Wednesday 22 October 2008

Daughter Demoted


Citic Pacific has demoted Frances Yung Ming-fong, daughter of its chairman Larry Yung Chi-kin, and cut her salary for her involvement in the unauthorised foreign-currency bets, managing director Henry Fan Hung-ling said yesterday.

1 comment:

Guanyu said...

Daughter Demoted

Carol Chan
22 October 2008

Citic Pacific has demoted Frances Yung Ming-fong, daughter of its chairman Larry Yung Chi-kin, and cut her salary for her involvement in the unauthorised foreign-currency bets, managing director Henry Fan Hung-ling said yesterday.

Shareholder activist David Webb had earlier questioned her role in the risky currency transactions. “Did she [Ms Yung] know what was going on, or is her title misleading?” Mr Webb asked.

Ms Yung, 36, was listed as “director, group finance” in the company’s 2007 annual report but not “group finance director”. Her salary was not disclosed.

Citic Pacific said on Monday that group finance director Leslie Chang Li-hsien, 53, resigned after failing to obtain proper approval before conducting those transactions.

Financial controller Chau Chi-yin, 52, also quit for failing to exercise oversight or notify the chairman of unusual hedging transactions.

But Mr Webb said that in the annual report Mr Chang was listed as deputy managing director instead of group finance director and Mr Chau executive director, not financial controller.

Mr Fan said Ms Yung was head of the company’s finance department and reported to Mr Chang. Although she was involved in the transactions, she was not a board member, Mr Fan said.

Ms Yung had been demoted and received a pay cut, Mr Fan said.

He said Ms Yung had not told her father about the transactions before the company uncovered the matter last month.

Ms Yung was unavailable for comment.