Chinese to buy 24 NZ dairy farms?

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Chinese to buy 24 NZ dairy farms?

Post by digidog » Thu Mar 25, 2010 4:38 am

Bernard Hickey has a good piece on who is intending to buy 24 NZ dairy farms and questions the legitimacy of the buyers.
May Wang has a colourful past involving failed businesses here,
litigious creditors and alleged infringements of the Companies Act.
UBS sued her several years ago after she launched a funds management
company called UBS NZ. She has since changed the name to UBNZ.
Creditors have been on her tail for various monies owed.
http://www.nzherald.co.nz/nz/news/artic ... 274&pnum=0" onclick="window.open(this.href);return false;

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Re: Chinese to buy 24 NZ dairy farms?

Post by seabird3 » Thu Mar 25, 2010 10:15 pm

Some more interesting articles here from Richard Rennie

http://www.nzfarmersweekly.co.nz/article/8134.html" onclick="window.open(this.href);return false;

May Wang acting as front for Chinese dairy investors
15-03-2010 | Richard Rennie
The Chinese business woman fronting a large scale investment in New Zealand dairy farms has defended her chequered business history here.

May Wang has two liquidated businesses and owes hundreds of thousands to creditors and business partners through a failed property and hotel company, Dynasty Group.

She left New Zealand in October 2008, the day after Dynasty Group was liquidated, but returned last year to lead Chinese-backed efforts to buy a large number of dairy farms from the CraFarms group, now in receivership, and more recently, two dairy units owned by NuGen Farms, now in receivership but formerly owned by Allan Crafar's son Robert.
Wang is the NZ face of UBNZ Assets Holdings, the company that has bought at least four Crafar dairy properties here, despite still requiring Overseas Investment Office (OIO) approval.

"We went through a very difficult time with Dynasty Group, and my business partner walked away from the business. I became responsible for dealing with all creditors and payments," she told the The NZ Farmers Weekly from Singapore.
Wang claimed to be continuing to repay creditors from her own funds.

The OIO has stated Wang's business history suggests she could struggle to personally fund the land purchases which are estimated to amount to $25 million. However, Wang claims her New Zealand citizenship means she is just as entitled to buy property as anyone else in this country.

Her company UBNZ Trustee Ltd was the first registered buyer of the NuGen Farms (Robert Crafar) properties bought last month. However, titles were immediately transferred to UBNZ Assets Holdings, of which she owns 80%.
The remaining 20% of UBNZ Assets is owned by NZ Natural Dairy Ltd. It is in turn a wholly owned subsidiary of Hong Kong-held Natural Dairy (NZ) Holdings, in Hong Kong.

This prompted a "please explain" from the OIO.

"We were acting on the advice we had at the time that told us if we carried out the original contract we did not break the law," Wang claimed.

She said her company's solicitors were working now to file an application for retrospective consent from the OIO.
The colourful business background of Jack Chen, listed as a director of NZ Natural Dairy, also raises questions.
Chen was reportedly prevented from running any company in mainland China for three years in 2004 due to breaches in securities law. Company records here register him as residing in Howick, Auckland. Complaints were also filed to the Hong Kong stock exchange as late as last year about Chen's involvement in Natural Dairy (NZ) Holdings.

Wang claimed the OIO would be hard pressed to turn down the application to buy the land, claiming no individuals were involved that should not be in the businesses. However, she refused to comment on Chen's past.

Wang and others were reported flying around Bay of Plenty and Waikato as late as last week in a chartered helicopter looking at properties for potential purchase.

She claimed the next stage of investment will include an ultra-high temperature (UHT) milk plant to process and export product back to Asia.

Natural Dairy (NZ) Holdings has already claimed in Chinese press it had a deal with UBNZ, a company it described as a "New Zealand milk processing company", back in November. This is despite UBNZ having no plant or farms under its full ownership at this point.

Wang said the higher-than-current market prices paid for the properties bought so far were justified on the grounds they were based on prices agreed with the vendors in late 2008 when the market peaked.

However The NZ Farmers Weekly understands similar high prices have been touted on more recent propositions in Western Southland and Wang confirmed the company was considering land there.

