New NKF V. Old NKF
The civil trial by the new board against the old executive committee – former CEO TT Durai, chairman Richard Yong, treasurer Loo Say San, board member Maltilda Chua and business associate opened on 8 January 2007. Damages of S$12 million are sought for alleged mismanagement, breach of duty and damage and loss to the organization. Durai was accused of running the charity to his advantage, destruction of documents, and the like, with the new committee asserting that as a charity, NKF as a charity, and Durai as CEO, should be subjected to a higher and more rigorous standard of care. On the third day, Durai accepted all liabilities and all claims against him. The only public statement by Rajah - Durai's lawyer - was to confirm that his client had dropped out of the matter.
Later that day around 1700 (SST), NKF's lawyer, Shanmugam, confirmed to reporters that Durai conceded; the amount of damages to be paid to the NKF are still to be settled. However, the decision by the other defendants to continue will have implications to other equally liable directors and third parties (Alwyn Lim, Lawrence Chia, Kweh Soon Han and Chow Kok Fong). The result of Durai conceding will make the trial shorter rather than an expected eight-week trial.
Read more about this topic: National Kidney Foundation Singapore Scandal