PDZ expects minimal loss in defending writs

KUALA LUMPUR: PDZ Holdings Bhd, which has been served with three writs in admiralty action in rem on its vessel ‘PDZ Mewah’, is expected to experience a minimal loss, if any, in view of the company’s case to defend the writs.

In a filing to Bursa Malaysia, the company said the writs were filed by CCK Petroleum Sdn Bhd, CCK Capital Ltd and CCK Petroleum (Labuan) Ltd over a non-payment of supply of marine fuel supplied to the vessel.

“Based on the company’s solicitor, Mohd Latip & Associates letter on Feb 7, 2017, the company has a strong case to defend the writs, the expected losses, if any, will be minimal,” it said.

The vessel was previously owned by Perkapalan Dai Zhun Sdn Bhd (PDZSB), its former wholly-owned unit, which has since been disposed of to Salvage Point Ltd with 51.5 million shares of RM1 each in PDZSB on Dec 30, 2016.

Prior to the disposal, the beneficial interest of the veseel was transferred from PDZSB to the company, it said.

“Pursuant thereto, the change of ownership of the vessel was reflected in the Registration of Malaysian Ships, Port Klang on Dec 6, 2016 and the vessel is now owned by the company,” it said.

It added that operational impact to the company was expected to be minimal as it has made necessary arrangements to secure slots from third-party vessels as an interim measure to continue to provide customers with the same services as currenctly provided by the vessel.