MICG: Regrettable for listed company to file suit against external auditor

MICG hopes a way forward is agreed soon in the legal dispute between Serba Dinamik and KPMG.

KUALA LUMPUR: Serba Dinamik Bhd’s decision to formally file legal proceedings against its external auditors KPMG PLC is “most unusual” particularly before the audit is completed, says the Malaysian Institute of Corporate Governance (MICG).

In a statement issued on Friday, MICG deputy president David W. Berry the legal action particularly before the audit is complete and the company’s earlier proposed independent review has commenced, “is to be regarded as a regrettable decision – a view we believe will be shared by the regulators”.