On Kenmark, Ishak and the questioning of journalists

SBW: In light of Kenmark’s case, investors have become even more spooked about China IPOs in our market. How do you plan to address this, considering that the SC’s plan is to attract foreign companies to list here?

Zarinah: We have implemented a robust framework for initial public offerings (IPOs) to ensure that investors are appropriately protected and we treat all IPOs, whether of local or foreign companies, in the same manner. Investment risk exists in all markets, whether developed or emerging. Moreover, both Bursa and the SC continue to monitor the compliance of post-listing obligations by listed companies. We continuously work towards strengthening our investor protection framework taking into account the profile of the market.

Earlier you mentioned about 19 people, including four reporters, being questioned in the investigation of Kenmark. There have been complaints in the manner the reporters were interviewed especially in the case of The Star. Even the lawyer has now been given notice to appear for questioning. What are your comments?

We all have to work in cooperation with each other. The SC has its statutory duty to protect investors and to make sure that the market operates in a fair, orderly and transparent manner. Otherwise, there will be no investor confidence. Here we are talking about corporate governance and enforcement, about the need to investigate wrongdoing and bring the culprits forward. How do we do that effectively if we do not have witnesses to come forward and help us prove the case against the offenders? Witnesses can come from anywhere, and we call witnesses whom we feel can help us, provide information about the case. And when these witnesses come, they are subjected to the same process of question and answer. In the course of statement taking, there are certain rules and guidelines that have to be observed.

Have you managed to speak to the directors, and Datuk Ishak?

I cannot talk about individual investigations. At the moment, we are actively investigating this case.



- by thestar.com.my