She said wealthy individuals were underwriting the bid to buy land in NZ, with $100 million deposited in a NZ bank account on Christmas Eve.

Funders include a Chen Fashu, one of China's 25 richest men with a net recorded wealth of US$1.5 billion. Chen's empire includes a 7% stake in the massive Tsingtao brewery. He purchased $NZ25 million of shares in Natural Dairy (NZ) on December 22 last year.
http://www.nzfarmersweekly.co.nz/article/8122.html" onclick="window.open(this.href);return false;
The New Zealand Farmers Weekly | Lead Story
OIO drums fingers over sale application
08-03-2010 | Richard Rennie

As tenders close for two more farms owned by Robert Crafar, approval remains to be granted for the sale of two others last month to a Chinese backed company.

Crafar's company NuGen Farms is in receivership.

The sales of two properties to UBNZ Assets Holdings, 20% owned by a Chinese company, are now subject to Overseas Investment Office (OIO) approval. However, by late this week the office had yet to receive UBNZ's application seeking that approval.

OIO concerns have focussed on Natural Dairy (NZ), the Chinese company holding a 20% shareholding in UBNZ Assets Holdings. The other 80% is owned by Chinese businesswoman May Wang who has a history of liquidated and defunct businesses.
Absence of any mortgages associated with UBNZ's land purchases is surprising, given the known history of May Wang.
Natural Dairy also has a complex history, having existed to all intents under two previous names before being formed late last year.

In its last guise as China Jin Hui Mining it was implicated in attempts to purchase farms from Robert Crafar's father Allan , prior to his company also going into receivership in October 2009. That deal fell over through a lack of funds.
China Jin Hui Mining ‘s business history includes three years of loss making. It also had a chairman who was found guilty of breaking Chinese securities regulations in an earlier business.

The company has also been implicated in a Hong Kong Stock Exchange fraud scheme, involving voluntary liquidation and sale of assets to management before creditors are paid out.

Major injections of share capital late last year and the name change to Natural Dairy (NZ) could indicate however where funds have come from for these latest land purchases.

Significant shareholdings were purchased in newly formed Natural Dairy (NZ) by two wealthy Chinese investors in December, buying $HK400 million of shares in the company.

The board of Natural Dairy (NZ) also contains several individuals who were also on the China Jin Hui board. These individuals have strong links to Chinese government, immigration and banking interests.

This sale of the two Robert Crafar properties at prices almost 20% above flat market values has surprised many in the real estate industry. One 190ha property at Norsewood sold for $7.1 million and another at Waitotara for $2.8 million.

Bayleys reports good interest in the remaining two property tenders that were to close last Friday (March 5).
The mainstream media have been slow off the mark on this issue - and pathetic in reporting the major issue.

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Re: Chinese to buy 24 NZ dairy farms?

Post by seabird3 » Thu Mar 25, 2010 11:10 pm

Cactus kate has a very good summing up of it all

http://asianinvasion2006.blogspot.com/" onclick="window.open(this.href);return false;

Friday, March 26, 2010
May Yan WANG

Fun with the Companies Office Website

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Re: Chinese to buy 24 NZ dairy farms?

Post by seabird3 » Fri Mar 26, 2010 12:09 am

http://www.nzherald.co.nz/nz/news/artic ... d=10634420" onclick="window.open(this.href);return false;
Dairy farm bid affiliate known to fraud office
By Adam Bennett 4:00 AM Friday Mar 26, 2010

Interests associated with Hong Kong-listed Natural Dairy - which is seeking to buy New Zealand dairy industry assets worth hundreds of millions of dollars - have already been subject to scrutiny by authorities including the Serious Fraud and Overseas Investment Offices.

Natural Dairy this week set alarm bells ringing over its plans to buy $1.5 billion of dairy farms and milk-processing plants here.

Farmers groups and Opposition MPs fear the firm's plans may prove to be the start of a big overseas buy-up of what is our biggest export industry.

However, the Government is taking a hands-off approach, saying the Overseas Investment Office (OIO) process is strong enough to protect the national interest.

