American Insurance Group Scandals

In: Business and Management

Submitted By yuganeswaran
Words 1710
Pages 7
Introduction
GP Ocean Food Sdn Bhd, which was founded in 1980, is Malaysia’s first and biggest fully integrated seafood producer which includes activities encompass trawling, aquaculture of fish and prawns and seafood processing. It is also an investment holding company. This company advantageously located in the Federal Territory of Labuan, Malaysia in order to provide easy access to deliver the products. In addition, more than 70% of the sales are exported to US, EU countries, Japan and others.
Scandle 1
Problem
Malaysia, just like other developing countries, is unable to run away from the corporate scandals that have been emphasized by the media. After all the recommendation and efforts contributed by the various parties to eliminate these scandals, however it is still happening and there is no sign of stopping or reduction of the fraud in the future.

Though GP Ocean Food Sdn Bhd is a well-known company, but the former company directors of seafood exporter have been acquitted of charges of submitting misleading information to the Securities Commission (SC) in 2006. Some even were charged with bribing case in order for their company to get listed in Bursa Malaysia. The company was highly involved with various allegations of corruption and irregularities.

Besides, GP Ocean was scheduled to be listed in July 2006, but the company announced a rescheduling of that event in early June which was two weeks before its pamphlet was to be launched. After the approval of the list by the Securities Commission (SC) in early April 2006, the Securities Commission began to receive lots of complaints regards the company’s possible irregularities in the firm’s financial statements. The Securities Commission started to investigate the complaints and further their research by raiding the offices of GP Ocean.

Causes
Corporate governance is designed to…...

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