Securities Commission decries attempt to intimidate its staff, undermine its authority after Serba Dinamik case

Shahrin Aizat Noorshahrizam

24 April 2022 at 1:42 am·1-min read

A view of the Securities Commission Malaysia building in Kuala Lumpur. — Picture via Twitter/Bernama

KUALA LUMPUR, April 24 — The Securities Commission (SC) issued a public warning today against intimidating its personnel or undermining its authority and credibility as Malaysia’s capital markets regulator.

This came after SC lodged a police report against Serba Dinamik Holdings Berhad for criminal defamation under Section 499 of the Penal Code, following the oil-and-gas company’s 26-page letter released last Thursday.

“The SC denounces any attempts to intimidate the SC or its officers and undermine its authority and credibility,” it said in a statement.

“The Securities Commission Malaysia (SC) strongly refutes all allegations made by Serba Dinamik Holdings Berhad (Serba Dinamik), accusing it of acting in bad faith and not following procedures in discharging its duties.”

Malay Mail reported yesterday that the SC made the police complaint after Serba Dinamik issued a letter in response to a February 7 High Court order compelling the company to divulge the factual findings update prepared by Ernst & Young Consulting, following a special independent review on the company over audit issues raised by its external auditor, KPMG.

In the letter, Serba Dinamik questioned the SC’s motive to press charges against the company over an alleged false RM6.01 billion revenue figure.

Serba Dinamik also claimed that the SC had threatened its staff by asking them to turn witness against the company and management in exchange for not being charged in court.

An SC source said the regulator viewed the letter as “an attempt to intimidate us from executing our duties”.

Editor's note: This story has been amended to include the Securities Commission Malaysia's repudiation of Serba Dinamik's allegations.