Through its 20 per cent-owned New Zealand subsidiary UBNZ, Natural Dairy yesterday clarified its plans, saying it was in the process of buying 22 farms - previously owned by the Crafar family but now in receivership - for what is thought to be about $300 million.

The firm said it was trying to raise $1.5 billion to fund a buying spree in New Zealand.

UBNZ has already purchased four other former Crafar dairy farms. That prompted an OIO investigation as the office suspected UBNZ was effectively buying on behalf of Natural Dairy, and it had not sought approval.

The OIO's investigation was suspended after UBNZ retrospectively applied for the necessary approval.

UBNZ's directors include Sir Ngatata Love, former head of the Maori Development Ministry Te Puni Kokiri, and Aucklander May Wang, an 80 per cent shareholder.

Ms Wang has a history of business failures and is due in court next week on charges in relation to her Dynasty Group, which is now in liquidation.

Two years ago, she was the subject of a Serious Fraud Office investigation and next week faces Companies Office charges of failing to keep adequate accounting records and failing to assist liquidators.

Deputy Prime Minister Bill English yesterday said there had been an overreaction to Natural Dairy's plans, given the scant information available.

Natural Dairy has submitted an OIO application for its latest proposed acquisition and Mr English said he was confident the deal would be vetted thoroughly. Asked about the credibility of Natural Dairy, its business associates, and its offer for Crafar farms, he said: "That is something that would come to the surface in the process of going through the OIO.

"There's a good investor test in there and they need to be an acceptable investor. There's also a character test. We'll see what the OIO does here."

By Adam Bennett | Email Adam

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Re: Chinese to buy 24 NZ dairy farms?

Post by digidog » Fri Mar 26, 2010 10:08 pm

The Chinese group trying to buy the Crafar farms backed out of a previous deal
to buy 29 farms from Carter Holt Harvey for $224m.
"The Carter Holt people said unless you pay the whole purchase price up
front into a solicitor's trust account while you're waiting for [Overseas
Investment Office approval] we won't deal with you," Knight said.

"So we said, 'Look we can't do that, thank you very much, goodbye'."

http://www.nzherald.co.nz/business/news ... d=10634605" onclick="window.open(this.href);return false;

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Re: Chinese to buy 24 NZ dairy farms?

Post by seabird3 » Sat Mar 27, 2010 4:18 am

Ms Wang obviously has lots of history.

http://www.nzherald.co.nz/lincoln-tan/n ... d=10543182" onclick="window.open(this.href);return false;
SFO looks at Dream Maker nightmare
By Lincoln Tan 4:00 AM Saturday Nov 15, 2008

They called May Wang the Dream Maker.

Through her string of businesses, she could sort accommodation, find property, even organise film industry work.

Now the Serious Fraud Office is investigating Ms Wang's various enterprises, which are believed to owe millions in taxes and have left creditors and investors facing debts in excess of a million dollars.

SFO chief executive Grant Liddell says those owed money by Ms Wang should get in touch "if they have information that they think we might be interested in".

Ms Wang is a director or former director of 18 companies including Dynasty Group, Universal Finance & Investments NZ, Sun Management, Credit Swiss Funds Management NZ and MW Advisory NZ.

Dynasty Group Ltd went into liquidation on October 3, and Ms Wang failed to attend the liquidator's office for a formal examination on October 13.

Inquiries have established that she purchased a one-way ticket to Hong Kong on October 10.

One complaint to the SFO alleged that Ms Wang used "fraudulent" and "deceitful" methods that included arranging for mortgages using unwitting investors' names.

One complainant is now saddled with a mortgage debt of $1.04 million.

"She transferred a second mortgage to two finance companies without my knowledge ... I am not the only person as a victim. There are quite a few people who have been trapped on other plots as well," the complainant said.

The Weekend Herald spoke to two investors who claimed to be victims of Ms Wang, whom they described as charming, confident and deeply religious and an active member of Botany's Fo Guang Shan Buddhist Temple.

Investor Ron Huang said he trusted Ms Wang because she was a Buddhist.

Mr Huang - who described Ms Wang as the Dream Maker - invested his life savings in a South Island film project, believing it to have backing from Hollywood, Bollywood and China.

