Revocation and Suspension of Registration

2025

No	Nature of Misconduct	Auditor	Brief Description of Misconduct	Action Taken	Date of AOB’s Action
1.	Breach of the AOB’s conditions of registration imposed under Section 31O(3)(a) of the Securities Commission Malaysia Act 1993 (SCMA) warranting suspension of registration under Section 31Q(1)(a) of the SCMA.	Yap Peng Boon (YPB) of ChengCo PLT (AF 0886) was the Engagement Quality Control Reviewer for the audit of a public interest entity (PIE) for the financial year ended 31 March 2022.	Failure to comply with relevant requirements of the International Standards of Auditing (ISA) in the performance of engagement quality control review process for the audit of a PIE YPB failed to sufficiently review the selected audit documentation relating to significant judgements and significant risk areas of the engagement and basis of the conclusions reached on areas of redeemable convertible preference shares and goodwill, bank borrowings, cost of sales, opening balances and prior year adjustments, and use of going concern assumption.	Suspension of registration for a period of 2 years is effective from 30 April 2025.	28 February 2025
2.	Breach of the AOB’s conditions of registration imposed under Section 31O(3)(a) of the Securities Commission Malaysia Act 1993 (SCMA) warranting suspension of registration under Section 31Q(1)(a) of the SCMA.	Hong Thuan Boon (HTB) of ChengCo PLT (AF 0886) is the Engagement Quality Control Reviewer for the audit of a Public Interest Entity (PIE) for the financial year ended 31 July 2022.	Failure to comply with relevant requirements of the International Standards of Auditing (ISA) in the performance of engagement quality control review process for the audit of a PIE HTB failed to sufficiently review the selected audit documentation relating to significant judgements and significant risk areas of the engagement and basis of the conclusions reached on areas of property development cost and existence of fixed deposits.	Suspension of registration for a period of 2 years is effective from 30 April 2025.	28 February 2025
3.	Breach of the AOB’s conditions of registration imposed under Section 31O(3)(a) of the Securities Commission Malaysia Act 1993 (SCMA) warranting suspension of registration under Section 31Q(1)(a) of the SCMA.	ChengCo PLT (AF 0886) (CCO)	Failure to comply with relevant requirements of the International Standards on Auditing (ISA) and International Standard of Quality Management 1 (ISQM 1) in the engagement review of three (3) public interest entities (PIEs). CCO was suspended due to serious audit quality issues. CCO’s failure to comply with the relevant requirements of the ISA as adopted by the Malaysian Institute of Accountants (MIA) when auditing the three PIEs. This includes failure to perform adequate audit procedures and obtain sufficient appropriate audit evidence in the key areas of: Other payables and accruals; Revenue and cost of sales; Bank borrowings; Cost of sales; Opening balances and prior year adjustments; Appropriateness of going concern assumption; and Ineffective review by Engagement Quality Control Reviewers. Recurring audit deficiencies were also found in the areas of property development costs and fixed deposits. These findings were prevalent across the audit engagements inspected and some were recurring from the AOB’s past inspection on CCO. The audit engagement review findings of the 3 PIEs revealed serious systemic weakness in the quality management system or internal control of the Firm. Despite being previously sanctioned by the AOB in 2019, CCO failed to demonstrate an improvement in overall audit quality.	Suspension of registration for a period of 2 years. Appeal On 20 March 2025, CCO appealed to the SC against the AOB’s suspension of registration for 2 years. The SC dismissed the appeal and affirmed the AOB’s decision. The suspension of registration for 2 years will take effect from 12 June 2025.	28 February 2025

Nature of Misconduct

Auditor

Brief Description of Misconduct

Action Taken

Date of AOB’s Action

Breach of the AOB’s conditions of registration imposed under Section 31O(3)(a) of the Securities Commission Malaysia Act 1993 (SCMA) warranting suspension of registration under Section 31Q(1)(a) of the SCMA.

Yap Peng Boon (YPB) of ChengCo PLT (AF 0886) was the Engagement Quality Control Reviewer for the audit of a public interest entity (PIE) for the financial year ended 31 March 2022.

Failure to comply with relevant requirements of the International Standards of Auditing (ISA) in the performance of engagement quality control review process for the audit of a PIE

YPB failed to sufficiently review the selected audit documentation relating to significant judgements and significant risk areas of the engagement and basis of the conclusions reached on areas of redeemable convertible preference shares and goodwill, bank borrowings, cost of sales, opening balances and prior year adjustments, and use of going concern assumption.

Suspension of registration for a period of 2 years is effective from 30 April 2025.

28 February 2025

Hong Thuan Boon (HTB) of ChengCo PLT (AF 0886) is the Engagement Quality Control Reviewer for the audit of a Public Interest Entity (PIE) for the financial year ended 31 July 2022.

