Khee San Berhad said six bank accounts belonging to its wholly-owned subsidiary, Khee San Food Industries Sdn Bhd (KSFI), have been frozen following an investigation under the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 (AMLA).
The company said KSFI was notified today that the six accounts maintained with a bank had been frozen in connection with the investigation.
The accounts are actively used to support the group’s day-to-day operations, according to the company.
Khee San said the freezing of the accounts is expected to cause some disruption to the group’s operations, although its board currently does not expect the matter to have a material financial impact on the group.
“The Company is currently taking the necessary steps to resolve the matter and will extend its full cooperation to the relevant authorities in connection with any investigation,” it said.
Khee San said it would make further announcements if there were any material developments relating to the matter.
The development comes as the confectionery manufacturer continues to manage its operations through KSFI, its wholly-owned operating subsidiary.
