The battle for control over City Developments Limited (CDL) highlights familial tensions amid corporate strategy debates.
**Family Feud Erupts Among Singapore's Wealthiest Clan**
**Family Feud Erupts Among Singapore's Wealthiest Clan**
A dramatic dispute shakes the Kwek family, once united in business success.
A family feud reminiscent of HBO's "Succession" has erupted among one of Singapore's wealthiest families. Kwek Leng Beng, the 84-year-old executive chairman of City Developments Limited (CDL), has accused his son, Sherman Kwek, the CEO of the property giant, of an attempted boardroom coup. In court documents filed on Wednesday, the elder Kwek, along with CDL, alleged Sherman, two other board members, and a group of directors were attempting to seize control of the firm.
"This action is necessary to address the coup at the board level and restore corporate integrity," stated Kwek Leng Beng. Following the development, CDL, Singapore's largest property developer, suspended trading of its shares on the local stock exchange. The firm announced its intent to replace the CEO when deemed appropriate.
Should Sherman Kwek be ousted, the interim CEO position is set to be filled by his cousin, Kwek Eik Sheng. The contention ignited from an email sent by CDL's corporate secretary on January 28, nominating additional independent directors, coinciding with the Lunar New Year festivities, a significant holiday period in Singapore.
This family dispute has garnered public interest, shining a light on the dynamics of family-run businesses in Singapore, which often find themselves in legal disputes. Following a court proceeding on Wednesday, CDL confirmed that the newly added directors had agreed to refrain from exercising their powers until further notice.
Despite the chaos, CDL announced that Sherman Kwek would continue as CEO until matters are resolved. Sherman expressed his disappointment over the extreme measures taken by his father, citing a disagreement regarding the board's composition and size. The Kwek family, which regained control of CDL from its financial difficulties back in 1971, has witnessed the company grow into a multi-billion-dollar global empire with over 160 properties, including hotels, residential, and commercial ventures.
