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Technology Stocks : PCW - Pacific Century CyberWorks Limited -- Ignore unavailable to you. Want to Upgrade?

To: ms.smartest.person who wrote (1118)	4/22/2001 9:50:21 PM
From: ms.smartest.person	Read Replies (1) \| Respond to of 2248

US punters take legal whip to Li By GLENDA KORPORAAL 23apr01 RICHARD Li, chairman of Telstra's Hong Kong joint venture partner, is being sued by US investors over false claims that he had a degree from Stanford University. Son of Hong Kong tycoon Li Ka-shing, Mr Li and his company Pacific Century CyberWorks have been savaged in the Hong Kong market this year by shareholders angry at PCCW's losses and share price falls. US investors in the Indian portal Rediff.com are suing Mr Li personally, claiming to have been misled by the prospectus, which said Mr Li, a non-executive director of the company, had a degree from Stanford. He admitted last month that he left Stanford six months before completing his degree but the US action is a further embarrassment for the 34-year-old, who has been the subject of continuing media criticism in Hong Kong this year. PCCW's shares have tumbled as fast as Mr Li's reputation, diving from a high of $HK28.50 early last year to close last week at $HK2.70. Telstra chief executive Ziggy Switkowski was almost bowled over in Hong Kong last month by reporters wanting to know if he retained confidence in his joint venture partner. Telstra and PCCW both have a 50 per cent interest in the Hong Kong-based Reach, an internet protocol backbone company. This year Telstra also bought 60 per cent of Hong Kong mobile phone company CSL from PCCW, which still owns 40 per cent. PCCW has a 5 per cent stake in Rediff, whose shares have fallen 77 per cent since they were listed on the US Nasdaq exchange last June, after raising $120 million. The class action claims that the Rediff prospectus had "misled purchasers of the IPO that Rediff had put together a superb management team which it had not". It also criticised Mr Li for not owning up immediately when the news broke that he did not have a degree. finance.news.com.au