Gan Siew Liat, Executive Director of KNM and also the wife of Lee Swee Eng, former CEO of KNM, has been caught scamming the company’s employees. By diverting millions either directly or indirectly into her wealth.

Several documents when cross-checked show that for the past 2 years she has been diverting and issuing a significant amount of KNM shares to her family (illegally) and relatives. According to the data, almost 155 million out of almost 185 million units(84 %) of KNM’s shares have been issued to her family members(including herself and her husband also). The beneficiaries are 2 of her cousins and also one non-employee director(Mohd Rizal Bahari Bin Md Noor). These shares were meant to be for the employees of the company under ESOS (Employee Stock Options Scheme).

By granting these shares to her family members instead of employees. They have violated clause 4 of KNM ESOS guidelines which states that these shares have a vesting period of 3 years. There were questions putting up for the Bursa Malaysia. As there were not any appropriate announcements and sometimes delays also on Bursa Malaysia’s official website( regarding those issuing of shares). In accordance with

clause 10.08 of Bursa Malaysia’s listing requirements regarding entitlement to the substantial shareholder and the person connected to her.

Not only she diverted the shares, but she also issued the Independent Directors’ shares during this period along with the ESOS scam. These shares were issued to non-employees and also surprisingly with little or no vesting period.

After being caught with sufficient evidence in these scams she and the people who were with her in all this, have been dismissed by the KNM board of directors.

According to the reports it is assumed that Lee Swee Eng and his friend/colleagues control no more than 15 % of outstanding shares of the KNM group. But it is well known that Lee Swee Eng and his group have a good grasp over the majority of votes on the board of directors. Which could help his wife and other people related to the ESOS employee scam to escape out smoothly without or little charges.