PETALING JAYA: Seacera Group Bhd is seeking legal advice on the voluntary declaration made by a director of its subsidiary Duta Skyline Sdn Bhd without written approvals from the boards of Seacera and Duta Skyline.
The voluntary declaration is for the settlement of an overdue tax amounting to RM22.18 million for the years of assessment of 2009 and 2012. It is to be paid before July 1, 2019.
In a filing with the stock exchange, Seacera said a letter dated May 31 from Inland Revenue Board (IRB) was received on June 12 stating that IRB has accepted the voluntary declaration made by Duta Skyline.
“The voluntary declaration letter dated May 13 was signed by Datuk Ismail Othman (one of the vendors and directors of Duta Nilai Holdings Sdn Bhd and Duta Skyline) without written approvals from the board of directors of Duta Skyline Sdn Bhd and Seacera.”
Seacera also noted that the overdue tax occurred prior to Seacera’s acquisition of Duta Nilai on November 16, 2016, which in turn wholly owned Duta Skyline.
Accordingly, Seacera opined that the additional tax amount is personally payable in full by the vendors of Duta Nilai as the additional tax constitutes a clear breach of the vendors warranties under clause 9.2 and paragraph 6.1 and paragraph 6.2 of schedule 7 of the sale and purchase agreement dated November 16, 2016.
“The board of directors is seeking legal advice on the next course actions to be taken and further announcement will be made accordingly,” it added.
At the noon break, Seacera’ share price gained 4.7% to 22.5 sen on 3.74 million shares done.