Another Default In Payment By OilCorp

Saw this announcement on Bursa website.

• The Company had on 18 September 2009 announced that the Company has failed to meet its interest payment of RM1,643,806.85 due and payable on 17 September 2009 in respect of the Facility Agreement dated 9 September 2005 between EON Bank Berhad, CAPONE Berhad and OILCORP under a Primary Collateralised Loan Obligation (“CLO”) Transaction (“Facility”).
  
  The Company had on 29 October 2009 received a letter notifying a Declaration of Default under the Facility and the outstanding amount demanded under the Facility to be immediately due and payable as at 27 October 2009 are as stated in the said letter as follows:-
  
  Principal sum RM45,000,000.00
  
  Interest RM 1,951,471.23
  
  Default Interest RM 487,072.60
  
  Total RM47,438,543.83
  
  Should the Company fail to pay these amounts within fourteen (14) days, CAPONE Berhad may commence legal action against the Company for the recovery of the same.
  
  
  The Company is seeking legal advice on the matter.

Blogged previously: Regarding Oilcorp

And again the point to remember is that the major shareholders HAD sold down their shares ahead of 'these bad news'.

Oilcorp then (when I blogged Regarding Oilcorp) was 17.5 sen.

Oilcorp last traded at 11.5 sen.