Today EPF disposes, tomorrow who will dump further?

Serba Dinamik remains solid O&G player despite market turmoil
Syoik sendiri article by Malay Mail of a bumiputra company. Thot somebody said he is a foochow convert. Now Melayu already?

If true, KWAP is much more tactful, cause they know from the 1MDB bond fiasco where you can't even trust the ex PM and his gang let alone Serbak BOD.

jackson88 Almost 300mil shares transacted this morning. It is unlikely situation cause by short sellers as they can’t get so much shares to sell. Probably KWAP continue to sell down their 4% shares. They don’t need to report as no longer substantial shareholder.
08/06/2021 10:08 AM

Looks more like SERBAK, Kpower and SCIB gonna to have roller coaster ride for the next few weeks. Only good news by KPMG, SC and other authorities will likely cause V shape recovery, if not price will move down and later drift sideways until buyers discover there are fundamentals left to salvage.

wow 60 sen cumming?

Guys, independent report will take time, at least 2 months. Meanwhile, Serbak share price will depend on the support of major shareholders including significant ones. So if funds started to sell then price likely to decline quickly.

If management is telling the truth and has shown the evidence to AMinvest? where almost 90% collection of receivables could be a mitigating factor. But what has happened to the RM2 billion plus collected?

"Serba has secured cash proceeds of up to 72% as at 31 March 2021 and up to 90% to date from those sales."

Posted by smoking > Jun 5, 2021 9:12 PM | Report Abuse

If u read ambank report on 31.5.21.. it is written :

Inability to verify sales transactions of RM2.3bil and trade receivables of RM652mil for 11 customers for the period under audit. Serba has secured cash proceeds of up to 72% as at 31 March 2021 and up to 90% to date from those sales. However, as onsite materials of RM569mil (81% of FY21F net profit) have yet to be confirmed by the auditor, we believe that there may yet be risks for provisions or impairments.


So does this mean that Serba received the cash, but the transactions are unable to be verified?

Yes, have an opened mind but bear in mind that to the authorities small punters lurking in i3i are of no consequences or rather are not of concerns to SC, KLSE and SSM from experiences on the collapse of many companies in the past. But foreign investors or funds are well respected, their perception of the capital markets determine the robustness of the market in Malaysia.

Serbak issues are actually very basic, to determine whether the group current assets are genuine and can be resolved at lower management level. But erupted at board level that raise a lot of doubt.



The Most Common Cognitive Bias

https://www.youtube.com/watch?v=vKA4w2O61Xo

1MDB has a lot of influence on cognitive bias here.....from KPMG, to analyst, the Edge and to retailers etc...

we try to imagine a pattern we have already seen and fit it there
................................................................

only when you have the whole - deeper picture or information you will be surprised another different pattern exist which can explain the same observation

have an open mind guys...its good for both naysayers & promoters

hahahahaha, boleh kau tim. The Malaysia capital market rating (equals confidence) will be adversely affected if foreign funds lost money from this fiasco and coverup.

Posted by i3lurker > Jun 5, 2021 7:43 PM | Report Abuse

no worries

I believe that the Independent Review will confirm that it is a typing error and Serba's typist will be sacked

so no need to worry

Even if they get an independent auditor or any party to review the documents and found to be doubtful or fraudulent, it cannot be retracted as the authorities has already been alerted. So those responsible will have to be brought to the books and bear the consequences.

Posted by heavenlarr > Jun 5, 2021 7:33 PM | Report Abuse

If the independent review able to confirm everything is good. Serba will go back up. But if really got fraud, then no need say la. So now is gambling only. If review is success, I don't see any issue company won't gv job to serba. It just prove kpmg is not doing their job. But if the review failed. Then no need see.. Bye bye serbadk.

kikikikiki have to be cautious of Arab projects. Majority hollow and suspicious. Our 1MDB is an arab project for money laundrying. They have got Malaysia and Arabs nations head of states involved the rape of the country debts.

Very much depends on whether the joint owners have pledged Serbak shares as collateral for their personal loans.

greedy44 Margin call coming soon since the share prices kept on sliding....BEWARE !!!
05/06/2021 9:22 AM

True, after being involved in 1MDB fiasco and somemore among BIG 4 audit firms, KPMG is in a fix to strictly adhered to audit procedures and regulations.


