Scan Associates Bhd ... Feb 2009

Scan Associates Bhd has lodged a police report related to the dismissal. The report was lodged “pursuant to the termination of employment of (former CEO) Datuk Aminuddin Baki Esa ... in view of the misappropriation of monies amounting to RM1.7mil.

The misappropriation of funds was established by an independent panel of domestic inquiry. Aminuddin, when contacted, declined to comment. Attempts to reach the company were also unsuccessful.

The dismissal might cause adverse ramifications. There could be consequences and the dismissal may have an effect on the confidence of shareholders.

Scan, an information communication technology (ICT) security provider, had been recording net losses for the past five consecutive quarters.

It would continue to bid for various ICT security projects both locally and overseas.

Scan was awarded a contract valued at RM15mil from the Malaysian Administrative Modernisation and Management Planning Unit (Mampu) in November 2008. Under the agreement, Scan would develop, integrate and deploy various ICT security solutions for Mampu’s software and hardware systems.

Financial Results … For its third quarter (Q3) ended Sept 30, 2008, Scan posted a net loss of RM1.46mil on revenue of RM4mil.

On announcing its Q3 results, the company attributed the loss to delays in the awarding of major projects. The third quarter loss could have a negative impact on its fourth quarter performance.