KUALA LUMPUR (July 12): EVD Bhd (KL: EVD) has reinstated its chief executive officer and major shareholder Mah Seong Huak, whom it had suspended for the past six months, following what appears to be the conclusion of a boardroom tussle.

The company, which provides information and communications technology solutions for transportation systems, said in a bourse filing on Friday that the decision was made following a 'special board meeting' on the same day, although it did not disclose any reason for the reinstatement.

It had also not given any reason for suspending Mah when the decision was announced on Jan 11, other than saying that the suspension would have no financial or operational impact on the company.

In its Friday bourse filing, EVD said Mah will resume his role of overseeing the company's day-to-day executive management functions with immediate effect. His areas of responsibilities include project management and engineering, project tender and budget, project system engineering, and business development.

Mah is the largest shareholder in EVD with a 30.08% stake in the company, according to Bloomberg data, followed by non-executive chairman Datuk Wong Sak Kuan (12.21%), co-founder cum executive director of corporate Gan Wee Peng (8.72%) and Yau Ming Teck (5.23%).

Following his suspension on Jan 11, Mah had, on Jan 24, sought an extraordinary general meeting (EGM) to remove four directors, namely previous chairman Datuk Dr Syed Muhamad Syed Abdul Kadir, Hon Hin See, Lee Chi Hoe, and Gan. To replace them, Mah had proposed the appointment of three other individuals as directors, namely Kvin Lim Chun Keat, Ibrahim Maidin and Tee Chun Yeh.

Mah also filed a lawsuit against EVD on Feb 9, claiming the company had made a defamatory statement against him. Also named as defendants in the suit were Gan, Syed Muhamad and Hon.

Mah, however, was prohibited from requisitioning the EGM pending the disposal of an injunction application by Gan, who had initiated a lawsuit against EVD and Mah, claiming that EVD's affairs were being conducted in a manner oppressive to Gan and in disregard of his interests as its shareholder, and that some of EVD's actions unfairly discriminated against or was prejudicial to him.

In the originating summons that EVD received on Feb 21, Gan also sought to compel Mah to sell his EVD shares to him (giving him the right of first refusal) or the public at a fair value to be fixed by the court.

But on March 8, Mah filed a notice of discontinuance of his suit against EVD without any order as to cost. Three days later, Gan did the same to discontinue his suit against EVD and Mah.

EVD then announced an 'organisation restructuring', which saw the resignation of Gan, Syed Muhammad and Lee from the board, and the appointment of Wong, Lee Wai Fun and Wong Kok Sing to the board.

Shares of EVD finished unchanged at 12 sen on Friday, valuing the company at RM52.06 million.

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