By Lee Su Shyan, Assistant Money Editor

BUSINESSMAN Oei Hong Leong has raised nearly $8 million from his sale of shares in United Envirotech and Novena Holdings last week.

Through his investment vehicle Oei Hong Leong Foundation, he sold 16.6 million units or 4.18 per cent of the enlarged capital in United Envirotech, a water and wastewater treatment solution provider in China, on Aug 25.

Based on the closing price that day of 19 cents, he would have raised about $3.15 million.

Mr Oei had bought into the company only in May last year, paying 21 cents each for the shares.

As for Novena, Mr Oei last Tuesday sold 55.16 million shares in the company, which had also invested in United Envirotech at the same time last year.

Of these 55.16 million shares, 45 million were sold at eight cents each via a married deal to Mr Andy Lim, the recently appointed chairman of Novena.

That sale would have raked in $3.6 million for Mr Oei. He also sold another 10,161,547 shares of Novena in the open market that day. At the closing price of 12 cents, that move would have brought in $1.22 million.

The deal leaves him with only 2.2 per cent or 9.27 million shares in Novena.

He also no longer has any deemed interest in the shares held by Novena in United Envirotech.

Novena founder Toh Soon Huat recently left the board.

Mr Oei has been in the spotlight over his court action against Citibank. He alleges that the US bank is guilty of negligent misstatement and misrepresentation.

Coincidentally, the counter United Envirotech has also been in the news. It is the subject of an ongoing court case related to share-rigging claims brought by the Monetary Authority of Singapore (MAS) against Pheim Asset Management (Asia) chief executive Tan Chong Koay and the fund management firm's Malaysian unit.

MAS said that Pheim purchases over the three days - Dec 29-31, 2004 - mostly towards the end of the trading day, caused United Envirotech's share price to close higher and create a false market.

On the second day of the hearing last Friday in the High Court, then-broker Tang Boon Siah said Dr Tan had spoken to him and asked him to buy the United Envirotech shares. Dr Tan's position is that he did not give the orders.

On Dec 31, Mr Tang said, he spoke to Dr Tan a number of times and executed trades towards the last half hour of the trading day. The shares ended at 45 cents that day.

This article was first published in The Straits Times.