KUALA LUMPUR (Feb 28): The High Court on Monday (Feb 28) granted a three-month restraining order in favour of EA Technique (M) Bhd, which recently entered into Practice Note 17 (PN17).

The order was granted by High Court judicial commissioner Liza Chan Sow Keng, who also gave the company permission to call a scheme of creditors' meeting.

Lawyers Nathalie Ker and Pang Huey Lynn from Messrs Lim Chee Wee Partnership appeared for EA Technique.

EA Technique is an owner and operator of marine vessels.

On Feb 25, the company announced on Bursa Malaysia that it had triggered the criteria for PN17 when its shareholders' equity as at Dec 31 last year stood at RM5.96 million, which was less than 50% of its share capital of RM179.755 million, and its auditors highlighted its ongoing concern.

Hence, the company is required to submit a regularisation plan with the Securities Commission Malaysia within 12 months if the plan will result in a significant change in its business direction.

The company is also required to submit a regularisation plan to Bursa Securities if the plan would not result in a significant change.

It is also required to announce within three months of this announcement, whether the regularisation plan will result in a significant change of direction.