General Announcement
Reference No CAS-090114-D24F8

Company Name
:
SCAN ASSOCIATES BERHAD (MESDAQ Market) 
Stock Name
:
SCN  
Date Announced
:
14/01/2009  


Type
:
Reply to query
Reply to Bursa Malaysia's
Query Letter - Reference ID
:
NS-090113-40660
Subject
:
SCAN ASSOCIATES BERHAD ("SCAN" or "the Company")
LODGEMENT OF POLICE REPORT WITH BALAI POLIS, JALAN TUN RAZAK, KUALA LUMPUR - ADDITIONAL INFORMATION FOR PUBLIC RELEASE

Contents
:
Further to SCAN’s announcement on 12 January 2009 on the lodgment of Police Report with Balai Polis Tun Razak, Kuala Lumpur, the Company has, pursuant to the letter from Bursa Malaysia Securities Berhad dated 13 January 2009, provided the following additional information:-

1. The Company is in the midst of appointing an independent auditor to conduct an investigative audit on the possible financial impact of the misappropriation to the Group. Operationally, the Company remains focused in its business direction and will continue to serve its clients, business partners and associates, investors, stakeholders and shareholders despite the departure of the Chief Executive Officer from the Company. The original technology force and capability remains intact in the Company and will not affect our services and offerings.

2. The Company shall make announcement on the financial impact including expected losses, if any, arising from the misappropriation once the report is made available by the independent auditor. The scope of the independent audit will focus on the following activities, namely:-
a. To focus on conducting forensic accounting on the records of the company;
b. To further confirm and establish the authenticity of the misappropriated transactions; and
c. To report to the management of the Company on possible financial impact of the misappropriation on the Company.

3. The steps taken and proposed to be taken by the company in respect of the misappropriation are as follows:-
a. The lodgment of police report which was carried out on 10 January 2009;
b. Met the Security Commission on 13 January 2009 to brief the officers on the Misappropriation and sought for their advice on the matter;
c. To appoint an independent auditor whose role will be as per described above;
d. To recruit a new Chief Financial Officer (CFO) to oversee, improve and establish a higher level of integrity in the governance of the Finance & Accounting Department.

This announcement is dated 14 January 2009.

Query Letter
content
:
We refer to your Company's announcement dated 12 January 2009.

In this connection, kindly furnish Bursa Securities with the following
additional information for public release :-

1. The financial and operational impact of the Misappropriation on the Group.
2. The expected losses, if any arising from the Misappropriation.
3. The steps taken and proposed to be taken by the Company in respect on
the Misappropriation.

Kindly furnish Bursa Securities with your reply within one (1) market day from
the date hereof.

Yours faithfully



TAN YEW ENG
Head, Issuers
Listing Division
Regulation

TYE/NZ

Copy to : Head, Market Surveillance Department, Market Supervision Division,
Securities Commission (via fax)

© 2009, Bursa Malaysia Berhad. All Rights Reserved.



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