Khee San chairman steps down after six bank accounts frozen

Datuk Seri Ngu Tieng Ung, the largest shareholder of Khee San Bhd, has stepped down as executive chairman due to personal reasons, according to a Bursa Malaysia filing. His resignation follows the freezing of six bank accounts belonging to Khee San Food Industries Sdn Bhd, a subsidiary of Khee San, after an anti-money laundering investigation.

The six accounts, with a combined credit balance of approximately RM1.89 million, were frozen by the Royal Malaysia Police (PDRM) following an investigation, though the company has yet to receive formal clarification from the police on the specific circumstances or matters that led to the investigation. The company is actively seeking further information from the PDRM and has submitted an appeal to lift the freezing order.

The freezing of the accounts has caused immediate operational implications, impacting customer receipts, collection processing, payments to suppliers, and staff salaries. However, the extent of any impact on the group's sales and production operations has not been confirmed yet.

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