The ATA ‘Ark’ is in turmoil!
ATA IMS stated the 4 summonses received by the group from the Johor Bahru Labor Department had nothing to do with the allegations of forced labor faced by the company.
In the Bursa filing, ATA IMS added that the 4 summonses were issued to ATA Industrial (M) Sdn Bhd for temporarily placing 9 workers in residential houses without a Certificate of Accommodation (COA).
Earlier, the Johor Bahru Labor Department had issued a summons amounting to RM200,000 to the company for placing employees in a manner that did not comply with Section 23D (1) and (3) of the Minimum Standards of Housing, Accommodation and Employee Amenities Act.
In response, ATA Industrial stated they take into account the welfare of employees ‘through normal practice of providing accommodation for employees but unfortunately in conflict with normal rules’.
As of yesterday, ATA IMS shares traded 14 sen or 26.36% at 69.5 sen with a market capitalization of RM837.04 million.
