KUALA LUMPUR (Oct 23): Troubled lingerie maker Classita Holdings Bhd announced on Monday that its independent forensic auditor Virdos Lima Consultancy (M) Sdn Bhd issued an investigation report concerning allegations of suspicious and irregular transactions at its wholly -owned subsdiairy Caely (M) Sdn Bhd (CMSB).
The report comes after more than one year since Virdos Lima was appointed as an independent forensic auditor.
However, Classita (formerly known as Caely Holdings Bhd) did not reveal the outcome of the report in a filing with Bursa Malaysia on Monday. The group added that it is currently seeking legal advice on the above matter.
To recap, on Oct 11 last year, the Perak-based company’s new board of directors led by executive chairman Ng Keok Chai, instructed its solicitors to serve a letter of demand on Virdos Lima seeking the return of full documentation of CMSB handed to the auditor by Classita's previous management to conduct a forensic audit into allegations of suspicious and irregular transactions at CMSB in April last year.
The new board also wants Virdos Lima to provide a list of the alleged documents, which are said to have stalled the progression of the investigation.
The letter was subsequently withdrawn.
On Oct 6, Classita had lodged a police report against 12 former board members led by former chairman Datuk Wira Louis Ng Chun Hau over the alleged misappropriation of funds during their tenure.
Classita shared that it had, in the police report, expressed its suspicions that there was an effort to cover up related irregularities by the previous board.
“This is because although a forensic investigation has been initiated by the previous board (led by Chun Hau) through the appointment of Virdos Lima in April , the previous board had failed to cooperate fully, abruptly resigned and [there] appeared to be an attempt to thwart any necessary legal investigation.
“The appointment of Virdos Lima by the former board shows that the members at that time were aware of the said irregularities. As such, Caely had requested that the police investigate the elements of crime and misconduct that have caused losses to Caely, and also the concealment of such wrongdoings by the members of the previous board,” it added.
In June 2022, two months after its appointment as forensic auditor, Virdos Lima had called it quits, saying it could not continue with its forensic audit as critical information was not available. It had said key documents such as, but not limited to, invoices, payment vouchers, receipts, and agreements could not be located. On top of that, various company's electronic devices that were assigned to key suspects in its investigation had been removed and/or could not be located at the premises of Classita.
Classita’s shares price settled unchanged at 6.5 sen, giving the stock a market capitalisation of RM80 million.
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