KUALA LUMPUR (Sept 25): Sumatec Resources Bhd’s directors have been summoned by Bursa Malaysia to attend a training programme for the company’s failure to undertake proper assessment of its financial accounts which resulted in a large variance of 326.6% between its unaudited and audited figures.

To recap, Sumatec Resources reported an unaudited profit of RM27.37 million for the fourth financial quarter ended Dec 31, 2016, which was in stark contrast to an audited loss of RM62.02 million.

The audited loss was due to provision for liabilities of RM71.41 million and additional asset impairment of RM10.3 million in accordance with the relevant accounting standards.

The variance was only made known two months later on April 28, 2017, after the release of the unaudited accounts.

“Bursa views the contravention seriously as the timely and accurate submission of financial statements to enable investors to make informed investment decisions is one of the fundamental obligations of companies listed on Bursa Malaysia,” the stock exchange said in the statement.

The regulator said while it has not found any of Sumatec’s directors to have caused or permitted the breach by the company, it is their duty to maintain appropriate standards of responsibility and accountability so as to ensure compliance to the Main Market listing requirements.

As such, all nine Sumatec directors are required to attend a training programme in relation to compliance with the Main Market listing requirements pertaining to financial statements.

They are Michael Lim Hee Kiang, Abu Talib Abdul Rahman, Wan Kamaruddin Datuk Biji Sura, Mohamad Ismail, Liew Boon Keat, Mahusni Hasnan, Chan Yok Peng, Datuk Che Mokhtar Che Ali and Datuk Ahmad Johari Abdul Razak.

In addition, the company is also required to review and ensure the adequacy and effectiveness of its financial reporting function and carry out a limited review on its quarterly report submissions.