Independent non-executive directors at Malaysia’s Serba Dinamik Holdings Bhd have expressed shared concern over issues flagged by the company’s auditor.
In a statement on Thursday, the directors said the oil and gas services company’s management, together with the board, is taking steps to resolve matters and will appoint an independent firm to assess the issues “independently and objectively”.
The directors also said the appointed firm will report its assessment results to a committee which, to ensure independence, will have no representation from management.
Serba last week said auditor KPMG had not been able to verify contracts and transactions worth 3.5 billion ringgit ($848.90 million) with 11 customers.
The Malaysian company said it saw no issues with the existence or legitimacy of the contracts. Still, two of its top five shareholders on Wednesday said they were concerned by the development.
Reuters