BURSA ANNOUNCEMENTS
Date : 19 March 2009
TALIWORKS CORPORATION BERHAD (“Taliworks” or “the Company”) - (2009) Deyang Civil Suit No. 15 against Puresino (Guanghan) Water Co. Ltd ("Puresino Guanghan"), a subsidiary of Taliworks
TALIWORKS CORPORATION BERHAD |
Type | Reply to query |
Reply to Bursa Malaysia's Query Letter - Reference ID | ZO-090317-55428 |
Subject | TALIWORKS CORPORATION BERHAD (“Taliworks” or “the Company”) - (2009) Deyang Civil Suit No. 15 against Puresino (Guanghan) Water Co. Ltd ("Puresino Guanghan"), a subsidiary of Taliworks |
Contents | Reference is made to Bursa Malaysia’s letter dated 18 March 2009 in respect of the Company’s announcement dated 16 March 2009 pertaining to the above subject matter. The Company append below the following additional information for public release:- (i) The interest rate claimed for, if any There is no claim for interest in the civil suit. (ii) The financial and operating impact of the Civil Suit on the group Under the Equipment Supply Contract dated 6 December 2003 with Watson Environmental, an amount of RMB3,722,920 will be payable to Watson Environmental upon the joint certification of acceptance of certain equipment installed at the wastewater treatment plant and RMB1,725,880 being the 10% retention sum payable after the 24 months defect liability period which commences after the joint certification of acceptance of the equipment. In the civil suit, the Plaintiff is claiming a sum of RMB5,948,000 as the outstanding payment due by Puresino Guanghan to Watson Environmental. If the suit is successful, this would result in Puresino Guanghan having to assume an additional liability of RMB500,000 (being the difference between the sum of RMB5,448,000 payable under the Equipment Supply Contract (assuming that Puresino Guanghan is satisfied with the joint certification) and the amount claimed under the suit of RMB5,948,000). However, it would be doubtful whether the additional sum would be required to be paid due to the lesser amount payable to Watson Environmental under the Equipment Supply Contract. The payment date to Watson Environmental which is due only upon the satisfactory joint certification of the equipment and the expiry of the defect liability period would also be brought forward resulting in immediate cash out flow from Puresino Guanghan. The said civil suit will have no impact to the operations of Puresino Guanghan. (iii) The expected losses, if any arising from the Civil Suit The Group is expected to incur expenses in engaging solicitors to defend the legal suit. In the event if the Plaintiff successfully obtained judgments and duly enforced the claims in full, the expected losses accruing would also include the additional liability of RMB500,000 mentioned above, the liquidated damages claimed in the said civil suit and the court fees. Despite the explanation provided above, Puresino Guanghan is disputing the claims made by the Plaintiff. This announcement is dated 19 March 2009. |
Query Letter Contents | We refer to your Company's announcement dated 16 March 2009 in respect of the above matter. In this connection, kindly furnish Bursa Malaysia Securities Berhad ("Bursa Securities") with the following additional information for public release:- The interest rate claimed for, if any. The financial and operational impact of the Civil Suit on the group. The expected losses, if any arising from the Civil Suit. Please furnish Bursa Securities with your reply via an announcement within one (1) market day from the date hereof. Yours faithfully TAN YEW ENG Head, Issuers Listing Division Regulation TYE / ZOOS c.c.Head, Market Surveillance Department Securities Commission (via fax) |
Announcement Info
Company Name | TALIWORKS CORPORATION BERHAD |
Stock Name | TALIWRK |
Date Announced | 19 Mar 2009 |
Category | General Announcement |
Reference No | CC-090319-C1A0E |