Bursa Securities raps Bintai Kinden directors, imposes RM150,000 fine

by **Cals** Thu 05 Sep 2013, 01:32

Published: Wednesday September 4, 2013 MYT 6:02:00 PM
Updated: Wednesday September 4, 2013 MYT 6:04:07 PM
Bursa Securities raps Bintai Kinden directors, imposes RM150,000 fine

KUALA LUMPUR: Bursa Malaysia Securities Bhd has publicly reprimanded Bintai Kinden Corporation Bhd and fined five of its directors a total of RM150,000 over significant deviation between the unaudited and audited results.

Bursa Securities said on Wednesday the company and directors had breached the Bursa Malaysia Securities Main Market Listing Requirements.

The company did not ensure its announcement dated May 31, 2012 on its fourth quarterly report for the financial year ended (FYE) March 31, 2012 (Q4, 2012) included adjustments as stated in the announcement dated July 31, 2012. This had caused a significant deviation between the companies' unaudited and audited results.

Bursa Securities also ordered Bintai Kinden to carry out a limited review of its quarterly report submissions. The review must be performed by external auditors for four quarterly reports, starting from the quarterly report for the financial period ending Sept 30, 2013.

To recap, on May 31, 2012, Bintai reported an unaudited profit after tax and minority interest of RM17.137mil in its Q412 results.

However, on July 31, 2012, the company reported an audited loss after tax and minority interest of RM9.486mil in its annual audited accounts for FYE March 31, 2012.

"The difference of RM26.623mil between Bintai's unaudited and audited results for the FYE March 31, 2012 represented a variance of 155%," it said, mainly due to the provision for impairment losses on receivables which had been long outstanding and there were significant delays / uncertainty in the repayments.

However, Bursa Securities said the adjustment made subsequently in the audited results was without any reasonable explanation on the change of circumstances from the issuance of the Q4, 2012 to the audited results.

It publicly reprimanded and fined Ong Choon Lui, the group managing director/ CEO, RM50,000.

It also publicly reprimanded and imposed a fine of RM25,000 each on independent non-executive chairman Tan Sri Kamaruzzaman Shariff and three independent non-executive directors Datuk Zakri Afandi Ismail; Johari Mohd Akhir and Sherman Lam Yuen Suen.