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Oriental lodges report with CAD in relation to possible breach of securities laws
ORIENTAL Group Ltd said it has lodged a report on Thursday with the Commercial Affairs Department in relation to a possible breach of securities laws and other offences arising from the irregularities in the group's operations in Singapore as well as in China.
"In respect of irregularities within the group's operations in the PRC, the company is currently seeking legal advice on the appropriate courses of action in the PRC and the company will update shareholders as and when appropriate," it said in a regulatory filing.
This follows the release of a special audit report by RSM Corporate Advisory, which highlighted a number of potential legal and regulatory breaches at Oriental Group from 2013 to 2015. RSM also noted the involvement of former key directors and officers of the company in the potential breaches.
Oriental also announced on Thursday another letter of demand, this time from Legal Clinic LLC on behalf of Lian Hoe Hardware Pte Ltd (LHH) for a repayment of S$91,468.17. The letter states that Oriental Group is to make full payment of the sum by Dec 13, failing which legal proceedings would be commenced against the group. It had earlier received letters of demand for about S$11,353 of payments from Hoe Leong Metal & Machinery and by Steelforce (SEA).
The group said that it is seeking legal advice on these matters.