Date: 24 July 2017

MATERIAL LITIGATION APFT Berhad ("APFT" or "the Company") Kuala Lumpur Session Court No. WA-B52NCC-897-11/2016 Public Bank Berhad ("PBB" or "Plaintiff") vs Asia Pacific Flight Training Sdn Bhd ("APFTSB" or "the Defendant")


Type Announcement
Subject MATERIAL LITIGATION
Description APFT Berhad ("APFT" or "the Company") Kuala Lumpur Session Court No. WA-B52NCC-897-11/2016 Public Bank Berhad ("PBB" or "Plaintiff") vs Asia Pacific Flight Training Sdn Bhd ("APFTSB" or "the Defendant")

1,            Date of Received of the Writ of Summons and Statement of Claim

The Board of Directors of APFT Berhad ("APFT" or "the Company") wishes to announce that an indirect wholly-owned subsidiary, Asia Pacific Flight Training Sdn Bhd ("APFTSB" or "the Defendant") had on 9 November 2016 received a sealed Writ of Summons dated 9 November 2016 ("the Writ") and Statement of Claim dated 9 November 2016 ("Statement of Claim").

2,            The particulars of the claim under the Writ and Statement of Claim, including the amount claimed for and the interest rate

Pursuant to the Writ and Statement of Claim, the Plaintiff claims the following from APFTSB:-

i)             The sum of RM746,986.40;

ii)            Interest of 3.5% per annum on the total sum of RM746,986.40 calculated from the date of overdue until the date of full settlement;

iii)           Cost of RM1,200;

iv)           Any other relief that the Honourable Court deem fit and proper.

3,            Details of the default or circumstances leading to the filing of the Writ and Statement of Claim against APFTSB

The circumstances leading to the filing of the Writ and Statement of Claim against APFTSB was due to the fact the APFTSB had apparently failed to pay the outstanding sum together with the interest at the rate of 3.5% per annum amounting to RM746,986.40 for recall of loan facility offered by PBB.

4,            A confirmation as to whether APFTSB is a major subsidiary

                APFTSB is a major subsidiary of APFT.

5,            The cost of investment in APFTSB

                The total cost of investment in APFTSB is RM25,000,000.

6,            The financial and operational impact of the Writ and Statement of Claim on the Group

                There is no material impact on APFT.

7,            The expected losses, if any, arising from the Writ and Statement of Claim on the Group

Save and except for the outstanding payment sum due and the legal cost in defending against the Plaintiff's Writ, the Company is not expected to incur any further losses arising from the Writ.

8,            Steps taken and proposed to be taken in respect of the Writ and Statement of Claim on the Group

The Company is seeking the restructuring of the repayment of loan facility with PBB.

The application for summary judgement was allowed on 28 March 2017. On 13 July 2017, APFTSB's appeal was dismissed with costs of RM2,000.

As of 24 July 2017, APFTSB has paid the arrears amounting to RM91,363.22.

Further announcement on the development of the above matter will be made to Bursa Malaysia Securities Berhad in due course.

This announcement is dated 24 July 2017.





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