KUALA LUMPUR: There are about RM12.21mil in funds frozen in bank accounts belonging to Cropmate Bhd, as part of an ongoing anti-money laundering investigation by the Malaysian Anti-Corruption Commission.
The fertiliser manufacturer affirmed in a stock exchange filing that the bank accounts belong to the company, as well as Cropmate Fertilizer Sdn Bhd, which is a major subsidiary of the company.
However, it added the company has not yet been informed of the full details or circumstances of the investigation.
"The company is actively taking the necessary steps to address the matter whereby Datuk Hisyam Teh Poh Teik has been appointed as its lead counsel together with Mustafa, Ling & Co as its Solicitors on record.
"A representation letter has been submitted to SPRM for its consideration, to seek for the unfreezing of the Company and its subsidiary's bank accounts," it said.
Cropmate announced to the stock exchange yesterday it had been notified by the MACC that certain bank accounts of the company and its subsidiary have been frozen by the MACC pursuant to an order under Section 44(1) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001.
"The Board wishes to highlight that the Group continues to have access to other banking facility to support its ongoing business operations.
"This matter is not expected to have any material financial and operational impact on the Group and that the Company's day-to-day operations remain fully functional and uninterrupted," it said.
As at the midday break, shares in Cropmate fell 0.5 sen to 19.5 sen in Tuesday trading after 2.79 million shares done.