"However, I only found out after I parted with $200,000 that there hadn't even been any intention to even complete the project," said Mr Huang, a retired Taiwanese businessman.

The proposed $20 million, four-storey film studio stalled after a failure to get consents to build next to the Dynasty Methven Resort Hotel, which was co-owned by Ms Wang.

Helen Tait, a former assistant general manager at the hotel, which has been closed since April, said Ms Wang had also used the hotel at Mt Hutt village to bring in unqualified Chinese workers.

An advertising executive who did not want to be named said he was left with debts of over $1 million after Ms Wang convinced him to put two Dannemora properties in his name.

"She told me it was to help me build financial credibility with the banks," he said. The two houses will probably go to mortgagee auction.

By Lincoln Tan | Email Lincoln

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Re: Chinese to buy 24 NZ dairy farms?

Post by digidog » Sat Mar 27, 2010 5:46 am

It's worth reading Cactus Kate's analysis (link above) of who's really behind May
Wang's attempted multi-million dollar buy up of NZ farms. Then read Lincoln Tan's
article and you'd have to ask, is this a fit and proper person to purchase a major
share of our dairy industry? Obviously not.

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Re: Chinese to buy 24 NZ dairy farms?

Post by seabird3 » Sat Mar 27, 2010 9:52 am

A search on the Bob Day Property U Report brings up some interesting entries
http://www.bdcentral.co.nz/wawcs0144491 ... as%3D3#779" onclick="window.open(this.href);return false;

Results 1 - 8 for "may wang". (0.09 seconds)

U: The names behind the action, the week - Auckland and New ...Bankruptcy application: $3.4 million bankruptcy claim against May Wang. Defendant: May Yan Wang, city, now address unknown ...
http://www.bdcentral.co.nz/afa.asp?idWe ... eyProperty.." onclick="window.open(this.href);return false;.

Auckland and New Zealand Property - Bob Dey Publishing20 Oct 2009 ... Summary judgment: Judgment given against May Wang. Defendant: May Yan Wang, city. Applicant: Westpac NZ Ltd ...
http://www.bdcentral.co.nz/afa.asp?idWe ... eyProperty.." onclick="window.open(this.href);return false;.

Auckland and New Zealand Property - Bob Dey Publishing8 Sep 2009 ... May Wang settles bankruptcy action. Names, connections, 2+2 .... Bankruptcy application settled: May Wang settles bankruptcy action ...
http://www.bdcentral.co.nz/afa.asp?idWe ... eyProperty.." onclick="window.open(this.href);return false;.

Part 4 - Auckland and New Zealand Property - Bob Dey Publishing20 Apr 2008 ... Directors: Robert Reece, Orakei; & May Wang, city. Receivers: Damien Grant & Steven Khov (Waterstone Insolvency) ...
http://www.bdcentral.co.nz/afa.asp?idWe ... eyProperty.." onclick="window.open(this.href);return false;.

Auckland and New Zealand Property - Bob Dey Publishing22 Sep 2009 ... Directors: May Wang, city. Applicant: Westpac NZ Ltd. Liquidators: Official Assignee. Other details: An application to bankrupt Ms Wang was ...
http://www.bdcentral.co.nz/afa.asp?idWe ... eyProperty.." onclick="window.open(this.href);return false;.

Auckland and New Zealand Property - Bob Dey PublishingDirectors: Noel Johnson, Hamilton; May Wang, city, resigned on 29 May and Robert Reece, Alfriston, resigned on 18 April but remain listed as shareholders ...
http://www.bdcentral.co.nz/afa.asp?idWe ... eyProperty.." onclick="window.open(this.href);return false;.

Part 1 - Auckland and New Zealand Property - Bob Dey PublishingDynasty Group Ltd (third director May Wang, city) was wound up on 3 October. Mr Johnson is a director of Denita Holdings Ltd, Distant Dreams Productions Ltd ...
http://www.bdcentral.co.nz/afa.asp?idWe ... eyProperty.." onclick="window.open(this.href);return false;.

U: The names behind the action, the week - Auckland and New ...28 Dec 2008 ... Quiknet Communications Ltd, South 40 Ltd & VRM Holdings Ltd (with Robert Reece & May Wang, company struck off February 2008). ...
http://www.bdcentral.co.nz/afa.asp?idWe ... eyProperty.." onclick="window.open(this.href);return false;.

