updated version Slightly over half of the 2,216 delegates at the MCA extraordinary general assembly (EGM) today voted in favour of the party's takeover of Nanyang Press, which publishes two Chinese dailies - the Nanyang Siang Pau and the China Press.

The secret ballot saw 1,176 delegates, or 53 percent, voting in favour of the takeover while 1,019 voted against the deal - a majority of 157 votes.

After the results were announced, party president Ling Liong Sik, a key supporter of the deal, told the press that he hoped the decision will be respected by all in the party.

"We want a united MCA, not a split MCA," said Ling, adding that he was 'not concerned' with the slim majority.

"A win is a win, even if it is by 10 votes," he said.

No legal action

Party deputy president Lim Ah Lek and vice-president Chua Jui Meng are among the leaders who had opposed the deal.

At another press conference after the crucial vote, Chua said that he and the other opposing leaders would respect the decision of the delegates, adding that they would not resort to any legal action to stop the deal.

However, he said the party leadership must take note of the significant minority of the delegates who are against the takeover.

The EGM was held today for delegates to decide on a resolution seeking their endorsement of the takeover which was done last month through the party's investment arm, Huaren Holdings.

More than 90 percent of party delegates - 2,216 of a possible 2,384 - turned up to decide on the controversial Nanyang Press Holdings deal and listened to debates presented by representatives from both sides of the party in relation to the takeover.

It was agreed that each side be allowed six speakers to present their arguments on the validity of the RM230 million deal which would give the party the control over two major Chinese dailies which Prime Minister Dr Mahathir Mohamad accused yesterday of anti-government reports.

Among the speakers who spoke in favour of the deal were MCA vice-president Ong Ka Ting and Central Committee member Hon Choon Kim. Chua, vice-president Chan Kong Choy and Youth chief Ong Tee Keat were among those who spoke against the acquisition.

Don't raise Article 150

Earlier, EGM chairperson Yik Phooi Hong had told the delegates that they were not allowed to raise issues pertaining to Article 150 of the party's constitution which does not allow party assets to be used as collaterals for bank loans.

The Article has been used by leaders opposing the deal to claim that the acquisition was unconstitutional.

Ling had said that the party will use its shares in Star Publications - which publishes the top -selling English tabloid daily The Star - to finance the new deal.

However, in an emergency MCA central committee (CC) meeting yesterday, this matter became a non-issue after the committee decided that the party's assets were not being used to finance the deal. The CC said that Star Publications shares were assets held by Huaren Holdings and not the party.

Ling said that as such, Article 150 did not apply to the Nanyang takeover deal.