KUALA LUMPUR (June 3): Serba Dinamik Holdings Bhd’s independent non-executive directors have expressed concern about the audit matters surrounding the oil and gas services group.
In a statement posted on the group's website, the directors said the management, along with the board have taken initiatives to restore the situation including by appointing an independent firm "to assess the veracity and accuracy of the matters raised by the external auditors, independently and objectively, without the element of interference from any party, and to report results of the assessment to the established independent committee".
They stressed that committee will have no representation from the management to ensure its independence.
The independent directors also highlighted that the group's second-largest shareholder and non-independent non-executive director Datuk Abdul Kadier Sahib has withdrawn the notice for the termination of KPMG PLT as its external auditor and nominate BDO PLT as its new auditor at an extraordinary general meeting.
“The board of directors then accepted the withdrawal notice and in view of the above development, the above matter is now closed.
"Rest assured that we will ensure that the company’s corporate governance is at the highest level and we remain independent in executing our responsibilities.
"We humbly seek the understanding and support from shareholders and stakeholders for the company to get through this situation and we believe that the board of directors, the management and the company, will consistently provide value as proven since our initial public offering in 2017," they added.
On May 25, KPMG had raised certain audit issues in Serba Dinamik for the financial year ended Dec 31, 2020.
The audit issues raised related to sales transactions, receivables and payables to the tune of over RM3 billion.
Abdul Kadier is also a member of Serba Dinamik's audit and risk committee.
On May 29, the group accused KPMG of not responding to the management’s replies, and that it was in the midst of setting up an independent review to validate KPMG’s findings.
Shares in Serba Dinamik were the third most actively-traded counter on Bursa Malaysia today, registering a trading volume of 360.52 million shares.
The counter finished one sen or 1.21% higher at 83.5 sen, valuing the group at RM3.11 billion.