GHL Systems to pick accountants to probe Beijing irregularities next wk

KUALA LUMPUR: GHL SYSTEMS BHD [] is expected to formalise the appointment of certified public accountants by next week to launch an independent probe to assess the impact of irregularities on its Beijing operations.

The company said on Friday the independent panel would also look into measures to address and minimise the impact when the probe into GHL (Beijing) Co. Ltd was completed.

GHL Systems said the panel would also look into the possibility of taking any legal action or recovery and also a review of internal control procedures in the group to avert further irregularities.

It said GHL Beijing’s posted after tax losses of RM1.29 million in 2008 and RM1.63 million in 2009 but it made net profit of RM109,410 in 2010.

To recap, GHL had announced to Bursa Malaysia on Nov 29 that after a recent review of its operations in Beijing, the board was made aware of certain irregular transactions between GHL Beijing and a third party company in which certain senior management personnel of GHL Beijing were interested in.

It had then said the transactions could potentially involve a conflict of interest involving certain senior management personnel of GHL Beijing.