PRG Holdings Berhad Annual Report 2020

21. CASH AND BANK BALANCES (continued) (d) For the purpose of the statements of cash flows, cash and cash equivalents comprise the following as at the end of each reporting period: Group Company 2020 2019 2020 2019 RM’000 RM’000 RM’000 RM’000 Cash and bank balances Cash and bank balances 19,958 13,653 508 130 Deposits placed with financial institutions 14,916 9,733 - - 34,874 23,386 508 130 As reported in statements of financial position Less: Bank overdraft (Note 25) (272) (384) - - Deposits placed with financial institutions with original maturity of more than three (3) months (12,854) (7,980) - - Cash and cash equivalent classified as held for sale (Note 28(g)) - (5,168) Restricted cash (727) (727) - - As reported in statements of cash flows 21,021 9,127 508 130 (e) No expected credit losses were recognised arising from the deposits with financial institutions because the probability of default by these financial institutions were negligible. (f) Information on financial risks of cash and bank balances is disclosed in Note 39 to the financial statements. 22. BANK BALANCES HELD ON BEHALF OF CLIENTS (a) The Group maintains segregated trust accounts with licensed banks to hold clients’ monies arising from its normal course of business. The Group has classified the clients’ monies as bank trust account balances under the current assets section of the consolidated statement of financial position and recognised the corresponding accounts payable to respective clients on the ground that it is liable for any loss or misappropriation of the client’s monies. The Group is not permitted to use the clients’ monies to settle its own obligations. (b) Bank balances held on behalf of clients are denominated in Hong Kong Dollar. Annual Report 2020 149 Notes to the Financial Statements 31 December 2020 cont’d