Posted by OrlandoOilSemiconIoT > Jun 4, 2021 8:19 PM | Report Abuse

KMPG local partners on 1MDB debacle have been screwed left right center by world partners

After been screwed KPMG local
partners screwed all d management staff n told them must uphold highest standards

KPMG management staff after being screwed overzealouslly suddenly insist on world standard documentation


Karim started small Petronas trained still maintain small biz mentality n documentation


These 2 worlds collide


Karim has not changed

Serbadk has not changed



KPMG has changed


KPMG has changed post 1MDB


KPMG is lost no more direction

Ai say if true Chef Karim could have ordered company to do share buyback at any time. Share buyback could have easily sustained confidence and LP Serbak shares.

stmywh i heard rumours saying 97% of the rm3b trade that kpmg questioned was received by serba already in June. Is this true? got any news article ?
04/06/2021 7:48 PM

No point they take Serbak private if the documents are fake, not that they got money to throw, Serbak did fundraising before and another 2 of Chef Karim company are supposed to go for private placements.

Posted by Atlan > Jun 4, 2021 7:07 PM | Report Abuse

Dont forget that both k many have more than 50% shareholding. They can discuss n take the company private.

Kahinoki :Paid up cap only RM 99 mill but shares issued RM6 over billions at 0.055 sen per unit. You might as well buy Berjaya Corp better value.

hahahaha, If you have seen counters like CSL (Chua Soil Leg) and Suma-take, you will know why people lost money. For CSL it was cooked financials quarter after quarter (yeah before the great fire that wiped out everything, unbelievable!) that made such people buy into the shares especially the cash at hand/in bank in far away China. For Sumatec it was the illusion of oil wells after oil wells acquisitions plus prospective earnings that were not realised.


Posted by CharlesT > Jun 4, 2021 10:27 AM | Report Abuse

There is only one skyriver but still tens of thousands who are living in denial.....nothing goes wrong nothing goes wrong price will be back to RM1.60+

You are right. Even if they get an independent auditor or any party to review the documents and found to be doubtful or fraudulent, it cannot be retracted as the authorities has already been alerted. So those responsible will have to be brought to the books and bare the consequences. A major shareholder Abdul Kadier is also in the audit committee and a mover of the resolution to get rid of KPMG raise the question of the conflict of interest.


Posted by Riaz1954 > Jun 4, 2021 9:59 AM | Report Abuse

Think about it ....can KPMG be wrong. This debtor / receivables issue is not rocket science. The revenue has been inflated by setting up a trade debtor, by all accounts from overseas contracts. What has happened I suspect is rising outstanding debtors, rising borrowings without corresponding increase in cash over many reporting periods. If you do a simple verification on the relationship between these balances you will conclude that they need further investigation and if these debtor balances cannot be certified as being true and correct than there is problem...which is not an accounting error but a deliberate action to overstate companies financial statement...very serious. If this is established to be the case than I am afraid the company will collapse and may not be a going concern when all liabilities are taken into account. The directors concerned will end up behind bars in most jurisdictions.

I can’t see how a seasoned accounting firm can make such an error of judgement.

Chef Karim and Kadier are supporting Serbak share price, the independent review of the audit issues will according to Fitch takes more than 1 month, in view of the fact that it involved overseas receivables and location. Will the major shareholders be buying back Serbak shares everyday? Time will only tell if they have sufficient resources to support Serbak price.

To day trade ok lah, end of the day sell off after 4.45pm. Trader make money from share price manipulation, ignore news and gamble.

Chef Karim 2 other companies they are Kpower and SCIB private placements all jammed up because their share price all sank below fundraising price. Looks like the impact of KPMG auditor statement on Serbak is far reaching.

2021-06-03 07:39:55 Serba Dinamik independent directors express concern over audit matters.

