BURSA Malaysia Securities Bhd did not mince its words as it demonstrated a tough stance – a counter suit in a way – against Serba Dinamik Holdings Bhd to ensure that the latter reveal the content of what the company described as an inconclusive and preliminary findings of its special independent review (SIR).

Yesterday (Nov 23), the market regulator filed an originating summons in the Kuala Lumpur High Court against the global integrated  oil & gas outfit under Sections 360(1)(c)(i) and/or (ii) (J) and/or (K) and/or (M), 360(1)(4) and 360(13)(b) of the Capital Markets and Services Act 2007 to order Serba Dinamik to make an immediate public announcement of the Factual Findings Update on the SIR as of Sept 30.

According to Bursa Securities, the court application arises from Serba Dinamik’s failure to comply with its directive dated Oct 22.

The directive required the company to disclose the material findings of the Factual Findings Update as of Sept 30 made by Ernst & Young Consulting Sdn Bhd (EY Consulting) who was appointed by Serba Dinamik to carry out an independent review to assess the veracity and accuracy of the matters highlighted by the company’s then external auditor KPMG PLT.

“The court application is brought, in discharge of the role and responsibilities of Bursa Securities in regulating the conduct and enforcing compliance with the continuing obligations of listed issuers pursuant to the Main Market Listing Requirements (MMLR),” the market regulator pointed out in a statement issued last night (Nov 23).

“This is necessary for the purpose of upholding and upkeeping the integrity of the capital market, inter-alia, maintaining a level-playing field, advancing the ‘blue sky’ principle and facilitating equal access to material information affecting a listed issuer.”

As it is entrusted with statutory duties to ensure an orderly and fair market in the securities that are traded through its facilities, Bursa Securities said it is paramount that it takes all appropriate action to secure compliance with its rules.

“Bursa Securities wishes to reiterate that a listed issuer must make immediate public disclosure of any material information under the MMLR and the Factual Findings Update is material information in accordance with the MMLR,” it further asserted.

“All investors must be well-informed of and given equal access to material information in order to be able to trade on equal footing.”

Recall that on Nov 8, Serba Dinamik filed an unprecedented legal suit in Corporate Malaysia against Bursa Securities with a similar action two days later against EY Consulting “to defend its rights, protect the company’s reputation as well as its shareholders’ interests”.

Serba Dinamik was last transacted at 35 sen at the close of the mid-day trading on Oct 22 prior to the trading suspension of its shares/warrants, hence giving the company a market capitalisation of RM1.31 bil. – Nov 24, 2021

https://focusmalaysia.my/serba-finds-itself-pushed-to-one-corner-as-bursa-commences-legal-action/