KUALA LUMPUR (Aug 28): Zetrix AI Bhd (KL:ZETRIX) has clarified that it has no links with former human resources minister Datuk Seri M Saravanan who has been charged with corruption in relation to the approval of foreign worker quotas for a local company in 2022.
The company, which saw a massive 50% plunge in its share price in heavy trade on Friday, said it understood that unfounded rumours or speculation linking it to the three graft charges brought against Saravanan may have contributed to the trading activity.
"The company wishes to emphasise that there is no basis for such rumours or speculation, and the company is not aware of any connection between the said charges and the business and affairs of the Zetrix AI Group," the electronic government services provider said in a bourse filing.
Zetrix, formerly known as MyEG Services Bhd, was responding to an unusual market activity query from Bursa Malaysia following the sharp fall in the share price.
The shares had fallen by 30 sen or 50.4% in morning trading, prompting Bursa to suspend intraday short selling for the rest of the day. The stock closed the day at 29.5 sen with 1.05 billion shares changing hands
At the same time, the group’s associate HeiTech Padu Bhd (KL:HTPADU) also plunged 30% to an intraday low of 87.5 sen on Friday. Zetrix holds an indirect stake of 16.9% in HeiTech Padu.
Saravanan, 58, was charged at the Kuala Lumpur Sessions Court with allegedly receiving over RM1 million in bribes for approving foreign worker quotas for a local company in 2022. The three charges alleged that he received monies through Syed Amirul Syed Ahmad in the form of cash and a cheque.
The former minister pleaded not guilty to committing the offence from June 2022 till July 2022 while he was still heading the human resources ministry.