APFT shareholder files injunction to restrain tomorrow's AGM

PETALING JAYA: A shareholder of APFT Bhd is seeking an injunction order to restrain the company from holding its AGM tomorrow.
However, no reason was given for the injunction move.
The aviation training provider said in a filing with the stock exchange that it was served with a originating summons and notice of application from Hisham Mustaffa on July 24 seeking to restrain the company from holding its AGM, which is scheduled to be held tomorrow 9am at Royale Chulan Seremban.
Today is the hearing of the injunction application.
APFT was admitted into PN17 category in January after its shareholders' equity fell below the 50% threshold.
Last week, the company announced that its board of directors were taking legal action against its former director Datuk Faruk Othman for allegedly misappropriating funds, causing the company's fall into the PN17 category and breach the Main Market Listing Requirements.
Also, APFT external auditor Messrs Adam & Co last month highlighted a material uncertainty that may cast doubt on its ability to continue as a going concern.
For the period from Aug 1, 2016 to Jan 31, 2018, it reported a net loss of RM67.57 million and RM14.51 million at the group and company level, respectively.
It had a negative operating cash flow of RM8.39 million and RM14.29 million respectively, with total current liabilities exceeding total current assets by RM31.92 million.
One of APFT's subsidiaries was unable to meet its borrowings obligations during the financial period, leading to letters of demand and statement of claim from a few principal bankers.
At the midday break, APFT's share price was unchanged at 2.5 sen with 9.68 million shares changing hands.