None of this would suggest the lady has the skills and experience necessary to front a dairying operation of this magnitude. It will be a tragedy for the Industry, (and New Zealand), if the OIO let this deal proceed.

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Post by digidog » Sat Mar 27, 2010 6:46 pm

The Herald keeps up the pressure:

http://www.nzherald.co.nz/nz/news/artic ... d=10634824" onclick="window.open(this.href);return false;

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Re: Chinese to buy 24 NZ dairy farms?

Post by seabird3 » Sat Mar 27, 2010 9:07 pm

Sunday Star Times too.


Character doubts put $1.5b farm deal at risk
By GREG NINNESS
http://www.stuff.co.nz/sunday-star-time ... al-at-risk" onclick="window.open(this.href);return false;

Allowing dairy takeover act of economic treason
by Michael Laws
http://www.stuff.co.nz/sunday-star-time ... ic-treason" onclick="window.open(this.href);return false;

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Re: Chinese to buy 24 NZ dairy farms?

Post by seabird3 » Tue Mar 30, 2010 8:35 am

Richard Rennie has a followup, front page lead in the 29th March NZ Farmers Weekly.

http://www.nzfarmersweekly.co.nz/article/8159.html" onclick="window.open(this.href);return false;
The New Zealand Farmers Weekly | Lead Story
$1.5 billion question mark
29-03-2010 | Richard Rennie

Chinese investors claiming $1.5 billion of funds to invest into New Zealand dairy industry assets have so far managed to source only 10% of the money they want.

Natural Dairy (NZ) Holdings has so far spent about $25 million on Crafar properties - and even these deals are subject to Overseas Investment Office (OIO) approval.

The company has $140 million parked in a New Zealand account while further fund raising efforts continue in China.

Natural Dairy's claims to be seeking a billion dollar-plus deal could be part of an effort to drum up greater interest among potential investors in Hong Kong, a senior Asia-based investment banker says.

"It is a classic share ramp exercise to generate as much noise as possible and hype it to the news media in Asia, so ‘friendly' stock brokers can persuade the gullible this is a great investment story," the banker said.

The same source noted Natural Dairy's claims were high on unsupported figures and low on specifics.

The same company claimed in Chinese news media last year it was investing in UBNZ Assets Holdings a "New Zealand milk producer", despite that company having no assets in dairying here.

The New Zealand face of Natural Dairy Holdings, May Wang told Farmers Weekly the fund raising effort was being underwritten by Hong Kong based company Sun Hung Kai.

However, she acknowledged that raising money in China was not necessarily easy.

"We need to prove what we are doing to potential investors to build their confidence."

The spending by Natural Dairy is intended to include dairy processing plants. However, all existing independent operators including Synlait said they were not in negotiations with the company.

Wang said if unable to buy into a plant the company would consider building its own to process UHT milk for sale back in China.

"The South Waikato area is a focus for this," she said.

However proposed South Waikato milk company Arapuni Milk gave a categorical "no" to inquiry about Chinese investment in its construction.

So far the $25 million spent on Crafar farm properties includes two owned by Robert Crafar and two properties owned by Windburn View, which includes Robert and Glen Crafar as shareholders.

While May Wang is 80% share holder in UBNZ Assets Holding with title to the properties, the funding source is China-based, Cayman Island's registered Natural Dairy (NZ) Holdings, which has a wholly owned subsidiary here - NZ Natural Dairy.

Farmers Weekly has traced the main source of funds back to two major share transactions that occurred when Natural Dairy NZ Holdings was formed last December.

Two wealthy Chinese investors, Liu Haiying and Chen Fashu assumed 80% ownership of the company purchasing HK$400m (NZ$80 million) worth of shares.

Wang has confirmed that Chen Fashu is a "major shareholder" in the deal.

Fashu is ranked 277th on Forbes rich list, and sits among the top 30 wealthy elite in China. Last year he was subject to a fraud probe, based on claims a major charity he formed was a means of evading tax.

