SC imposes maximum compound against Serba Dinamik, top executives

KUALA LUMPUR: The Securities Commission Malaysia (SC) has imposed a maximum compound of RM3 million each against Serba Dinamik Holdings Bhd, its chief executive officer (CEO), executive director and two officers for submitting a false financial statement to Bursa Malaysia Securities Bhd.

The SC said the individuals involved were Serba Dinamik CEO and group managing director Datuk Dr Mohd Abdul Karim Abdullah, executive director Datuk Syed Nazim Syed Faisal, group chief financial officer Azhan Azmi, and accounts and finance vice-president Muhammad Hafiz Othman.

"Muhammad Hafiz was also issued with another compound of RM1 million -- the maximum amount permissible -- for falsifying the accounting records of the company's subsidiary Serba Dinamik Sdn Bhd, an offence under section 368(1)(b)(i) of the Capital Markets and Services Act (CMSA)," the commission said in a statement today.

The SC said Muhammad Hafiz was earlier charged for being involved in instructing the preparation of false documentations relating to the sales of Serba Dinamik Sdn Bhd.

It said the compound was made with the written consent of the public prosecutor, and pursuant to its powers under Section 373(1) of the CMSA.

"This follows the decision of the public prosecutor to accept the representation made to the Attorney-General's Chambers by Serba Dinamik and the individuals involved regarding the charges pending in court," it said.

The SC said this is the maximum amount of compound permissible under Section 369(a)(B) of the CMSA for submission of false information in the company's financial statement.

"Serba Dinamik and the said individuals were earlier charged for submitting a false statement to Bursa Malaysia on Feb 26, 2021, in relation to the revenue figure of RM6.014 billion contained in Serba Dinamik's quarterly report on consolidated results for the quarter and year ended Dec 31, 2020," it said.

-- BERNAMA