Bursa orders review of China Automobile quarterly report

PETALING JAYA: China Automobile Parts Holdings Ltd (CAP) has been issued a directive by Bursa Malaysia Securities Bhd to have its first-quarter financial report ended March 31, 2017 reviewed by its external auditor.
In a filing with Bursa Malaysia yesterday, the group said that Bursa Securities had on June 16, 2017 issued a directive to the group to make an immediate announcement with regard to its decision.
CAP said the directive is to address concerns that the quarterly report may not be accurate and reliable, premised on the group’s recent developments, including the withdrawal by its auditor PKF on its 2015 financial statements’ report.
CAP said the decision also relates to concerns raised by PKF with respect to its 2016 financial statement, in which its auditors wanted to verify the company’s value-added tax devices with the relevant tax authorities’ system directly.
PKF also wanted to complete the verification of the company’s consignment notes or appropriate delivery documentation against the sales invoices.
CAP recently had been granted a one-month extension from June 5 to submit its audited financial statement for the financial year ended Dec 31, 2015 (FY15).
Earlier, it also announced that it was unable to release its first quarterly report ended March 31, 2017 by May 31, 2017, as it was unable to finalise it within the stipulated time frame.
Its financial year end has been changed to June 30, from Dec 31.