OIO requirements may also prove another hurdle for Natural Dairy Holdings. Failing to apply for OIO consent for the first four Crafar properties has put the venture on the back foot, having to seek retrospective consent on that deal.

The application was only filed in the past week despite the land sales being completed last month and the OIO could take 10 weeks to make a decision to approve or disallow the sale.

Specific conditions exist in the Overseas Investment Act that could yet trip up that deal yet, such as the business history of an applicant.

Natural Dairy was previously known as China Jin Hui Mining, which was implicated in "P Chip fraud" schemes common on the Hong Kong stock exchange that involve management winding up companies and claiming asset profits ahead of creditors.

Jack Chen, director of NZ Natural Dairy and a former Jin Hui board member, was barred from running a business in China for three years due to security law breaches in 2005.

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Re: Chinese to buy 24 NZ dairy farms?

Post by seabird3 » Tue Mar 30, 2010 9:16 am

As always, Cactus Kate cuts straight to the chase here.

W(r)ONG on WANG
http://asianinvasion2006.blogspot.com/" onclick="window.open(this.href);return false;

Would that the MSM did this sort of analysis.

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Re: Chinese to buy 24 NZ dairy farms?

Post by seabird3 » Thu Apr 01, 2010 3:34 am

And from the NZ Herald today

http://www.nzherald.co.nz/rural-propert ... d=10635831" onclick="window.open(this.href);return false;

Chinese dairy farm application sent back for more info
11:45 AM Thursday Apr 1
The Overseas Investment Office has asked Natural Dairy NZ, the Hong Kong-listed company looking to invest some $1.5 billion of dairy assets including the failed Crafar family assets, for more information about its proposed New Zealand acquisitions.

OIO manager Annalies McClure said the check wasn't a "substantive assessment of the merits" of the application, rather it was a query as to whether Natural Dairy had provided enough information about its bid.

"Our check of the application shows further information is required and that the correct fee has not been paid," McClure said in a statement.

"It is standard practice for the OIO to perform an initial assessment of the level of information provided with any application and to check the correct fee has been provided."

Natural Dairy has settled on four farms and is in talks to buy another 24 from UBNZ Asset Holdings, of which it owns 20 per cent, and lodged its application with the OIO last week.

It plans to fund its investment in cash and convertible bonds. The company is incorporated in the Cayman Islands and recently changed its name from China Jin Hui Mining Corp.

In a statement to the Hong Kong Stock Exchange, Natural Dairy asked for a waiver from releasing a circular containing further details on the acquisitions and a notice convening a special general meeting of shareholders as "additional time is required for the company to update and finalise the profit and loss statement and valuation of the production lines and the pro forma profit and loss statement and net assets statement on the enlarged group."

Natural Dairy also said in bold that "shareholders and investors should note that the acquisition is subject to various conditions."

- Businesswire

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Re: Chinese to buy 24 NZ dairy farms?

Post by seabird3 » Sat Apr 03, 2010 8:50 pm

http://www.nzherald.co.nz/nz/news/artic ... 199&pnum=0" onclick="window.open(this.href);return false;

Dairy queen owes sex compo
By David Fisher 3:00 AM Sunday Apr 4

NZ HeraldThe woman behind a $1.5 billion dairy farm bid owned a collapsed hotel chain, in which her husband was accused of "inappropriate touching" and "sexual harassment" of a staff member.

Property developer May Wang, who is the frontwoman for the Hong Kong-based bid for more than 20 North Island farms, says she has now split up with her husband and the hotel has been sold.

Wang lives in a palatial, $5 million clifftop home in St Heliers, but the mail has piled up in the box as she pursues business interests in Asia.

The Herald on Sunday revealed last week that she is being investigated by the Inland Revenue Department.

She is listed in Companies Office documents as the link to Hong Kong's Natural Dairy (NZ) Holdings, which has announced an agreement to buy dairy farms and other assets for $1.5 billion.

But a chef at her hotel in Methven says he never received the comparatively paltry $15,000 in compensation for constructive dismissal, unpaid wages and legal costs ordered by the Employment Relations Authority after his wife was sexually harassed there.

Michael Franks says he was astounded to see May Wang resurface fronting a huge bid for dairy farms.