Failure to comply with relevant requirements of the International Standards of Auditing (ISA) in the performance of engagement quality control review process for the audit of a PIE

HTB failed to sufficiently review the selected audit documentation relating to significant judgements and significant risk areas of the engagement and basis of the conclusions reached on areas of property development cost and existence of fixed deposits.

Suspension of registration for a period of 2 years is effective from 30 April 2025.

28 February 2025

ChengCo PLT (AF 0886) (CCO)

Failure to comply with relevant requirements of the International Standards on Auditing (ISA) and International Standard of Quality Management 1 (ISQM 1) in the engagement review of three (3) public interest entities (PIEs).

CCO was suspended due to serious audit quality issues.

CCO’s failure to comply with the relevant requirements of the ISA as adopted by the Malaysian Institute of Accountants (MIA) when auditing the three PIEs. This includes failure to perform adequate audit procedures and obtain sufficient appropriate audit evidence in the key areas of:

Other payables and accruals;
Revenue and cost of sales;
Bank borrowings;
Cost of sales;
Opening balances and prior year adjustments;
Appropriateness of going concern assumption; and
Ineffective review by Engagement Quality Control Reviewers.

Recurring audit deficiencies were also found in the areas of property development costs and fixed deposits.

These findings were prevalent across the audit engagements inspected and some were recurring from the AOB’s past inspection on CCO.

The audit engagement review findings of the 3 PIEs revealed serious systemic weakness in the quality management system or internal control of the Firm.

Despite being previously sanctioned by the AOB in 2019, CCO failed to demonstrate an improvement in overall audit quality.

Suspension of registration for a period of 2 years.

Appeal
On 20 March 2025, CCO appealed to the SC against the AOB’s suspension of registration for 2 years.

The SC dismissed the appeal and affirmed the AOB’s decision. The suspension of registration for 2 years will take effect from 12 June 2025.

28 February 2025

2021

No	Nature of Breach	Parties Involved	Brief Description of Breach	Action Taken	Date of Action
1.	Breach of the AOB’s conditions of registration imposed under Section 31O(3)(a) of the SCMA warranting revocation of registration under Section 31Q(1)(a) of the SCMA.	Ahmad Hilmy Bin Johari (“Hilmy”) of Jamal, Amin & Partners (“JAP”) is the engagement partner for the audit of public interest entities (“PIEs”).	Failure to comply with Malaysian Institute of Accountants (“MIA”) By-Laws on Professional Ethics, Conduct and Practice (“MIA By-Laws”) Hilmy failed to comply with paragraph R601.6 of the MIA By-Laws which prohibits an audit firm or its audit partner from providing accounting and book keeping services to its audit client. Hilmy was the Engagement Partner for the audit of 5 PIEs when he provided prohibited services such as preparing the financial statements / consolidated financial statements to these PIEs and its subsidiaries. The non-compliance of paragraph R601.6 of MIA By-Laws (ethical standards) is a serious offence as it undermines auditor’s independence and poses a self-review threat.	Revocation of registration with the AOB. Appeal On 2 April 2021, Hilmy appealed to the SC against the sanctions imposed by the AOB. The SC dismissed the appeal and affirmed the AOB’s sanctions against Hilmy. The revocation of Hilmy’s registration with the AOB takes effect from 30 June 2021. Note AOB had also imposed a penalty of RM50,000 against Hilmy for failure to comply with relevant requirements of the International Standards on Auditing (“ISA”). For details, please refer to this link.	17 March 2021

Nature of Breach

Parties Involved

Brief Description of Breach

Action Taken

Date of Action

Breach of the AOB’s conditions of registration imposed under Section 31O(3)(a) of the SCMA warranting revocation of registration under Section 31Q(1)(a) of the SCMA.

Ahmad Hilmy Bin Johari (“Hilmy”) of Jamal, Amin & Partners (“JAP”) is the engagement partner for the audit of public interest entities (“PIEs”).

Failure to comply with Malaysian Institute of Accountants (“MIA”) By-Laws on Professional Ethics, Conduct and Practice (“MIA By-Laws”)

Hilmy failed to comply with paragraph R601.6 of the MIA By-Laws which prohibits an audit firm or its audit partner from providing accounting and book keeping services to its audit client.

Hilmy was the Engagement Partner for the audit of 5 PIEs when he provided prohibited services such as preparing the financial statements / consolidated financial statements to these PIEs and its subsidiaries.

The non-compliance of paragraph R601.6 of MIA By-Laws (ethical standards) is a serious offence as it undermines auditor’s independence and poses a self-review threat.

Revocation of registration with the AOB.

Appeal
On 2 April 2021, Hilmy appealed to the SC against the sanctions imposed by the AOB.

