KUALA LUMPUR (July 17): Pestech International Bhd said its top executives had been discharged and acquitted from all charges against them with immediate effect.

The company had earlier this year confirmed that two of its top executives have been charged for allegedly abetting the misappropriation of RM10.6 million related to its wholly owned subsidiary, Pestech Technology Sdn Bhd.

Pestech said both executive chairman Lim Ah Hock and managing director-cum-group chief executive officer (CEO) Lim Pay Chuan were charged at the Shah Alam Sessions Court on Jan 27.

Ah Hock and Pay Chuan had been charged under Section 109, read together with Section 403 of the Penal Code, which states that those found guilty of misappropriation could be jailed for up to five years, whipped, and/or fined.

In a bourse filing on Monday (July 17), Pestech said Ah Hock, Pay Chuan and Pestech Technology CEO Paismanathan Govindasamy had been discharged and acquitted by the Sessions Court of Shah Alam.

Govindasamy was charged under Section 403 of the Code, Section 16(b)(B) of the Malaysian Anti-Corruption Commission Act 2009, and Section 4(1)(b) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001.

The trio were investigated on four payments amounting to RM10.6 million to a consulting company. Pestech Technology allegedly made payments for works not rendered by the consulting company, and Ah Hock and Pay Chuan have been accused of abetting in these payments.

At midday break on Monday, Pestech gained 1.69% or 0.5 sen, with 8.03 million shares traded.

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Pestech confirms two top execs charged for allegedly abetting in misappropriation of a subsidiary's funds