"We weren't paid at all. Now she says she has $1.5 billion to buy these farms ... I can't understand how the system let it happen. If she can run around like that then she can afford to pay her debts."

May Wang's involvement in the dairy bid has raised questions about the collapse of the Dynasty group of companies, which ran hotels and developed properties.

She owned and was director of the group of six failed companies, which owed at least $2 million - and she is currently facing charges in the Auckland District Court over failing to answer questions about the businesses.

The Herald on Sunday has found her former husband Thomas Wang was named in an Employment Relations Authority action against one of the failed companies, Dynasty Methven.

The legal action was taken by Mayfield's Michael Franks for unpaid wages after he was hired as the resort hotel's executive chef. He was awarded $15,000 but has not received the money.

Franks said Thomas Wang was sent to Methven to run the hotel and it turned into a shambles. He said he rang May Wang and she said: "Well, he's my husband. What do you want me to do about it?"

The authority accepted Franks' claim - and also accepted that Thomas Wang had sexually harassed and inappropriately touched the chef's wife Izumi.

In the authority ruling, Franks was recorded stating that Thomas Wang was "more a hindrance than a help" running the hotel.

He would socialise with junior kitchen staff - who had been hired from China - who would turn up late and hung over.

The authority said evidence showed Thomas Wang "developed an inappropriate interest" in Izumi, who was hired as a housemaid, and sexually harassed her.

Izumi Franks quit, followed by Michael Franks after he refused an order to report for work early and lay tables in the restaurant. Authority member James Crichton found he had been constructively dismissed.

The authority said effort had gone into getting the Dynasty group into the hearing to represent itself - but no one turned up.

The liquidator's report into the failed Dynasty group also found problems getting May Wang to answer questions about the collapse.

Natural Dairy (NZ) Holdings spokesman Bill Ralston provided an emailed statement from May Wang, whom he said was in Asia.

She said her marriage had been of a "short duration" only, and she did not learn of the employment ruling until long after the Methven hotel had gone under and been sold.

Regarding her involvement in the farm deal, she said the money belonged to her financial backers in China and elsewhere, not to her.

By David Fisher |

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Re: Chinese to buy 24 NZ dairy farms?

Post by seabird3 » Sat Apr 03, 2010 9:22 pm

http://www.stuff.co.nz/business/farming ... ts-reality" onclick="window.open(this.href);return false;

Wang faces debts reality
By GREG NINNESS - Sunday Star Times
Last updated 08:00 04/04/2010
The Chinese businesswoman trying to orchestrate a $1.5 billion buy-up of this country's dairy assets is likely to face further court action from unhappy creditors this week.

The Sunday Star-Times understands Hawke's Bay-based Wine Country Credit Union will file summary judgement proceedings next week in relation to a loan it made to May Yan Wang.

It is believed Wang defaulted on the loan and skipped the country without making any arrangements over the debt, which is understood to total about $300,000.

Wang is also believed to owe a significant amount of money to Kiwibank which may join Wine Country Credit Union's proceedings.

It will not be the first time she has faced such action. In October last year, Westpac had summary judgement entered against Wang for $620,000 after she failed to appear in court.

It is also believed that lawyers acting for Wang may be preparing a formal proposal to put to her creditors, which, if agreed to, could see some of her debts forgiven in return for part payments over time.

However a source familiar with her debts said Wang would need to satisfy creditors' concerns on three major points first:

She would need to provide comprehensive information about her current financial situation;

Details of her future sources of income would also need to be provided;

Undertakings about her ability to leave the country would need to be given.

Wang has been in Hong Kong trying to drum up support from investors for her ambitious plans. She is due to appear in the Auckland District Court on April 28 to face charges brought by the Companies Office relating to her management of a group of companies which collapsed into liquidation in 2008.

In the meantime, her plans to buy up dairy farms and factories appear to be unravelling.

Claims that contracts were in place to buy a large part of Crafar Farms, this country's largest family operated farming business, appear to be wide of the mark.

It is believed the contracts were conditional offers which lapsed when the Crafar companies were put into receivership in October last year and no new contracts have been entered into with the receivers

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