Date: December 22, 2011
SIAS has serious
concerns over the recent developments in China Sky Chemical Fibre Co Ltd (the
Company). The Singapore Exchange (SGX) on 16th Nov 2011 issued a
directive under the Listing Rules to appoint a Special Auditor relating to
various issues pertaining to interested party transactions between the Company
and the Audit Committee Chairman, the aborted acquisition and development of
land in China and repair and maintenance costs. SIAS is perturbed to
learn from SGX’s statement dated 16th Dec 2011 that queries from SGX
to the Company have been met with contradictory statements and disclosures
which were not substantiated.
SIAS calls on the
Company to immediate comply with the directive to appoint a Special Auditor
under the Listing Rules so that the trading suspension can be
lifted. The directive clearly appears to SIAS as a reasonable request and in
the interest of all shareholders.
SIAS calls upon the
Company and its Director to comply with Listing Rules and adhere to
corporate governance standards in Singapore which is the least that
shareholders expect from the Company and its Directors.
David Gerald
President/CEO
SIAS
