Scan Associates founder calls for EGM to remove four directors

PETALING JAYA: Scan Associates Bhd, a Guidance Note 3 (GN3) company, has received a notice of requisition from its major shareholders, including founder and CEO Datuk Norbik Bashah Idris to convene an EGM to remove four directors.
The move caught the market by surprise as Norbik Bashah just resigned end of last month, citing personal reasons.
However, in less than a month, Norbik is now seeking for a board representation again, together with Nurul Huda Zaharol Natrar, Nor Ramzani Abdul Rahim and Siti Sarah Zainal Abidin, according to a filing with the stock exchange last Friday.
Scan Associates said it had received a notice from Hussin Othman and Norbik Bashah, who collectively own more than 10% stake, to remove four board members namely Major Ismail Ahmad, Mak Siew Wei, Datuk Nik Ismail Nik Yaacob and Roy George.
Earlier, Scan Associates battled to restrain Bursa Securities from classifying it as a GN3 company, but it was unsuccessful.
It was said to have triggered rules 2.1(b) and (c) of GN3, which see a company's loss equalling to or exceeding the amount of shareholders' equity and the shareholders' equity is equal to or less than 50% of the issued and paid-up capital for one full financial year loss.
For aggregated losses in any two consecutive financial years, it will be triggered when the loss in the second financial year is 50% or more of the loss incurred in the first year.
The ICT security solutions provider turn into the black for three months ended March 31, 2015, with a net profit of RM656,000 compared with a net loss of RM2.12 million in the previous corresponding period. Meanwhile, 15-month net loss saw a widened net loss of RM6.45 million compared with RM4.45 million in the same period a year before.
Its financial year end has been changed to June 30, 2015, hence there will be 18 months for the current financial year.
Shares of Scan Associates were unchanged at 8 sen last Friday, with 6.23 million shares traded.