SINGAPORE (Sept 2): Shares in Serial System are up 10.7% to 8.3 cents on Monday morning after its board on Friday announced Derek Goh Bak Heng will continue with his role on the board of directors and as chief executive, following a review by its nominating committee (NC) at the request of the Singapore Exchange.
Last June, Goh was summoned by the Taiwanese authorities to assist in certain investigations under the Securities and Exchange Act of Taiwan, and was also asked by the Monetary Authority of Singapore (MAS) to assist in investigations concerning the Securities and Futures Act in November 2015.
See: Serial System CEO asked to assist in Taiwan investigations
See also: Serial System group CEO called upon again for Bull Will-linked investigations in Taiwan
In its announcement on July 2018, Serial System had stated that Goh appeared to be a person under investigation, based on the contents of the first letter the latter had received from the Taiwanese authorities and based on the advice of his Taiwan lawyers.
After seeking clarification on his status in the case, Goh now understands it is common for parties related to such matters to be referred to as "under investigation” in Taiwan, said Serial System in its Friday filing.
But the company added it is still "unclear whether Dr Derek Goh is the subject of investigation, or whether he is only assisting in the investigation".
Goh said he has limited information on the investigation to date. Although he had submitted a defence brief in September 2018 which requested an interview through electronic means, he has not received any reply from the Taiwanese authorities so far.
In addition, no action has been taken against Goh by the MAS or the Taiwan authorities to date, Serial System noted.
"Based on facts presented before us ... and that the matters set out in the MAS announcements and the Taiwan announcements are at the investigative stage and no action has been taken against Dr Derek Goh, the NC is of the view that he is suitable to serve and should continue to serve as a director and executive officer of the company," said Serial System.
While it has accepted the NC's recommendation, Serial System's board said it will continue to monitor developments to review Goh's role and responsibilities accordingly.
