business

Kosmo's former directors and accounts manager fined RM3.5m

KUALA LUMPUR: Two former directors and an accounts manager of Kosmo Technology Industrial Bhd have been convicted for furnishing false statements to Bursa Malaysia.

In a statement today, the Securities Commission named former group managing director Datuk Norhamzah Nordin and executive director Mohd Azham Mohd Noor, and accounts manager at the material time, Helen Lim Hai Loon as the accused.

They were charged in 2011 with eight counts of furnishing false statements to the bourse in relation to Kosmo’s revenue figures, ranging from RM7 million to RM40 million, in its unaudited quarterly reports from 2006 to 2007.

The revenue figures were later found by the Sessions Court to be false as they contained fictitious sales.

Both Norhamzah and Mohd Azham were ordered by the Sessions Court to each pay a fine of RM1.45 million and serve a two-year imprisonment term.

Lim, meanwhile, was fined RM560,000 and ordered to serve a one-year imprisonment term.

All the offences were committed under section 122B of the Securities Industry Act 1983 and section 369 of the Capital Markets and Services Act 2007.

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