KUALA LUMPUR (May 26): PeterLabs Holdings Bhd (KL:PLABS) said on Monday it has extended the suspension of its director Datuk Loh Saw Foong from his executive duties, pending the outcome of both its internal investigation and an ongoing probe by the Malaysian Anti-Corruption Commission (MACC).
Loh, who serves as an executive director of PeterLabs and general manager of its wholly owned subsidiary Thye On Tong Trading Sdn Bhd, was initially suspended for two weeks from May 13.
The animal health and nutrition products manufacturer has now decided to prolong the suspension “until the internal and MACC investigations are completed”, the group said in a filing with Bursa Malaysia.
In the interim, group managing director Lim Tong Seng has assumed Loh’s roles and responsibilities, according to an earlier announcement by the group.
On May 19, PeterLabs disclosed that the MACC raided its principal office as well as Thye On Tong’s premises following a formal complaint lodged by the group regarding the allegations against Loh. During the raids, the authorities seized documents and files deemed relevant to the investigation, according to the group.
Loh was appointed to the board of PeterLabs in January 2021, and concurrently holds the position of general manager at Thye On Tong, a fast-moving consumer goods distributor.
PeterLabs has yet to disclose specific details of the alleged misconduct but previously said it is related to “serious allegations of misconduct, conflict of interest and breach of fiduciary duties” by Loh.
Meanwhile, PeterLabs announced on May 15 that it has also received a request from two substantial shareholders — Bu Yaw Seng and Datin Lin Ching Yein, who collectively hold more than a 10% stake in the group — to convene an extraordinary general meeting to remove seven directors and replace them with two new nominees.
The requisitionists are seeking to remove the six existing directors — Lim Tong Seng, Teo Chin Heng, Yap Siaw Peng, Datuk Lim Tai Soon, Datuk Ng Boon Siong and Ho Siew Li — as well as Ng Kau, who is an alternate director to Boon Siong.
Shares in PeterLabs rose to a new historical high on Monday, closing four sen or 11.94% higher at 37.5 sen, valuing the group at RM101.69 million. Year-to-date, the stock has more than doubled, gaining over 97%.