KUALA LUMPUR (July 16): Padini Holdings Bhd (KL:PADINI), whose share price has dropped over 20% since the start of this year, said authorities have released all bank accounts belonging to the apparel company and its subsidiaries.

No director, officer, employee or representative of the group had been arrested or charged in connection with the investigation by the Malaysian Anti-Corruption Commission (MACC), Padini said in a statement on Thursday.

Neither the holding company nor any member of the group has been subject to forfeiture proceedings in connection with the investigation, Padini said.

Padini first disclosed in April that the MACC had frozen nearly two dozen accounts belonging to Padini as part of a probe into vendors and external counterparties. 

At the time, it said the investigations were related to third-party vendors and external parties, and not the company itself. It also said its business operations were not affected.

Most of the frozen accounts were under Padini Corporation Sdn Bhd, followed by Yee Fong Hung (Malaysia) Sdn Bhd and Padini Dot Com Sdn Bhd. Accounts affected also belonged to Padini Holdings, Vincci Ladies' Specialties Centre Sdn Bhd and Seed Corporation Sdn Bhd.

“The group remains firmly committed to the highest standards of integrity, transparency and corporate governance, and maintains a strict zero-tolerance policy towards corruption, bribery and all forms of unlawful or unethical conduct,” Padini added.

Padini's shares closed three sen or 2.2% higher at RM1.42 on Thursday, giving it a market capitalisation of RM1.4 billion. Year to date, the stock has fallen 21.55%.