Shares of Indonesian coal mine owner Resources Prima Group crashed 44.8% in one day; The telephone number it provided in its recent SGX filings turned out to belong to a corporate secretary firm that did not know how to reach Resources Prima

http://infopub.sgx.com/FileOpen/Sky_One_Holdings_-_Circular_dated_30_Sep_14_(without_Appendix_F).ashx?App=Prospectus&FileID=23388

THE PROPOSED CHANGE OF AUDITORS
The current auditors of the Company are Mazars LLP. The Directors are proposing the appointment of Baker Tilly TFW as auditors of the Company in respect of the forthcoming financial period following the Acquisition Completion. Following the Acquisition Completion, the principal business of the Sky One Group (with the exception of the business in PT Energy) will be replaced by the business of the Target Group. As such, the New Board is of the opinion that Baker Tilly TFW will be more familiar with and better positioned to act as the auditors of the Company following the Acquisition Completion and the Disposal Completion.

Mazars LLP Partner in charge – Lai Keng Wei

Baker Tilly TFW LLP Partner in charge – Khor Boon Hong

Indonesian mine owner’s shares plunge 44.8%

16 January 2015

Straits Times

SHARES of Indonesian mine owner Resources Prima Group crashed as much as 47.5 per cent yesterday, prompting the Singapore Exchange (SGX) to ask the firm to explain any possible reasons for the plunge. The bourse queried the company at around 3pm, pointing to “unusual price movements in your shares recently and unusual volume movements in your shares today”. From its closing price of 18.3 cents on Wednesday, the stock fell to as low as 9.6 cents – 47.5 per cent down – before recovering slightly. It ended at 10.1 cents, down 8.2 cents or 44.8 per cent. It was the day’s most active counter on turnover of 105.7 million units, a sharp jump from the 18.2 million shares that changed hands on Wednesday.

Resources Prima, which listed on the Catalist in November last year via a reverse takeover of Sky One Holdings which valued the miner at 20 cents apiece, could not be contacted. The telephone number it provided in its recent SGX filings turned out to belong to a corporate secretary firm that did not know how to reach Resources Prima. Its sponsor, Mr Alex Tan, who is chief executive officer of Canaccord Genuity Singapore, also could not be reached. Resources Prima’s business is coal exploration and coal mining in East Kalimantan. It is led by chief executive Agus Sugiono, who joined the board last November.

ASIC to crack down on miners’ dodgy overseas assets to prevent the next Sino-Forest; failure of auditors to meet generally accepted auditing standards with respect to collecting evidence regarding overseas operations

http://www.afr.com/p/national/asic_to_crack_down_on_miners_dodgy_hJB4HlCfGCv3KBrNfLWsfL

ASIC to crack down on miners’ dodgy overseas assets

PUBLISHED: 13 JAN 2015 00:04:00 | UPDATED: 13 JAN 2015 07:08:04

Over a third of companies listed on the Australian Securities Exchange, predominately mining and resource companies, have significant operations or assets located across Asia, South America and Africa. Photo: Reuters

The Australian Financial ReviewASX

BY PATRICK DURKIN

The corporate regulator plans a ­crackdown on mining companies ­promoting risky offshore assets, insider traders, financial planners and ­investors being duped by misleading advertising.

The Australian Securities and Investments Commission is concerned Australians could be sucked into ­investing in companies listed on the ASX but mainly operating overseas that do not meet Australian ­corporate-law ­standards.

ASIC plans to review a significant proportion of important corporate ­documents, including prospectuses which raise money from Australian investors, despite the companies’ ­operations being based predominately in emerging markets, including China.

Over a third of companies listed on the Australian Securities Exchange, predominately mining and resource companies, have significant operations or assets located across Asia, South America and Africa, leaving Australian investors exposed to foreign corporate corruption and poor legal protections.

The high-profile collapse of ­Chinese-based timber harvester Sino-Forest Corporation, which traded on the Toronto Stock Exchange and now faces allegations of fraudulently inflating its assets and earnings, heightened ASIC’s concerns local investors could be burnt by poor practices overseas. Continue reading

[Flashback] Accountants face Kanebo fraud charge

http://www.japantimes.co.jp/news/2005/09/12/national/accountants-face-kanebo-fraud-charge/#.VLn7htH9lsA

Posted by AMY Chan Wen Yi, Year 4 undergrad at the School of Accountancy, Singapore Management University

Prosecutors are set to charge several certified public accountants at a Japan unit of the PricewaterhouseCoopers group with collaborating with executives at Kanebo Ltd. in an accounting fraud that has humbled the once premier cosmetics and textile company, according to investigative sources. Continue reading

[Flashback] The dozy watchdogs

Posted by NG Sin Ying, Year 4 undergrad at the School of Accountancy, Singapore Management University

http://www.economist.com/news/briefing/21635978-some-13-years-after-enron-auditors-still-cant-stop-managers-cooking-books-time-some

Some 13 years after Enron, auditors still can’t stop managers cooking the books. Time for some serious reforms

NO ENDORSEMENT carries more weight than an investment by Warren Buffett. He became the world’s second-richest man by buying safe, reliable businesses and holding them for ever. So when his company increased its stake in Tesco to 5% in 2012, it sent a strong message that the giant British grocer would rebound from its disastrous attempt to compete in America. Continue reading