In today’s edition of Evening 5 — the US has lifted its import ban on Supermax Corp nearly two years after it had imposed the restriction due to alleged forced labour issues. Meanwhile, two major US electrical and electronic firms are set to expand their operations in Malaysia.
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00:04 The US is allowing imports from Supermax Corp after customs authorities lifted a ban
00:09 that has been imposed on the glove maker since October 2021 for alleged forced labor.
00:15 In a statement on Tuesday, the US Customs and Border Protection said effective immediately
00:19 the agency will allow imports of disposable gloves manufactured by Supermax
00:23 and its wholly owned subsidiaries to enter the US,
00:26 provided they are otherwise in compliance with US laws.
00:30 CBP senior official performing the duties of the Commissioner Troy A. Miller
00:34 said the action underscores the ongoing impact of CBP's enforcement efforts
00:39 in driving remediation and eliminating forced labor from supply chains.
00:43 CBP began enforcing the WRO against Supermax and its units based on evidence reasonable,
00:50 indicating the presence of 10 out of the 11 international labor organization
00:54 indicators of forced labor.
00:56 In response to the WRO, the company demonstrated to the CBP that it has taken steps
01:02 to remediate the forced labor indicators identified in its supply chain.
01:06 CBP said forced labor enforcement efforts have resulted in the improvement
01:10 of living and working conditions for tens of thousands of workers,
01:14 including repayment of more than US$50 million in withheld wages
01:19 and recruitment fees used to trap workers in debt bondage.
01:22 Two major US electrical and electronic firms are set to expand their operations to Malaysia,
01:33 one of which is expected to invest at least RM500 million.
01:37 At the same time, Elton Industry Limited, a global supplier of consumer and commercial tools,
01:43 appliances and floor care, will be investing a minimum of RM500 million
01:47 to set up its manufacturing and R&D base in Johor,
01:50 said Investment, Trade and Industry Minister Tunku Dato' Sri Zafral Abdul Aziz.
01:54 Pernamba reports that the plan for the new facility, scheduled for completion in 2024,
02:00 was disclosed during a meeting here between the minister and Elton Group President and CEO David Liu.
02:06 Zafral also disclosed that another company, which he said he was not able to name for the moment,
02:11 will be investing a significant sum in Penang.
02:14 He said Elton Group's decision reflects the group's confidence in the country's
02:17 attractiveness as an investment destination and also aligns perfectly
02:22 with Malaysia's recently launched new Industrial Master Plan 2030.
02:26 During the meeting with Zafral, the group also laid out its plan to invest over RM2 billion
02:31 over the next seven years for its expansion and growth.
02:35 Meanwhile, another US firm, Topline Furniture Corp, has expressed its intention to increase
02:39 its imports from Malaysia over the next few years to RM230 million per year.
02:44 The company has been sourcing home furniture from Malaysia since 2000,
02:48 with total imports amounting to approximately RM840 million to date.
02:53 Zafral said the large furniture importer and wholesale distributor, based in Chicago,
02:57 Illinois, has a significant network of distribution centres throughout North
03:01 America and supplies to five of the largest furniture companies in the Midwest.
03:11 EcoWorld International posted a lower net loss of RM12.3 million for its third quarter against
03:16 RM56.7 million a year earlier amid foreign exchange gains from repayment of shareholders' advances
03:23 from EcoWorld Balamore and Bank Balances' conversion from British Pound to Ringgit.
03:27 Its lower net loss was also due to lower finance costs from the full settlement of all borrowings,
03:33 lower share of losses in EcoWorld London, and higher interest income from unit trust
03:37 and fixed deposits following the shareholders' advance repayment from EcoWorld Balamore and
03:42 EcoWorld London. Quality revenue, however, fell 9.65% year-on-year to RM31.17 million due to
03:49 discounts given to accelerate sale of remaining units sold in the current quarter, in line with
03:55 its monetization strategy. President and CEO Datuk Teo Leong Seng, in a statement, said that EWI
04:01 achieved RM1.003 billion in sales plus reserves of RM157 million in 10 months of FY2023, adding up
04:10 to a total of RM1.161 billion, which he says places the group largely on track to achieve the sales
04:16 target of RM1.4 billion for FY2023. He adds that EWI will continue to focus on monetizing its stocks
04:24 with the aim of distributing more excess cash back. Teo says that new launches will continue
04:29 to be put on hold until market conditions improve and cost pressures stabilize. This
04:34 means that immediate working capital requirements for the group will be lower than originally
04:38 estimated. The group expects total dividends payable from its excess cash, including the RM792
04:44 million payable in September, to exceed the original estimate of RM900 million. Teo adds
04:50 that management is working towards declaring a second tranche dividend of RM144 million
04:54 from its excess cash in December 2023, with potentially more in FY2024.
05:00 Saipak Resources co-founder and group CEO Datuk Daud Ahmad has ceased to be the substantial
05:10 shareholder of the group after he disposed of six million shares worth RM5.4 million on Tuesday,
05:16 a Bursa Malaysia filing showed on Wednesday. Following the disposal, Daud now has a 4.88%
05:23 stake or 38.34 million shares in the Renewable Energy and Solid Waste Management Company.
05:29 This comes less than a week after the group announced the emergence of a new substantial
05:33 shareholder, Cheung Tao, after he acquired 40 million Saipak shares on September 14.
05:39 Notably, the acquisition happened the same day Cheung Chee Yang ceased to be a substantial
05:44 shareholder following the disposal of 40 million shares, leaving him with 37.43 million shares,
05:50 or a 4.77% stake. According to previous filings, Chee Yang once transferred 2.77 million shares
05:57 to Cheung Tao in June. For the record, Saipak's largest shareholder is Jackal Capital,
06:03 part of the Jackal Group, with a 22.51% stake. Saipak recorded its maiden loss for the fourth
06:10 quarter ended April 30, 2023, due to impairments and provisioning of RM376 million, including for
06:17 the wasted energy project that was completed this year.
06:21 It was revealed in the High Court today that US$681 million or US$2.08 billion was deposited
06:32 into XPM, Datuk Sri Najib Razak's AmBank personal accounts, in early 2013. During the 1MDB Tanore
06:39 trial, the prosecution's 47th witness on the stand, Bank Negara analyst Adam RF Mohd Roslan,
06:45 testified on the trail of money which led to the huge deposit into Najib's accounts.
06:50 Referring to a 76-page money trail report he had prepared, Adam walked prosecutors through
06:56 the third phase, namely the Tanore phase, of the 1MDB scandal, where there was an issuance of a
07:02 US$3 billion bond by 1MDB via its wholly-owned subsidiary 1MDB Global Investment in 2013,
07:10 where Goldman Sachs was the arranger. Adam said money belonging to the 1MDB unit had
07:15 flowed through companies owned by fugitive Low-Tech Joe's associate Eric Tan Kim Lung
07:19 before reaching Najib's account. Over the last two days, Adam had laid out the money trail for
07:24 the first and second phase of the 1MDB scheme, saying that the $60 million and $90 million which
07:29 were sent to Najib's AmBank account in 2011 and 2012 respectively could all be traced back to
07:35 funds belonging to 1MDB and its subsidiary. Today, he meticulously laid out the money trail for the
07:41 third phase of the 1MDB scheme, where the US$681 million in 2013 entered the same private bank
07:48 account for Najib in a series of fast-paced, multi-layered chain of transactions. The trial
07:54 resumes tomorrow, with Adam expected to continue testifying on the money trail for the fourth phase.
07:59 [Music]