Scomi gets more time to settle its debt

PETALING JAYA: The High Court has granted leave to Scomi Group Bhd to call for a court convened meeting with the latter’s creditors within the next three months.

The meeting will deliberate on Scomi’s proposed scheme of arrangement to settle its debt with its creditors.

Scomi is facing a number of winding-up petitions after failing to meet its financial obligations.

The group was also ordered to provide a notice of not less than 21 days to its creditors, prior to organising the meeting.

“The board of directors of the company wishes to announce that on Sept 20, 2022, the High Court allowed the company’s application which was made pursuant to sections 366, 368 and 369 of the Companies Act 2016,” Scomi said in a filing with the stock exchange yesterday.

Pursuant to section 368 (1) of the Companies Act 2016, the High Court has granted a restraining order to Scomi for a period of three months from the date of the order, it said in the statement.

The restraining order covers all current, pending or future proceedings against Scomi or its assets.

These include winding-up and arbitration proceedings, demand for payment and any proceedings in the Industrial Court and the Labour Court.

“In the event that the proposed scheme of arrangement is approved at the scheme meetings, that pursuant to section 366 (3) of the Companies Act 2016, the company be at liberty to apply for an order of court approving the proposed scheme of arrangement, with such modifications as may be approved at the scheme meetings, and subject to such alterations or conditions as this honourable court thinks just, so as to be binding between the company and the scheme creditors,” Scomi said.