To commemorate five years since MCA's takeover of Nanyang Press Holding the publisher of key Chinese dailies Nanyang Siang Pau and China Press a former company executive has written a book revealing the political motives of the controversial deal.

'528 [May 28] Nanyang Bustle - An Eyewitness Account' is authored by former Nanyang's executive director Kou Yok Ling, a veteran Chinese-language media practitioner for the past three decades.

At a book launch on Thursday night, held at the Selangor Chinese Assembly Hall, Kou claimed to have obtained a report detailing MCA's strategies, which was presented to party leaders at a central committee meeting just before the takeover.

According to the 'Proposal for Acquisition of Nanyang Press Holdings - Executive Summary', MCA had identified a secret strategic partner to assist the management of Nanyang Press Holding.

This strategic partner was to eventually hold about 45 percent of Nanyang's shares, it said.

At the event which was attended by 300 people, Kou also played a tape recording of MCA's central committee meeting where the leaders justified the takeover because the company had been a "naughty boy".

Nanyang 'anti-government'

The 300-page book detailed the fallout between then MCA leaders and editors of the two dailies over the reporting of a number of 'disgraceful' issues such as the misappropriations of the MCA's Chang Ming Tian Education Fund and the factionalism between former party president Ling Liong Sik and his deputy, Lim Ah Lek.

Kao reckoned that the ruling Barisan Nasional's defeat in the 2001 Lunas state seat by-election in Kedah was the last straw for MCA, as both dailies were accused of playing up Umno Youth's threats against election appeals committee Suqiu.

MCA argued that the issues brought up by the two dailies had resulted in a dramatic swing against the government among Chinese voters, and thus handed the seat to the opposition on a silver platter.

Furthermore, Kou alleged that several MCA ministers had advised former premier Dr Mahathir Mohamad that the two dailies were "anti-government".

According to Kou, Nanyang owner Quek Leng Chan was later summoned to a meeting with a "prominent" government leader, believed to be Mahathir himself, who ordered the tycoon to divest his shares to MCA at below market price.

Strategic partner poser

But who was MCA's secret strategic partner?

By analysing the Nanyang's shareholders structure, Kou believed that MCA currently has a controlling stake of about 41 percent through its investment arm Huaren Holdings.

Meanwhile, Sarawak timber tycoon Tiong Hiew King owner of 'rival' Sin Chew Daily and Guangming Daily has since acquired about 23 percent .

Four other unknown companies, which are registered overseas, hold the remaining 22 percent of the shares.

Kou's book pointed to Tiong as the secret strategic partner.

Based on Tiong's recent article published in his Sin Chew Daily on May 1, Kou strongly believed that Tiong had formed an 'unholy' alliance with MCA even before the takeover, an allegation which the newspaper had denied.

The alliance between Tiong and MCA has effectively resulted in the four major Chinese dailies being monopolised by the same owners.

Kou however denied allegations that he had published the book as an act of revenge against his former company. He stressed that his aim was to reveal the truth behind the controversial deal.