In brief
An ongoing family feud has emerged between Kwek Leng Beng and his son, Sherman Kwek, as allegations of a boardroom coup unfold at City Developments Limited (CDL). The dispute has halted trading of CDL shares, raising concerns about the company's future leadership.
A gripping family feud reminiscent of HBO's "Succession" has engulfed the influential Kwek family of Singapore, one of the nation's wealthiest clans. Kwek Leng Beng, the 84-year-old executive chairman of City Developments Limited (CDL), has accused his son, Sherman Kwek, the company's chief executive officer, of orchestrating a bid to seize control of the board.On Wednesday, Kwek Leng Beng and the real estate giant CDL filed court documents accusing Sherman and several board members, as well as a group of directors, of attempting an "insurrection" aimed at gaining dominion over the firm. "This action is vital to counteract this board-level coup and restore the integrity of our corporation," he stated.CDL, recognized as Singapore's foremost listed property developer, has suspended trading of its shares on the local stock exchange amidst the turmoil. "We plan to transition to a new CEO at an appropriate moment," indicated both Kwek Leng Beng and CDL in an announcement.Should Sherman Kwek be dismissed from his position, reports suggest the role might be temporarily filled by his cousin, Kwek Eik Sheng. The escalating disagreement reportedly began with an email sent by CDL's corporate secretary on the evening of January 28, just before the Lunar New Year—a significant holiday time in Singapore—proposing the nomination of two additional independent directors.The conflict has captured public attention, particularly in a region where familial disputes over business ventures are common and often lead to legal battles. Following court proceedings on Wednesday, CDL confirmed that the nominated directors had consented to refrain from exercising any authority until further instructions.Sherman Kwek voiced disappointment over his father's actions, referring to them as severe in light of what he deemed a simple disagreement concerning the composition and enlargement of the CDL board. Kwek Leng Beng, alongside his late father and brother, had taken charge of CDL in 1971, transforming it from a loss-making entity to a powerhouse that now encompasses over 160 properties worldwide and forms a pivotal part of their multi-billion dollar family fortune.
