Appointment of Investigative Accountant ("IA")

IRE-TEX CORPORATION BERHAD

Type Reply to Query
Reply to Bursa Malaysia's Query Letter - Reference ID IQL-15062015-00002
Subject Appointment of Investigative Accountant ("IA")
Description
Appointment of Investigative Accountant ("IA")
Query Letter Contents

We refer to your Company’s announcement dated 11 June 2015, in respect of the aforesaid matter.
In this connection, kindly furnish Bursa Securities with the following additional information for public release:-

1) To provide the details of scope of work of Ferrier Hodgson MH Sdn Bhd (“FHMH”) as the IA.
2) To provide a tentative date for FHMH to complete its investigation work.

Please furnish Bursa Securities with your reply within one (1) market day from the date hereof.

 

Yours faithfully,
IRWAN JOHARI
Senior Manager, Issuers,
Listing Division, Regulation
IJ/TEK

Cc : Market Surveillance Dept. , Securities Commission (via fax)

Further to the Company’s announcement on 11 June 2015 and Bursa Malaysia Securities Berhad’s query on 15 June 2015, Ire-Tex Corporation Berhad wishes to provide the following additional information:


1.    The scope of work of Ferrier Hodgson MH Sdn Bhd (“FHMH”) as the IA in general covers the following:

1)    To understand the background, business activities and operations of Ire-Tex Corporation Berhad (“ITCB”), Zoomic Automation (M) Sdn. Bhd. (“ZASB”) and Zoomic Technology (M) Sdn. Bhd. (“ZTSB”);
2)    To understand the Acquisition of ZASB and ZTSB;
3)    To understand the Rights Issue of Irredeemable Convertible Unsecured Loan Stocks ("ICULS") with warrants undertaken by ITCB in year 2014;
4)    To understand the ITCB Group's procurement and payments policy/ standard operating procedures;
5)    To review the financial records of ITCB, ZASB and ZTSB for the financial year 2013 to 2015;
6)    To review the Company's secretarial records;
7)    To review the agreement entered into by ZASB with Future Rank Sdn. Bhd (“FRSB”) for the purchase of machinery amounting to RM16.5 million and the payments made to FRSB ("FRSB Transaction");
8)    To review the supporting documents in connection to FRSB Transaction;
9)    To review the tripartite agreement entered into by ZASB, FRSB and Sanjung AMS Sdn. Bhd. (“AMS”) in relation to the assignment of the FRSB Transaction and debts to AMS ("AMS Transaction");
10)    To review the supporting documents in connection to AMS Transaction;
11)    To conduct background searches on ZASB, ZTSB, FRSB and AMS;
12)    To identify parties involved in the FRSB Transaction and AMS Transaction;
13)    To identify any irregularities in the FRSB Transaction and AMS Transaction;
14)    To ascertain whether the FRSB Transaction and AMS Transaction were in the best interests of ZASB;
15)    To review the agreement entered into by ITCB with Midstream Resources Sdn. Bhd. (“MRSB”) for the implementation of Lean Manufacturing program amounting to RM2.0 million and payments to MRSB ("MRSB Transaction");
16)    To review the supporting documents in connection to MRSB Transaction;
17)    To conduct background searches on MRSB;
18)    To identify parties involved in the MRSB Transaction;
19)    To identify any irregularities in the MRSB Transaction;
20)    To ascertain whether the MRSB Transaction was in the best interests of ITCB;
21)    To review the transactions and payments made in regard to the construction of ITCB's new premises in Kulim Industrial Estate ("Construction of New Premises");
22)    To review the supporting documents in connection to the Construction of New Premises;
23)    To identify any irregularity in the Construction of the New Premises;
24)    To ascertain whether the Construction of New Premises was undertaken in the best interests of ITCB;
25)    To review the Anonymous Letter;
26)    To ascertain whether the allegations are conclusive and supported;
27)    To ascertain whether the parties involved may have breached their fiduciary duties;
28)    To report to the Board on the IA’s findings of the above review.

2.    FHMH is expected to complete its investigation work and submit the first draft of the IA’s report to the Board of Directors of ITCB within eight weeks from the date of appointment.





Announcement Info

Company Name IRE-TEX CORPORATION BERHAD
Stock Name IRETEX
Date Announced 16 Jun 2015
Category General Announcement for PLC
Reference Number GA1-16062015-00037