KUALA LUMPUR (Sept 17): Firefighting equipment manufacturer Fitters Diversified Bhd (KL:FITTERS) said on Wednesday it will file an application for judicial review and seek a stay of execution against Bursa Malaysia Securities’ reprimand and fines imposed on the company and five of its current and former directors.
In a short filing with Bursa Malaysia, Fitters Diversified said its board resolved to pursue legal action following the regulator’s decision announced last Friday, which saw the group publicly reprimanded and the five directors fined RM400,000 each for breaches of listing requirements.
Last week, Bursa Malaysia took action against Fitters Diversified and five of its directors for failing to properly handle related-party transactions (RPTs) in March 2023.
Fitters Diversified’ subsidiary Fitters Development Property Sdn Bhd had bought and later sold shares in Computer Forms (M) Bhd (KL:CFM), a company that shared the same major shareholder — Datuk Seri Jacky Pang Chow Huat. This made the transactions related-party in nature.
However, Fitters Diversified failed to:
- promptly and accurately announce the transactions;
- get prior shareholder approval for the RPTs (both purchase and sale);
- appoint an independent adviser before completing the deals.
Instead, they only sought approval from non-interested shareholders months later — which goes against listing requirements.
Among those penalised were chairman Datuk Sok One Esen, independent non-executive director Wong Kok Seong and three other former directors.
Shares in Fitters Diversified closed unchanged at three sen on Wednesday, with a market capitalisation of RM70.62 million.