1. Introduction
The Board of Directors of the Company wishes to announce that Deleum Primera, a 60% owned indirect subsidiary of the Company was, on 26th November 2020, served with the sealed Writ and Statement of Claim, both dated 23rd November 2020, filed by SSSB at the Kuala Lumpur High Court (“High Court Suit”) through its solicitors, Messrs. Saiful, Roger & Co.
Details Of The High Court Suit
SSSB has alleged inter alia, that Deleum Primera failed to make payment for services rendered by SSSB for certain works which Deleum Primera had engaged SSSB for.
The Orders and/or relief sought by SSSB against Deleum Primera, are as follows:
(a) Judgment for the sum of RM1,568,048.66 being the total sum of SSSB’s invoices issued to Deleum Primera which are allegedly outstanding;
(b) (i) A declaration that Invoice No. SS/CWR/BAP A/STANDY is matured, overdue and payable by Deleum Primera to SSSB on 3/12/2020 in respect of the BAP-A STANBY project;
(ii) Mandatory injunction requiring Deleum Primera to pay RM616,535.79 in respect of Invoice No. SS/CWR/BAP A/STANDY to SSSB’s solicitors on 3/12/2020;
(iii) Subject to b(i) and b(ii), in the alternative, judgment for the sum of RM616,535.79 to be paid by Deleum Primera to SSSB’s Solicitors;
(iv) Interest at the rate of 5% per annum on the Judgment sum from the date of Judgment until full settlement;
(v) Costs; and
(vi) Any other relief deemed fit by the Court.
2. Financial and Operational Impact
The Suit is not expected to have any material financial and operational impact on the Group. Deleum Primera is not a major subsidiary of the Company.
3. Proposed steps to be taken
Deleum Primera is seeking the necessary legal advice from external legal counsel with regard to the matter.
Further announcement on the development of the above matter will be made to Bursa Malaysia Securities Berhad from time to time.
This announcement is dated 27th November 2020.