What will happened if adverse and disclaimer opinion by KPMG? PN17 can cause LD of share price? Or the market chooses to ignore those opinions? Fund managers for one will not.


https://klse.i3investor.com/blogs/Terminator/2021-06-03-story-h1566016671-Serba_Does_Karim_ready_to_receive_an_adverse_or_disclaimer_opinion_from.jsp

Receivables and inventory issues are not small. If small it will not cause a LD of share price. The question is, will KPMG report to the authorities about the suspicious and fraudulent transactions as they are obligated to do so. Will the culprit involved be investigated and charged for this willful attempt to cheat. What about those shareholders affected by share price limit down?

Bullrun1985, you must be an old timer now, if since 1985 in the market. Yes good advice. But people who have bought and cannot overcome their emotion will not agree to the sound advice.

Armada will only fly with announcement of more projects coinciding with Brent hit USD82++

You are right, but it remained to be seen whether SC, CCM and KLSE will take action against the MD who is responsible for this fiasco. If no action is taken by the authority, this would be a black mark on the malaysian capital market where manipulators go scot free while shareholders lost money from the LD.


Posted by Stockisnotfun > Jun 3, 2021 10:41 AM | Report Abuse

The main issue is not because whether the company have debt or negative cashflow. I saw some company have a lot of debt and negative cashflow still survive fine.

The main problem is they lie on their figures. This will not be tolerate by SEC. You can report more losses and more negative cashflow but not simply make up the fake document/contract.

Additional issues on loan refinancing

In this regard, Serba Dinamik faces heightened refinancing risk of its US dollar-denominated RM900 mil sukuk due in May 2022 because of weakened market access due to its pending special independent review.

“We believe the timing of Serba Dinamik’s announced special independent review to resolve issues found in an audit will complicate the company’s efforts to refinance nearly RM1.7 bil in debt over the next 12 months,” opined the international rating agency.

https://focusmalaysia.my/markets/serba-dinamik-still-holding-on-despite-standing-in-the-line-of-fire/

The management still think they can shop for better audit opinions. Looking through the facts surrounding the events leading to the LD of Serbak share price, the directors still think that they can easily fool the auditors into accepting fake documents.


Posted by Stockisnotfun > Jun 3, 2021 10:15 AM | Report Abuse

I don't care the document wrong or right. Giving the move that done by director of wanting to change the independent auditor is enough as a proof already. Unless u have something to hide else why change auditor?

Looks like too late to reverse anything done fraudulently as the documents provided by management are being investigated.


Posted by Stockisnotfun > Jun 3, 2021 10:05 AM | Report Abuse

Can't verify is an issue because the transactions and figures are made up. No point to raise red flag if they can simply giving out the correct invoices and documents.

And they say will give correct invoices to them. Then what about the fake invoices the KPMG currently auditing? Where does it come from?




Posted by telurgoreng > Jun 3, 2021 10:01 AM | Report Abuse

if the documents have no legal standing.. if got court case, the documents are invalid, how u wanna clawback the amount? u claim from who?

If they go ahead and try to fire, most of institutions shareholders may not vote in their favour. Show will go on but the question, is the damaged irreversible meaning how can one undo the falsification of sales and inventory? Some one or a group of people will have to pay for this fiasco.

Hope this is proven wrong. But the case is more of management got caught red handed and if jive with the resignation of CFO, then the ex employee would know a lot about the issues leading to the auditor findings.

https://valueinvesting.substack.com/p/serba-dinamik-red-flag-analysis

Subsequently, it stands to reason that Serba Dinamik could be hiding inflating Receivables through the illusion of Growth (a la a modified version of Tyco). By consistently growing Revenues, they are able to justify the soaring Receivables. If they can keep kicking the can down the road with fictitiously growing Revenues, they can keep hiding the ever-ballooning Receivables under the rug, right?

Which kinda ties in with the accusations being thrown at the company by their auditor KPMG. Among the key inconsistencies highlighted by KPMG were the existence of supposedly fictitious customers and suppliers, the latter of which appears to be controlled by Serba’s shareholders themselves. If you can control costs and receivables, you could in theory pull off the above shenanigans, no?

