Tanjung Offshore to review six deals on corp governance concerns

PETALING JAYA: Tanjung Offshore Bhd will review six deals, both ongoing and those aborted, on the recommendations of a special task force board committee, which was based on the Ferrier Hodgson's forensic audit report.
In a filing with the stock exchange, Tanjung Offshore said the recommendations will decide how the company will proceed on the various deals which were highlighted by the audit report which commenced on March 20.
It has also vowed to clean up the weaknesses identified by the forensic audit.
"The recommendations by the forensic audit and subsequently, the in-depth study by Tanjung Offshore's special task force is a good starting point as the company seeks to put itself on a more solid footing," said group CEO and executive director Rahman Shamsudin.
"This move was aimed at strengthening corporate governance within the group, taking a cue from recommendations of a forensic audit by Ferrier Hodgson triggered by several "contentious transactions"," he added.
Tanjung Offshore is now engaging external lawyers to follow up on the matters highlighted in the report which require legal advice, including for the Bourbon deal, RM34.3 million Gastec deal, a RM62.7 million UK property acquisition, RM3.2 million investment into China's Ethylene Propylene Diene Monomer (EPDM) project, RM6.2 million Philippines' chromite project and a construction work request project.
Worth noting is that the Malaysian Anti-Corruption Commission (MACC) is also investigating into the Gastec case.
"The company will lodge an official complaint with the MACC and provide MACC a copy of the report to facilitate MACC investigations for this transaction," it said.
On the UK property acquisition, Tanjung Offshore is in the midst of appointing real estate agent and valuers in the UK to conduct a proper valuation on the UK property.
"The company will lodge an official complaint with the MACC for this transaction," it added.