KUALA LUMPUR (May 19): Oil and gas service provider Tanjung Offshore Bhd has filed a civil suit against its former directors Datuk Harzani Azmi and Tan Wee Koh as well as Al-Maurid Resources Sdn Bhd for their involvement in the Gas Generators (Malaysia) Sdn Bhd (Gastec) share sale three years ago.

In its suit, Tanjung Offshore is claiming, among others, damages of RM20 million and costs plus interest, while trying to recover funds owing to the company.

In a statement today, Tanjung Offshore said it has stated in its claim that the defendants have committed, among others, a breach of fiduciary duties, breach of trust and conspiracy to injure the company.

On Oct 21, 2013, Gastec became a wholly-owned subsidiary of Tanjung Offshore when the latter acquired the remaining 49% of shares it did not own in Gastec for RM34.3 million.

Tanjung Offshore had asserted that the actual price of the shares was inflated.

In a filing with Bursa Malaysia today, Tanjung Offshore said it has been advised by its lawyers Messrs Wong & Partners that it has good grounds to succeed in the suit.

"The company will make the necessary announcement on further development on the suit in due course," it said.

In February, Harzani, who was also Tanjung Offshore's managing director at the time, was charged with falsely inflating its share acquisition prices to mislead the board. He was also slapped with two counts of money laundering.

Tanjung Offshore's share price closed 3.5 sen or 11.48% higher at 34 sen today, bringing a market capitalisation of RM120.19 million.