KUALA LUMPUR (Nov 4): Industronics Bhd announced the resignation of its external auditor Messrs Ong & Wong Chartered Accountant, according to directions given by the Audit Oversight Board (AOB).

According to a filing with Bursa Malaysia on Friday (Nov 4), Industronics received a notice in writing dated Nov 2 from Messrs Ong & Wong on its resignation as the company's external auditor.

Industronics said Messrs Ong & Wong were re-appointed as its auditor at the last annual general meeting (AGM) held on June 29 to hold office until the conclusion of the next AGM.

Messrs Ong & Wong, however, has now tendered its resignation, as the AOB had notified the auditor that it is prohibited from auditing financial statements of public interest entities for 12 months commencing from Sept 7.

“The company is in the midst of identifying the new auditors to be appointed pursuant to Section 271(2)(b) of the Companies Act 2016,” said Industronics.

Additionally, Industronics’ board of directors informed that it was not aware of other matters that needed to be brought to the attention of the shareholders of the company.

AOB was established under Part IIIA of the Securities Commission Malaysia Act 1993 (SCMA) and came into force on April 1, 2010 to promote and develop an effective audit oversight framework as well as confidence in the quality and reliability of audited financial statements.

The filing did not clarify AOB’s justification for the prohibition.

This comes after Industronics entered into an agreement on Thursday (Nov 3) to acquire a 50% stake in 5T3M Sdn Bhd for RM1 million as part of its venture into the education industry.