Sentoria Group Berhad (“Sentoria”) wishes to announce that it has on 28 February 2014 engaged BDO Tax Services Sdn. Bhd. (“BDO Tax”) to provide advisory services in getting the Group ready for the implementation of Goods and Services Tax (“GST”).

In response to the Government’s intention to introduce GST on 1 April 2015, Sentoria is taking measures to equip itself of complying with the relevant GST regulations. The scope of BDO Tax’s services includes the undertaking of GST impact study for Sentoria and recommending implementation strategies.

BDO Tax is a division of BDO Malaysia, a member firm of BDO International, the world's fifth largest network of professional firms providing audit, advisory and tax services.

The engagement of BDO Tax is deemed a related-party transaction under the Main Market Listing Requirements of Bursa Malaysia (“MMLR”) by virtue of the sibling relationship between Dato’ Gan Kim Leong, the Joint Managing Director of Sentoria, and the Managing Partner of BDO Malaysia, Dato’ Gan Ah Tee. The fees payable for the GST implementation engagement, aggregated with the fees incurred for the provision of other advisory services by BDO Malaysia to Sentoria within the last 12 months, exceeds the RM250,000 threshold under the MMLR.

The estimated project time frame will be as follows and will be re-evaluated when the engagement commenced depending on the progress of scheduled activities:-

Commencement of Project	Estimated timeline	Proposed Date/Month
Phase 1-GST Impact Study	2-3 months from the date of commencement of Phase 1	To be agreed with and confirmed by the Company
Phase 2- GST Implementation Advisory Strategy, Mapping Exercise, Data Analysis & Discussions	3-4 months from the date of commencement of Phase 2	To be agreed with and confirmed by the Company
Phase 3 – GST Implementation Advisory Review and Proposed Recommendations	4-5 months from the date of commencement of Phase 3	To be agreed with and confirmed by the Company

In appointing BDO Tax, the Board of Directors of Sentoria other than Dato’ Gan Kim Leong, who is interested and had abstained from all Board deliberations on the same, is of the view that the terms provided by BDO Tax are fair and reasonable.

 

This announcement is dated 3 March 2014.