KUALA LUMPUR, April 27 — The Securities Commission (SC) has granted oil-and-gas company Serba Dinamik Holdings Bhd, its CEO Datuk Mohd Abdul Karim Abdullah and three other top executives an extension of two weeks to compound their offences.

Malay Mail understands that the two-week extension starts from April 28, which was the original deadline to pay.

 Sources said the company had appealed for an extension which was immediately rejected by the SC.

A subsequent appeal was made by the company, citing difficulties in raising the money because their accounts had been frozen.

Following discussions with the Attorney General’s Chambers, the SC agreed to extend the deadline by another two weeks, which is understood to be on May 12.

If the company still fails to pay up to compound the offences, criminal charges may be reinstated.

However, the option to reinstate criminal charges is in the hands of the attorney general (AG), as the Federal Constitution provides the AG with sole discretion in criminal prosecution.

The AG had withdrawn criminal charges against Serba Dinamik and its four executives, following legal representation made by the company, and subsequently directed the SC to compound the offences.

On April 13, the SC compounded Serba Dinamik, its CEO, executive director and two officers for a sum of RM3 million each.

According to the SC, this is the maximum amount of compound permissible under Section 369(a)(B) of the Capital Markets and Services Act (CMSA) for submission of false information in the company’s financial statement.

Serba Dinamik and the said individuals were earlier charged with submitting a false statement to Bursa Malaysia Securities Berhad on February 26, 2021, in relation to the revenue figure of RM6.014 billion contained in the company’s Quarterly Report on Consolidated Results for the Quarter and Year ended December 31, 2020.

The individuals named by the SC are Serba Dinamik CEO/group managing director Datuk Mohd Abdul Karim Abdullah, executive director Datuk Syed Nazim Syed Faisal, group chief financial officer Azhan Azmi, and vice-president of accounts and finance Muhammad Hafiz Othman.

Muhammad Hafiz was also issued with another offer to compound of RM1 million, also the maximum amount permissible, for falsifying the accounting records of the company’s subsidiary Serba Dinamik Sdn Bhd, an offence under section 368(1)(b)(i) of the CMSA.

https://www.malaymail.com/news/malaysia/2022/04/27/serba-dinamik-given-two-week-extension-to-pay-up-after-appeal-for-more-time/2055910