June 26, 2020 - 585 views

Credit Corporation (PNG) Limited says it held its Annual General Meeting on 25 June 2020 with the assistance of its share registry Link Market Services as a virtual meeting in accordance with best practice and regulatory requirements. It was conducted consistently with the procedures adopted by many other PNGX and ASX listed companies such as Bank South Pacific and Oil Search in the COVID 19 environment.

In a statement to FM100 News Credit Corp says depite claims that TISA Group Chief Executive Officer Michael Koisen the AGM was conducted in this way for the safety of our shareholders and in compliance with Government restrictions on gatherings in response to COVID 19.

Last week TISA Group Chief Executive Officer Michael Koisen called for the removal of Syd Yates as the Chairman of Credit Corporation and allow a Papua New Guinean to assume the role.

Koisen claims that shareholders of Credit Corporation did not fully participate and interact with the board and management during an online Annual General Meeting.

He said The AGM was controlled and chaired from overseas by Syd Yates.

Mr. Koisen says during the AGM, the shareholders of Credit Corporation ask questions, make comments and interact with the board and management; however this year they were denied that right.

Mr. Koisen says the ordinary Papua New Guineans do not have the capacity to participate in electronic meetings.

The Covid-19 pandemic was used by the company and its board to guide and control the shareholders forum.

But Mr. Koisen says the board used Covid-19 to avoid topical shareholder concerns and issues within the company.

In its statement  Credit Corp explained that While the AGM procedure was different to past meetings because of COVID 19, all shareholders had a full opportunity to participate in the meeting and to submit questions, both before and during the meeting. Indeed, TISA’s representative, Mr Koisen, submitted to the meeting a statement that was strongly critical of the meeting procedure and the Board.

As he did for a number of other questions submitted to the meeting, the Chairman, Mr Syd Yates, ensured that the statement was read in its entirety to the meeting, before he addressed the matters raised.

Contrary to Mr Koisen’s claims, in fact the virtual AGM format provided a significantly enhanced opportunity for shareholders to attend and participate in the AGM, especially those located outside Port Moresby or subject to travel restrictions. Many shareholders were very complimentary of how the AGM was conducted.

Meantime, Mr Yates, who was re-elected as the Company’s a director at the AGM. Of the Company’s 1,800 odd shareholders, only 3, or 0.17%, voted against Mr Yates’ re-election. It is the prerogative of the Board to appoint the chair.

Mr Yates has a long and distinguished career of more than 20 years in the Papua New Guinea financial sector, with his outstanding achievements including the successful IPO and dual listing of Kina Securities on the ASX and PNGX (formerly POMSoX) in 2015 together with the acquisition of MayBank PNG. Kina Securities is PNG’s first financial institution to be listed on the ASX.

During his time at Credit Corporation, Mr Yates has adopted a strong shareholder focus and in his first full year as Chairman, has steered the Group to a FY19 total shareholder return of 36%.

Despite the challenges presented by COVD 19, Mr Yates has been highly proactive and effective in leading the Company through the current unprecedented situation.



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Mike, 2 weeks ago