The much maligned MIC's Maika Holdings Bhd has now found a new owner in Westports executive chair G Gnanalingam through his new company G Team Resources with a paid up capital of RM1.6 million, taking over 12 percent interest held by the former's management.

Maika has been a heart- breaking experience for the Indian Malaysian community. Many from the lower strata economy sold their properties to purchase Maika shares in the 1980s, only to get nothing in return all these years.

The company was meant to enlarge the economic pie of the Indian community but a series of business ventures went bust.

NONE Asked whether MIC president, S Samy Vellu would be profiting from what  described as a 'social service' move, Gnanalingam ( left ) rejected the notion, saying that he could not recall seeing the MIC leader's name as a major shareholder.

The official bid for Maika shares would take place on May 1, he told a press conference in Kuala Lumpur today, adding that he would head a team of trustees to manage the company.

The other trustees are S Kuna, Bank Negara and Petronas director N Sadhasivam, ex- MIDA director general R Karunakaran and special aide on Indian affairs from Prime Minister's Department, P Ravin.

Asked why the offer was lower than previous ones, he pointed out that the value of Maika shares had depreciated during the 1997 economic crisis.

Currently the company is worth RM85 million.

No meeting with shareholders

When asked on whether he would be meeting shareholders, he said 'no'.

"They are all over the country. Even if we have a meet, not all would be able to come," he added.

He was optimistic that shareholders would be able to receive their money directly within the next three to six months.

NONE He concurred with Maika director, S Vel Paari (right) that this takeover plan was not a political gimmick as it was drawn up at the beginning of the year.

In a press statement distributed to the press, he explained that Maika's cash cow, Oriental Capital Assurance Berhad's (OCAB) value was RM140 million but that had dropped by RM10 million.

"Maika only owned 74.6 percent. Hence its value to Maika would only be RM99 million."

He added that Nesa Multipurpose Cooperative Society's court injunction would not be a stumbling block as it was meant only to stop Maika from selling its assets.

"We are not selling assets. This effort is meant to return the shareholders' money."

The whole exercise, he admitted, would result in a 20 percent loss.

He, however, is optimistic that OCAB can be sold for a profit. Similarly, the land in Sepang would be developed before being put on the market.

On future plans for Maika, he said that once the assets are sold, Maika would be wound up.