KUALA LUMPUR: Lagenda Properties Bhd
continued to face heavy selling pressure after a sell-off yesterday on news that a "senior personality" related to the company was being probed by the authorities.
Shares in the property developer plunged 26.9% at the start of Thursday trading to 85.5 sen a share before paring some losses to 95 sen a share as at 9.13am after 112.3 million shares were done.
The share was the most active on Bursa Malaysia in the early morning session, while its call warrants, which were down 0.5 sen to 2.5 sen at the open, were also heavily traded with 26.43 million units changing hands.
On Wednesday, the trading stock of Lagenda hit limit down in the early session after falling 29.52% to RM1.17 a share.
Lagenda's board, in response to an unusual market query from Bursa Securities, said it had become aware of news reports that the Malaysia Anti-Corruption Commission (MACC) had granted a four-day remand order involving a senior personality of the company.
It said the investigation is isolated from Lagenda's business operations and that the operations of the group remained unaffected by the event.
"The board wishes to inform the shareholders and other stakeholders that the operations of the Group remain unaffected by the above event.
"The group’s various operating units have been and are under the care of the various unit heads with proven track record," it added.
Shedding more light on the matter, Lagenda's head of investments and investor relations Jasrinderjit Singh Dhillon said at an analyst briefing, without disclosing the name of the personnel, that the remand pertained to dealings in the subdivision of Malay reserve land in Manjung, Perak.
He added that the board of directors and executive director Andy Chua Seng Hooi would assume leadership of the company.
Lagenda’s six-member board comprises of all non-executive directors except for group managing director Datuk Doh Jee Ming.
The 44-year-old controls 57.33% equity in the company, held mainly under his investment vehicle Lagenda Land Sdn Bhd.
Bernama reported on Tuesday that a magistrates’ court in Perak had issued a remand order against a male suspect in his 40s after allowing an MACC application.
According to the news report, MACC senior director (Investigations) Hishamuddin Hashim confirmed the suspect’s arrest and said the case is being investigated under the MACC Act 2009, pertaining to the offence of bribing a public officer.
