It included an option to grant APSB a final three-month extension with a late interest charge of 8.5 per cent per annum on the outstanding loan amount, which APSB did not take up.The group had not accounted for the late interest payment in Astaka's financial year ended June 30, 2018, which amounts to about RM4 million.
A prior year adjustment would need to be made to the audited consolidated results of the group, it said. Astaka's board was only informed of the oversight - which requires a prior year adjustment - on Aug 29, 2019, after it had provided its in-principle approval to the results announcement, Astaka said.
After consulting its sponsor, PrimePartners Corporate Finance Pte Ltd, the company's board intends to appoint Ernst & Young Advisory Pte Ltd as an independent reviewer for what led to the oversight, including any lapses in internal controls. The group has in the meantime requested a voluntary suspension of trading in its shares after first calling a trading halt on Sept 2.