Tan Koon Swan
Encyclopedia
Tan Koon Swan is a controversial Malaysian political and corporate figure, who was president of the Malaysian Chinese Association
from November 1985 to September 1986.
Tan first entered the political fray in the late 1970s. A self-made millionaire largely touted as a financial wizard, he assisted Lim Goh Tong
in establishing Genting Highlands Resort as a successful tourist destination, and was invited to take up the position of Managing Director of Multi-Purpose Holdings Berhad, the corporate structure through which the MCA hoped to encourage Chinese participation in all areas of economic development. He joined the party in 1977 and took up the position.
In 1978 Tan made his political debut, winning a parliamentary seat in Raub
, Pahang
. The following year, he was elected to the party's Central Committee and appointed Chairman of MCA Wilayah Persekutuan State Liaison Committee.
In 1982 he cinched a landslide victory for the parliamentary seat in the opposition stronghold of Damansara
. 1984 saw him appointed as vice-president of the MCA.
In March 1984, Tan was sacked as vice-president from the MCA along with 13 other members for urging the party to investigate its member records for the presence of non-existent people, an issue that had sparked off factionalism and crisis within the party. However, he and the other 13 were all reinstated two months later with the support of 1,600 MCA members in an extraordinary general meeting. In November 1985, he was voted to be president of the MCA winning 76.9% of the votes cast, the largest majority in the party's history, and the first challenger since 1954 to win national leadership.
Tan remained a highly prominent member of the corporate sector, controlling numerous companies, including Sigma International, which had a 22.6% stake in Pan-Electric Industries
, a Singaporean-based company. On 12 December 1985, he signed an agreement that gave the troubled company S$ 20 million of funds through an interest
-free loan and allowed it to resume trading.
In 1986 he was charged in Singapore with abetting criminal breach of trust relating to the collapse of Pan-El. He was sentenced to two years imprisonment by Singapore High Court Justice Lai Kew Chai
. In Lai's judgement, Lai said Tan’s offences had “struck at the very heart, integrity, reputation and confidence of Singapore as a commercial city and financial centre” . After his sentencing, Tan resigned as MCA President. In 1988 Tan was also sentenced and imprisoned in Malaysia, declared a bankrupt, and reportedly owed over RM400 million, at the time roughly equivalent to more than 100 million US dollars. He was ordered to pay RM1000 a month to the Official Assignee and the New Straits Times estimated it would take him 35,316 years to pay off his outstanding claims. In the mid-1990s, after full repayment, Tan was discharged from bankruptcy.
Tan, still a respected member of society, is a born-again Christian who likes to maintain a low profile.
Malaysian Chinese Association
Malaysian Chinese Association is a uni-racial political party in Malaysia that represents the Malaysian Chinese ethnicity; it is one of the three major component parties of the ruling coalition in Malaysia called the Barisan Nasional in Malay, or National Front in English.Along with the largest...
from November 1985 to September 1986.
Tan first entered the political fray in the late 1970s. A self-made millionaire largely touted as a financial wizard, he assisted Lim Goh Tong
Lim Goh Tong
Tan Sri Dato Seri Lim Goh Tong was a prominent wealthy Malaysian Chinese businessman. He was renowned for his vision and courage in transforming Genting Highlands from an unexplored hilltop into one of the world's most successful casino resorts...
in establishing Genting Highlands Resort as a successful tourist destination, and was invited to take up the position of Managing Director of Multi-Purpose Holdings Berhad, the corporate structure through which the MCA hoped to encourage Chinese participation in all areas of economic development. He joined the party in 1977 and took up the position.
In 1978 Tan made his political debut, winning a parliamentary seat in Raub
Raub
Raub is both a town and a district in Pahang, Malaysia. The town is situated 110 km from the Malaysian capital of Kuala Lumpur and 265 km from Pahang's capital, Kuantan. Raub is one of the oldest towns in Pahang. Raub district consist of 7 mukim , namely Batu Talam, Sega, Semantan Ulu,...
, Pahang
Pahang
Pahang is the third largest state in Malaysia, after Sarawak and Sabah, occupying the huge Pahang River river basin. It is bordered to the north by Kelantan, to the west by Perak, Selangor, Negeri Sembilan, to the south by Johor and to the east by Terengganu and the South China Sea.Its state...
. The following year, he was elected to the party's Central Committee and appointed Chairman of MCA Wilayah Persekutuan State Liaison Committee.
In 1982 he cinched a landslide victory for the parliamentary seat in the opposition stronghold of Damansara
Damansara
Damansara may refer to:*Damansara, Selangor - a subdistrict of Petaling of Selangor.*Damansara, Kuala Lumpur*Damansara River* Kota Damansara of Petaling Jaya city - a constituency and community in Sungai Buloh subdistrict of Petaling District...
. 1984 saw him appointed as vice-president of the MCA.
In March 1984, Tan was sacked as vice-president from the MCA along with 13 other members for urging the party to investigate its member records for the presence of non-existent people, an issue that had sparked off factionalism and crisis within the party. However, he and the other 13 were all reinstated two months later with the support of 1,600 MCA members in an extraordinary general meeting. In November 1985, he was voted to be president of the MCA winning 76.9% of the votes cast, the largest majority in the party's history, and the first challenger since 1954 to win national leadership.
Tan remained a highly prominent member of the corporate sector, controlling numerous companies, including Sigma International, which had a 22.6% stake in Pan-Electric Industries
Pan-Electric Industries
Pan-Electric Industries was a Singapore-based company that specialised in marine salvage work, and had 71 subsidiary companies, including hotel and property interests, with a market capitalization of S$230 million. The company collapsed in 1985 due to unsettled forward contracts, forcing the stock...
, a Singaporean-based company. On 12 December 1985, he signed an agreement that gave the troubled company S$ 20 million of funds through an interest
Interest
Interest is a fee paid by a borrower of assets to the owner as a form of compensation for the use of the assets. It is most commonly the price paid for the use of borrowed money, or money earned by deposited funds....
-free loan and allowed it to resume trading.
In 1986 he was charged in Singapore with abetting criminal breach of trust relating to the collapse of Pan-El. He was sentenced to two years imprisonment by Singapore High Court Justice Lai Kew Chai
Lai Kew Chai
Justice Lai Kew Chai was the longest-serving member of the Supreme Court Bench, having served for almost 25 years as a Judge.Born in Tanjung Malim, Perak, he received his early education at Methodist English School at his hometown in 1950, and at the Methodist Boys' School, Kuala Lumpur in...
. In Lai's judgement, Lai said Tan’s offences had “struck at the very heart, integrity, reputation and confidence of Singapore as a commercial city and financial centre” . After his sentencing, Tan resigned as MCA President. In 1988 Tan was also sentenced and imprisoned in Malaysia, declared a bankrupt, and reportedly owed over RM400 million, at the time roughly equivalent to more than 100 million US dollars. He was ordered to pay RM1000 a month to the Official Assignee and the New Straits Times estimated it would take him 35,316 years to pay off his outstanding claims. In the mid-1990s, after full repayment, Tan was discharged from bankruptcy.
Tan, still a respected member of society, is a born-again Christian who likes to maintain a low profile.