Forty-two percent (42%) of the shares of Sea Passion Corporation worth nearly a million dollars USD will be auctioned off on June 5th at 9:30am at the Office of the Director of Public Safety in Koror, Palau.
Six (6) Defendants holding 42% of the total shares of Sea Passion Corporation will have their shares publicly sold off to satisfy the Default Judgment entered in favor of Judgment Creditors against six (6) Defendants as Judgment Debtors in February of this year.
No payment has been paid to the Plaintiffs since the Default Judgment of the Civil Action 18-098 was issued against the six defendants, Wang Yung Chen, Yang Kuo Hung, Chang Pi Chu, Tsai HsinChing, Wi Chin Te and Chou Chu Sheng in February.
Sea Passion Corporation, a Taiwanese business incorporated early 2000 in Palau was sued by its principal incorporator and shareholder Mr. Chiang Shui-lang on behalf of himself and nine former shareholders for debts owed by remaining shareholders of the corporation.
In 2012, 10 out of the 17 shareholders agreed to sell their shares amounting to 40% of the corporate shares to satisfy corporation’s owed external debts. The 40% of the shares were sold to Mr. Shiu Hung Chao, the current Chairman and CEO of Sea Passion Corporation.
It was agreed at that corporate board meeting that the remaining shareholders will each pay back other shareholders from their shares.
No such action was taken and Mr. Chiang Shui-lang filed a suit against the remaining 7 shareholders but six of the shareholders were served. Last of the 7 shareholders was not found.
According to Mr. Shui-lang’s attorney, those shareholders did not respond to the suit and the court ordered that the suit filing met requirements of the process and the amounts filed in the suit were justified.
Follow up civil action was filed in aid of this judgment resulting in the above mentioned public notice to sell shares of the defendants.
Last week a Motion to Intervene was filed by current Chairman and CEO Shiu Hung Chao claiming that he, his wife and child, have purchased all the shares of Sea Passion Corporation.
No record of such purchase of shares exist at the Office of the Foreign Investment Board or the Corporate Registrar where by law, any sale or any divestment of corporate shares is required to be reported annually.
The 77-room Sea Passion Hotel located at Malakal, Koror is the major asset of the corporation in Palau. Whoever purchases these shares will own majority of the stocks of this corporation. (By L.N. Reklai)