This article first appeared in The Edge Financial Daily on April 6, 2018

KUALA LUMPUR: Maxwell International Holdings Bhd and its president cum executive director Li Kwai Chun have been publicly reprimanded by Bursa Malaysia Securities Bhd for failing to issue the company’s annual reports for financial year 2015 (FY15) and FY16 within the required period.

“Paragraph 9.23(1) of the Main [Market] Listing Requirements states that a listed issuer must issue its annual report that includes annual audited financial statements, together with the auditors’ and directors’ reports of the listed issuer, to the exchange and shareholders within four months from the close of the financial year of the listed issuer,” Bursa Malaysia said.

The regulator said Maxwell had only issued its 2015 annual report on Aug 5, 2016, after a delay of three months, and it issued its 2016 annual report on May 2, 2017, after a delay of one market day.

Additionally, Bursa said Maxwell had failed to make an immediate announcement of the change in the company’s legal representative in a wholly-owned subsidiary, Jinjiang Zhenxing Shoes & Plastics Co Ltd (Zhenxing Shoes), to Madam Zhuang Qiong Zhen on Nov 12, 2015.

“The announcement was only made by the company on March 3, 2016, after a delay of approximately 3.5 months, even though the external auditors had highlighted to Maxwell on Feb 5, 2016 that no announcement was made on the change of legal representative in Zhenxing Shoes,” said Bursa.

Bursa fined Li RM66,000 for causing and permitting Maxwell to commit the breach in respect of the delay in the issuance of the 2015 annual report.

Maxwell’s share price closed up five sen or 33.33% to 20 sen yesterday, with a market capitalisation of RM8 million.