By Lynette Khoo
The cloud of uncertainty surrounding China Sky Chemical Fibre has thickened with the resignation of its chief executive officer.
China Sky said yesterday that CEO Huang Zhong Xuan, 49, has resigned due to 'personal health reasons'.
The regulatory notice gave no further details on the health condition of Mr Huang, who has been pivotal in formulating business strategies and overseeing the group operations.
Mr Huang's resignation, which took effect on Tuesday, along with the simultaneous departures just one month ago of three independent directors (IDs), has left the board with less than half its original strength.
The only directors left on the board are chairman Cheung Wing Lin, executive director Song Jian Sheng and non-executive director Wang Zhi Wei.
'Too many things have happened in such a short period of time,' said managing director of Asia Ascent Law Corporation, Leonard Chia, who represents China Sky. He added that it is difficult for the group to respond now and the picture may only be clearer in the next two weeks.
Mr Chia conceded that while the vacancies on the board have to be filled, there are practical considerations.
'Given the full-blown public issue that the company has with SGX, the question is how easy it is for the company to persuade a suitably qualified person to come in,' he added.
Asked to comment on the resignation of Mr Huang, Singapore Exchange said that 'it is the board's responsibility to appoint an appropriate CEO'.
China Sky and SGX have been caught in a deadlock since the S-chip refused to appoint special auditors to investigate certain transactions as directed by SGX on Nov 16 last year.