Reference is made to the Company’s previous announcements made on 3 April 2025, 15 April 2025, 24 April 2025, 30 July 2025, 4 August 2025 and 5 August 2025 and the Board wishes to inform the following:- 

1. Compound Notice Served by PDRM to SMSB

The PDRM has concluded its investigation and SMSB was served with a compound notice by the PDRM pursuant to Section 92(1) of AMLATFPUAA 2001 (Act 613).

The compound imposed amounted to RM24,000,000.00 and is to be settled in two (2) settlements as detailed below:-

1. RM10,000,000.00 has been paid on 26 January 2026; and
2. RM14,000,000.00 on or before 31 March 2026.

Upon full settlement of compound, the entire property(ies) owned by SMSB will be released from seizure.

The Board wishes to clarify that the compound was settled as an administrative regulatory resolution in lieu of prosecution or court proceedings, and does not constitute any admission of guilt, liability, or wrongdoing. The decision was taken on a pragmatic basis to achieve a full and final resolution of the matter, eliminate uncertainty, and allow the Group to focus on its core operations. No court proceedings were commenced, and no finding of guilt or wrongdoing has been made against the Group or its Directors.  

The Board further confirms that the Group remains committed to maintaining high standards of corporate governance, internal controls and compliance with all applicable laws and regulations, and will continue to enhance its compliance framework where necessary.

2. Financial and Operational Impact of the Group

The Board is of the opinion that the settlement does not have any material financial impact on the Company for the financial year ending 30 June 2026. The Company has taken immediate steps to strengthen its internal controls, compliance framework, and corporate governance practices to prevent recurrence of similar matters.

This announcement is dated 11 February 2026.