Inside the CDL Drama: Power Struggles, Courtroom Battles, and Corporate Chaos

City Developments Ltd (CDL) is embroiled in a corporate governance conflict involving Dr. Catherine Wu, an adviser to the board of CDL's subsidiary, Millennium & Copthorne Hotels (M&C). Sherman Kwek, CDL’s CEO, accused Dr. Wu of overstepping her role and exerting excessive influence, leading the board to terminate her advisory position and restrict her authority over CDL and M&C.

A family feud casts shadows over ambition and legacy.

A Clash Between Father and Son

The dispute intensified after Kwek Leng Beng, CDL’s executive chairman, claimed his son and a group of board members attempted a corporate coup. He criticized the improper appointment of two new directors and alleged violations of corporate governance rules. Kwek Leng Beng filed court papers, and the new directors temporarily agreed to hold off on exercising powers until a full hearing.

Courtroom Drama and Reactions

Sherman Kwek rejected his father’s claims, emphasizing that there was no intention to oust him. He also pointed out that the minority directors’ application to reverse board resolutions failed in court. The court highlighted discrepancies in Kwek Leng Beng’s statements, further escalating tensions between the two sides.

Dr. Wu’s Background and Role in CDL

Dr. Wu, who has a rich background in music and education, met Kwek Leng Beng in 1992 and moved to Singapore soon after. Over the years, she became an influential figure in CDL's hotel management operations, serving as Kwek’s chief secretary. Her involvement in the dispute has brought her into the spotlight, adding complexity to the power struggle within the company.

This ongoing saga is a complex battle for control at CDL, with legal and governance concerns at its core.