KUALA LUMPUR: Criminal proceedings against Serba Dinamik Holdings Bhd (SDHB) ought not to be pursued due to the financial penalties of doing so, in accordance to the Attorney General’s Chambers (AGC).
“The impact of the charges on SDHB is disproportionate with the severity of the alleged offences committed. As at the date of this press release, SDHB is facing winding up petitions from creditors, which jeopardise the livelihood of SDHB’s employees and the interest of shareholders and other creditors,” AGC mentioned in an announcement Friday.
ALSO READ: Serba Dinamik top execs acquitted after RM16mil compound settlement
In these circumstances, the AGC finds that compounding the offences is an satisfactory type of punishment for the alleged offences.
“This would then allow SDHB to focus on rectifying errors and effecting immediate compliance with regulations of Bursa Malaysia and the Securities Commission (SC), as SDHB had clearly done so in the past without fault,” it added.
Earlier, high executives of the troubled oil and fuel firm, together with its chief govt officer Datuk Mohd Abdul Karim Abdullah, have been acquitted by the Sessions Courts of fees involving offences beneath the Capital Markets and Services Act (CMSA) 2007.
This follows a RM16mil compound fee imposed by the Securities Commission (SC) that was settled on May 9, the court docket heard.
The AGC is of the view that the general public curiosity can be higher served by compounding the offences allegedly dedicated by SDHB and its executives.
ALSO READ: Serba, top execs complete settlement of compounds
“By compounding the offences, the need for punitive action against SDHB is immediately achieved without going through a lengthy trial.
“Thereafter, SDHB can redirect resources and time to coordinate with the authorities to comply with the requirements of the law,” it mentioned, including that SDHB and the mentioned executives have been keen to settle for the utmost quantity of compound imposable by the SC.
The AGC is conscious of the usual of proof required of the prosecution to show the costs primarily based on the proof out there and strongly of the view that compounding the offences allegedly dedicated by SDHB and its executives is probably the most acceptable motion to take beneath the circumstances.
Accordingly, on April 7, 2022 the AGC gave its consent to compound the mentioned offences to the SC. The SC, pursuant to part 373 of Act 671, accordingly compounded these offences.
In this regard, the SC had determined to impose a most compound on SDHB and its executives, respectively.
On April 13, 2022, discover of compound was issued to SDHB and its 4 executives respectively and the whole quantity of compound to be paid is RM16mil which that they had paid on May 9, 2022.
Serba Dinamik
was charged beneath Section 369(a)(B) of the CMSA 2007 involving a false assertion relating to the income recorded by the group in its monetary report for the fourth quarter ended Dec 31, 2020 (4QFY20).
The false assertion submitted to Bursa Malaysia was in relation to a income determine of RM6.014bil contained within the quarterly report.
