OVER 100 investors who had bought Lehman Minibonds from Maybank met last night to discuss their options over their failed investment.
The packed 'closed door' session in a Raffles Hospital meeting room was staged to kick-start collective action over their losses.
Speakers peppered the standingroom-only crowd with various suggestions about how they might recover their cash. These ranged from consolidating with other Minibond investor groups to asking members to volunteer financially as well as with their time.
But specific tactics were not disclosed, to prevent, as one lawyer said, 'the possibility that the potential financial institution may counter and we then lose the element of surprise'.
One clear view to emerge was that the investors feel they have been too passive while people who brought products from institutions like DBS Bank have been highly active and vocal in demanding redress.
'You've to pull at the heartstrings of people, your friends, and you must not present yourself as a 'whining and moaning' group of unsophisticated investors,' said a speaker yesterday.
Collaboration was also a theme that surfaced many times with the group vowing to meet more often, build camaraderie and participate in forums. 'Pass the word around,' said one speaker.
A 35-year-old engineer known only as Mr Lee said the meeting was called by investors who felt that there was strength in numbers and going solo might be less than ideal.
'Nobody thought this was needed, but we now feel there is a need to galvanise collective action,' he said.
Other investors felt the event should have been held in Mandarin. 'I was falling asleep after a while. I don't even have O levels. How do you expect me to understand?' asked stallholder Mr Ke, 50.
'My wife still doesn't know about the [$50,000] loss. And I don't dare tell her. I've no mood to do anything, and I just hope this works out for the best.'
Maybank investors have flocked to Speakers' Corner at Hong Lim Park in recent weeks to air their grievances but no quick resolution has resulted.
One such investor was Mr Teo, 68, who invested close to $50,000 and also attended last night's discussion. 'Doing it as a group is better than doing it myself. We're all in the same boat,' he said.
Maybank has declined to reveal the number of investors who bought Minibonds. However, it could be a 'significant number', investors say.
In total, nearly 10,000 retail investors have bought products linked to the now-bankrupt Lehman Brothers.
Maybank said last week that it will be working to ensure that all deserving investors got their money back.
Mr Lee, who invested $10,000, said he is tired and frustrated. 'It's like somebody has conned you, and you feel resigned to the fact,' he lamented.
This article was first published in The Straits Times on November 04, 2008.