Serba Dinamik Management in "Tai Chi" mode, if you had known earlier why wait until Auditor statements and as a result share price limit down.
........has taken prompt action to address the matters much earlier........

https://focusmalaysia.my/top/serba-dinamik-in-search-of-a-stronger-footing-after-2nd-limit-down/

"In its efforts to continuously assist KPMG, Serba Dinamik reiterated that it has taken prompt action to address the matters much earlier prior to the announcement made to Bursa Malaysia on May 26 (presumably pertaining the flagging of some audit matters by its external auditor KPMG PLT in relation to the company’s FY2020 financials).

“Serba Dinamik has also engaged potential international independent firms to assess the veracity and accuracy of the matters brought up by the external auditor after consulting with Bursa Securities,” added the company. – June 1, 2021"

To quote from Utusan Malaysia.
Serba Dinamik adalah entiti syarikat tersenarai. Entiti bisnes dalam kelompok ini amat terdedah kepada spekulasi. Spekulasi amat mudah dibina, lebih-lebih lagi apabila pihak-pihak bertanggungjawab berperanan sebagai frontlines memilih untuk menjadi pembadai oportunis, bermain dengan fakta-fakta yang mereka klasifikasikan sebagai ‘half truth’.

Question is if there is no fire, where got smoke? "Spekulasi amat mudah dibina" but who created the "butir tahi" for speculation to spread? Not the auditor as they got a job to do but the problem lie with the management.

Some said the CFO resigned, anyone can confirm that? If true then the the directors or major shareholders must have pressured him and possible that there are collusions within the management. Could be interesting reason behind the resignation or was asked to disappear. Remember 1MDB, so many disappeared to date.

CharlesT if fraudulent invoices were issued then it is rather too late for any Sarawak government to back up the wrong doings, think they would rather hang up Chef Karim to the dryer than defend him.

OTW to 80 sen, b4 4.45pm?

0.7950 sen bought in the 1st hour with volume of 350 mill probably sold in the afternoon. Good money earned by the syndicate.

High time auditors flex their muscle and hopefully SSM and KLSE should changed the law to impose compulsory rotational audit of listed companies.

Wow, somebody did a review of SCIB and Kpower receivable and concluded most are inflated. Is Karim group of companies gonna to collapse due to inflated and fake receivables?

wow, small punters got no opportunity to unload until 200 mill shares fully sold. Strong sell, any one knows if forced sell by banks?

Looks like huge unloading of shares by major shareholders.

Funny, person with 1 posting becomes an expert in stock positivity, when company management also can't satisfy auditors simple queries.

hahaha someone with a record of 3 postings all Serba venting his anger over the negativity here. Management soldier?

Wow, based on audit queries, the CFO and accountant should have resolved the issues at their level, but let the directors to resolved them and thereafter unable to satisfy the auditors that the more than 1 bill of trade and other debts are genuine. Unless they have got no evidence to provide to the auditors as they created those sales by attempting to change auditors. All these queries are plain simple to placate any doubts by providing addresses of debtors for auditors to follow up and for further investigation on debts documents and how it arose and to be reasonably satisfied. And whether the debts have been cleared subsequent to year end. At this level where the directors themselves have to come out to defend the accounts speak volume and raised significant doubts on the genuineness of the debts.

Looks like no flicker of light at the end of the tunnel as yet. The majority shareholder is waiting for the right time to go in, when he is confident of the turnaround. Perhaps when oil price hit USD100 or pre announcement of huge project obtained?

Limit down may be on purpose to scare away weak holders so white knight can collect next week?

Yeah, Tok Mat and his money changer, will make Malaysia economic great again like Donald Trump is to America. Why not bring back his boss Najib then make a deal with China and changed RM to RMB. Presto, we become a province of China as well as an automatic part of the largest trading nation in the world. RM1 trillion debt no problem Winnie the pooh will take care of that. Just imagine opening up the KLSE to china investors, the CI will hit 20k anytime.


"........I think Tok Mat and Khairy will be our last hope! I really don't see anything good coming out from Pakatan anymore!"

Does this mean that FGV still owes FELDA lots of money? Has accumulative debt to FELDA till todate have been booked into FGV accounts, if not then expect the bleeding will continue in the future......

* The decline in the revenue was because FGV was unable to make contribution as much as RM800mil a year as it had anticipated before the IPO and also because CPO prices fell below RM3,000 per tonne since 2012 until now.

all sold.