Posted on 26 Oct 2015
Bursa Malaysia Securities Bhd has reprimanded Perwaja Holdings Bhd over its quarterly report that contravened the market listing requirements.
The steel maker had reported an unaudited loss after taxation and minority interest of RM921.6 million in its June 2014 quarterly report on Aug 29, 2014.
But on Nov 7, 2014, the company announced an audited loss after taxation and minority interest of RM1.2 billion. Bursa Malaysia Securities said the difference of RM295.9 million between the unaudited and audited results represented a variance of 32%.
“The main adjustment was in respect of impairment of plant and machinery of RM233.6 million where despite request by the external auditors since May 28, 2014, Perwaja had failed to undertake an impairment assessment.
“This includes taking reasonable steps to appoint and expedite completion of the independent valuation report for impairment assessment prior to the submission of the June 2014 quarterly report,” Bursa Malaysia Securities said in a statement.
The reprimand was imposed after taking into consideration all facts and circumstances of the matter including the impact on Perwaja’s share price movement and volume traded after announcement of the June 2014 quarterly report.
Perwaja is also required to review and ensure the adequacy and effectiveness of its financial reports and carry out a limited review on its quarterly report submissions.
“The limited review must be performed by the company’s external auditors for four quarterly reports commencing no later from the quarterly report for the financial period ended Dec 31, 2015.
“In addition, Perwaja must ensure all its directors and relevant personnel attend a training programme in relation to compliance with the Main Market listing requirements,” the bourse said last Friday.
Datuk Ong Tee Thong, Tan Sri Pheng Yin Huah, Datuk Henry Pheng Chin Guan, Datuk Seri Mohd Fauzi Yon, Datuk Md Sharif Shamsuddin, Pheng Chin Huat, Pheng Chin Shiun, Shamsudin@Samad Kassim, Chieng Ing Mui and Lim Chew Yin are Perwaja’s board of directors at the material time.
However, Bursa Malaysia Securities said it has not found any of Perwaja’s directors to have caused or permitted the breach by the company.
“Bursa Malaysia Securities wishes to highlight and remind that it is the duty of the directors to maintain the appropriate standards of responsibility and accountability in ensuring compliance with the Main Market listing requirements.
“Bursa Malaysia Securities views the contravention seriously, as a timely and accurate submission of financial statements that enable investors to make informed investment decisions is one of the fundamental obligations of the companies listed on the official list of Bursa Malaysia Securities,” it said.
