicated they want to withdraw from the CSA, they will be left alone thereafter?
5. There is no timeline stipulated for the informing of owners of the lower RP and no timeline stipulated for the collection of the supplemental agreement. The lawyers and the CSC have refused to set a timeframe in black and white citing it should be the developer’s/ buyer’s call. Therein lies the danger of allowing the CSC to NEGOTIATE with a potential buyer. If the timeline is going to be long drawn-out , e.g. if the CSC made arrangement with the buyer to sell BGV at the lower RP in exchange for 12 months to gather the signatures for the supplemental agreement, there is nothing we could do if the market picks up during the 12 months. That is not looking after the interest of the owners other than making a sure sale at a lower than agreed RP. A time frame of say, 2 months should be fixed by us, the owners so that we can be assured that the CSC is truly looking after our interests, that is, if after 2 months FROM THE FIRST SIGNATURE ON THE SUPPLEMENTAL AGREEMENT THERE WERE INSUFFICIENT SIGNATURES, the enbloc sale will STOP rather than compromise to a lower reserve price.
6. I have earlier feedback during the 30 October deadline that the CSC and Credo should explain in greater detail why you felt that the 70/30 method is far superior to the other 5 apportionment methods detailed in the Credo presentation (included with the 12 September letter). It remains to be seen if the CSC and Credo would clarify this point or choose to ignore a legitimate query.
7. Also in my earlier feedback, I have asked both the CSC and Credo to clarify on what criteria will you be considering individual owners’ feedbacks? Currently, it would appear that the CSC and Credo is firmly committed to the 70/30 method since it has remained the same despite the EOGM discussions. Likewise, the changes to the CSA appear superficial and is tightened only to protect the CSC further from unhappy owners should a lower RP prevail, rather than in response to the numerous concerns over the lower reserve price matter. In other words, how will you revert to all owners on the feedback received (ie the exact nature of said feedback), your responses to them, why you made the decisions you chose to make, including why you felt that any feedback is unacceptable. Again it remains to be seen if the CSC and Credo will answer a legitimate query or choose to ignore it at their own convenience.
Yours sincerely,
Wong Hwei Ming
Blk 9, #09-17"
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