Editor’s Note: In a rare development, the East West One Group (EWOG) which is touted as Malaysia’s largest and most successful planter’s scheme operator and manager has received unwavering support from some investors for its resuscitate & rehabilitate (R&R) plan aimed at protecting their investments.
“We have been receiving returns all the years even during the MCO (movement control order) period while banks were offering moratorium,” investor Tay Ai Leen wrote to FocusM.
“Until this year, the company approached us in February to request for a moratorium period of two years where the returns will be used to implement the R&R plan (to keep its business afloat).”
Added Tay: “Most investors were in agreement to the R&R plan but some who were unhappy continued to voice their unhappiness and approached the media.”
Interestingly, Tay also disclosed a well-worded letter penned by fellow investor Naoki Nakamura which is addressed to National Consumer Foundation president Datuk Mohd Firdaus Abdullah. Below is the said letter:
Letter to editor
I WISH to acknowledge the Companies Commission of Malaysia-approved planter’s scheme East West One Group (EWOG) for their unwavering commitment and transparency throughout our palm plantation investment journey.
As an investor in the palm oil scheme, I felt it necessary to provide some perspective amidst the current situation concerning EWOG.
As per the communication from EWOG, challenges such as the shortage of foreign workers due to pandemic-related SOPs (standard operating procedures) and land occupation issues have hindered the intended harvest from the farms.
They have also expressed their urgency in addressing the farm’s current state, hinting at a more robust rehabilitation project.
They foresee a potential two-year period for returning the tree’s health and productivity to the planned level. It’s undeniable that the pandemic has posed unforeseen challenges across industries.
However, it is essential to recognise that challenges such as these often expose areas for improvement, and in this case, it seems the spotlight is on enhancing management strategies.
Historical records reveal a consistent dividend payment since my investment in 2013, uninterrupted till December 2022. This track record offers a different narrative from some recent news reports.
While the urgency for some investors leans towards immediate fund recovery, we must remember there are 4,000 of us each with varying amounts and periods of investments.
Direct liquidation might result in minimal returns, considering the complexities of the situation such as the nature of leased lands, the costs involved, and the time required for a complete distribution.
Reflecting upon these points, it seems more pragmatic to support EWOG’s proposed farm rehabilitation project.
This not only preserves our investments but also offers a more sustainable solution for the long term. After nurturing the palm trees for 12 years, it would be disheartening to witness them returning to a state of ruin.
It’s my understanding that many fellow investors share this viewpoint. We are hopeful for a brighter outcome and see more potential in the rehabilitation project than a minimalistic liquidation.
While opinions may vary, I sincerely hope for a fair and balanced assessment from all stakeholders. – Oct 20, 2023
Naoki Nakamura
EWOG’s schemes investor
The views expressed are solely of the author and do not necessarily reflect those of Focus Malaysia.
