Kuantan Flour Mill sued for RM235,232

PETALING JAYA: Kuantan Flour Mill (KFM), which announced a memorandum of understanding signing on Tuesday for flour milling activity, is being sued for RM235,232 by two parties.

The first claim dated Dec 20, 2016 is from Gebeng Tyres & Services Sdn Bhd seeking the RM161,182 owed by KFM, while the other one dated Dec 15, 2016 was filed by DPO Malaysia Sdn Bhd claiming RM74,050.

KFM is required to file a memorandum of appearance in court within 14 days from the date of service of this writ of summons.

In a filing with the stock exchange, KFM said the claims are not expected to have material financial and operational impact on the group.

Save and except for the outstanding payment sum due and the legal cost in defending against the writ, KFM does not foresee the company incurring any further losses arising from the writs.

KFM is seeking the necessary legal advice to remedy this situation.

“Further announcement on the development of the above matter will be made to Bursa Malaysia Securities Bhd in due course,” it noted.