KUALA LUMPUR (July 13): GIIB Holdings Bhd has appointed Ferrier Hodgson MH Sdn Bhd as its independent investigative accountant to undertake a forensic investigation on four suspicious transactions highlighted by former executive director Wong Weng Yew.
In a filing with Bursa Malaysia, the loss-making rubber compound manufacturer said Ferrier Hodgson will commence work by the third week of July and the first draft report is expected to be submitted to the company within eight to 10 weeks from the commencement date.
The final report is expected to be submitted within one or two weeks after the submission of the first draft report, said GIIB.
In a stock exchange filing dated May 23, GIIB said these transactions include the sale of machinery by GIIB Rubber Compound Sdn Bhd for the amount of RM2.95 million; sale of assets by Big Wheel Green Tyres Sdn Bhd and settlement of dispute amounting to RM2.68 million and RM5.0 million respectively; renovation costs by Goodway Marketing Sdn Bhd amounting to RM62,000, rental deposits and utilities amounting to RM16,000; and the alleged owing from the director amounting to RM786,062.
GIIB Rubber Compound, Big Wheel Green Tyres and Goodway Marketing are all wholly-owned subsidiaries of the group.
Wong, who has 6.1% interest in GIIB as of Sept 7 last year, was terminated as executive director due to alleged misconduct during his tenure.
Wong has also filed a suit against GIIB, as well as three members of the board, namely executive chairman and CEO Tai Boon Wee, his sons Tai Qiyao and Tai Qisheng, as well as Alison Wong Ping Kiong, who is ED of GIIB Rubber Compound, to seek a declaration that his suspension and termination as executive director are null and void, among others.
Boon Wee has 13% stake in GIIB as of April 15 this year.
Shares of GIIB closed one sen or 14% higher at eight sen apiece on Wednesday (July 13), giving it a market capitalisation of RM47.3 million.
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