Tuesday, August 07, 2007

Megan's Other Bossie

Here's a not too nice story to read given the troubles within Megan Media.

  • 07-08-2007: Megan’s boss sold down ahead of crisis07-08-2007: Megan’s boss sold down ahead of crisis
    by Gan Yen Kuan

    KUALA LUMPUR: Megan Media Holdings Bhd executive chairman Datuk Mohd Adam Che Harun disposed of a total of 6.26 million warrants of the company between April 25 and May 4, a filing to Bursa Malaysia on Aug 3 showed
    .

    The transactions took place just before Megan Media announced on May 4 that its subsidiaries — Memory Tech Sdn Bhd and MJC (Singapore) Pte Ltd — had defaulted on maturing trade facilities amounting to RM47.36 million.

    Pursuant to its announcement on June 6 after an investigative audit,

    Megan Media uncovered accounting fraud at Memory Tech.

    According to Bursa filings, Mohd Adam sold the block of warrants on the open market via five transactions, which saw his warrants holdings in Megan Media being reduced to 63,700 units or 0.09%.

    Mohd Adam had been consistently selling his shares in Megan Media from March to May, according to several previous filings to Bursa Malaysia.

    Between March 9 and May 4, he sold a total of 2.96 million Megan Media shares via open-market transactions. A filing on May 7 showed that his shareholding in the company had been reduced to 4.72 million or 2.32%.

    After announcing financial irregularities at Memory Tech, Megan Media said on June 8 that the Securities Commission (SC) had begun investigations into the company.

    On June 19, it was classified as a PN17 company, and was given eight months to submit a substantive plan to regularise its financial condition.

    Megan Media released its fourth quarter results on July 2, and surprised the investing public with an unaudited net loss of RM1.27 billion for the financial year ended April 30, 2007 (FY07).

    Last week, SC chairman Datuk Zarinah Anwar said it was still investigating the accounting irregularities in Megan Media.

    Earlier, The Edge Financial Daily reported, quoting sources, that the outcome of the investigations on Megan Media carried out by investigative accountant Ferrier Hodgson MH Sdn Bhd would likely be announced in August.

Point is the transactions was DONE between April 25 and May 4 and these transactions was only recorded and announced on Aug 3rd 2007?

Why did it take so long to file?

Why?

3 comments:

hellthy correction said...

this deal has insider trading writtern all over its face...a prima facie case so clear cut....remember iris? its chairman and directors has been selling right from day one...and where is iris now?

John said...

Downright disgusting. More to come, I hear.

Jensen said...

Why Megan quarterly report still did not release?