The SC dismissed the appeal and affirmed the AOB’s sanctions against Hilmy.

The revocation of Hilmy’s registration with the AOB takes effect from 30 June 2021.

Note
AOB had also imposed a penalty of RM50,000 against Hilmy for failure to comply with relevant requirements of the International Standards on Auditing (“ISA”). For details, please refer to this link.

17 March 2021

2019

No	Nature of Breach	Parties Involved	Brief Description of Breach	Action Taken	Date of Action
1.	Breach the AOB’s registration condition imposed under Section 31O(3) of the Securities Commission Malaysia Act 1993.	Loh Chye Teik (“LCT”) of UHY. LCT was the engagement partner in the audit of a PIE for the financial years ended 31 December 2016 and 31 December 2017.	Failure to comply the key audit partner rotation requirement in the By-Laws (On Professional Ethics, Conduct and Practice) of the Malaysian Institute of Accountants.	Revocation of the AOB’s registration	5 April 2019

Nature of Breach

Parties Involved

Brief Description of Breach

Action Taken

Date of Action

Breach the AOB’s registration condition imposed under Section 31O(3) of the Securities Commission Malaysia Act 1993.

Loh Chye Teik (“LCT”) of UHY.

LCT was the engagement partner in the audit of a PIE for the financial years ended 31 December 2016 and 31 December 2017.

Failure to comply the key audit partner rotation requirement in the By-Laws (On Professional Ethics, Conduct and Practice) of the Malaysian Institute of Accountants.

Revocation of the AOB’s registration

5 April 2019

2018

No	Nature of Breach	Parties Involved	Brief Description of Breach	Action Taken	Date of Action
1.	Breach the AOB’s registration condition imposed under Section 31O(3) of the Securities Commission Malaysia Act 1993 (SCMA).	Tan Chin Huat (TCH) of STYL Associates	Failed to remain fit and proper to be an auditor registered with the AOB.	Revoked the registration of TCH.	17 August 2018

2015

No	Nature of Breach	Parties Involved	Brief Description of Breach	Action Taken	Date of Action
1.	Breached the AOB’s registration conditions imposed under Section 31O(3) of the Securities Commission Malaysia Act 1993 (SCMA) read together with the following paragraphs of the AOB’s Handbook on Registration: Paragraph 5.04(c) -requirement for an audit firm to comply with auditing and ethical standards in Malaysia. Paragraph 5.04(b) – requirement for an audit firm to carry out its practice honestly, competently and with due care. Paragraph 5.04(e) – requirement for an audit firm to ensure that persons who audit the financial statements of a public interest entity (PIE) on its behalf are appropriately qualified, sufficiently trained and competent.	Wong Weng Foo & Co	Wong Weng Foo & Co failed to comply with requirements of the International Standard on Quality Control 1 (ISQC 1) in discharging professional duties in the performance of audit of PIEs. Wong Weng Foo & Co failed to carry out its practice honestly, competently and with due care. Wong Weng Foo & Co failed to ensure that the auditor who audit the financial statements of PIEs are appropriately qualified, sufficiently trained and competent. As a result, there were recurring and numerous significant deficiencies in the audit of public listed entities for the financial year ended 31 December 2013 and 30 June 2014.	Revocation of the Wong Weng Foo & Co’s registration with AOB pursuant to Section 31Q(1)(a)(B) of the SCMA.*	2 December 2015
2	Breached the AOB’s registration conditions imposed under Section 31O(3) of the SCMA read together with the following paragraphs of the AOB’s Handbook on Registration : Paragraph 5.05(d) -requirement for an individual auditor to comply with auditing and ethical standards in Malaysia. Paragraph 5.05(c) – requirement for an individual auditor to carry out his/her practice honestly, competently and with due care.	Wong Weng Foo Managing Partner of Wong Weng Foo & Co.	The Managing Partner failed to comply with the relevant requirement of the ISQC 1 in discharging his professional duties as the Managing Partner of Wong Weng Foo & Co. The Managing Partner failed to carry out his practice honestly, competently and with due care.	Revocation of the Managing Partner’s registration with AOB pursuant to Section 31Q(1)(a)(B) of the SCMA. *	2 December 2015
3	Breached the AOB’s registration conditions imposed under Section 31O(3) of the SCMA due to specific breaches of auditing standards in relation to the performance of the audit of the financial statements of two public listed entities for the financial years ended 31 December 2013 and 30 June 2014.	Abdul Halim Bin Husin Partner of Wong Weng Foo & Co who was the engagement partner in the audit of two public listed entities for the financial years ended 31 December 2013 and 30 June 2014.	The Partner failed to comply with certain requirements of the International Standards on Auditing in discharging his professional duties in the performance of the audit of two public listed entities.	Revocation of the Partner’s registration with AOB pursuant to Section 31Q(1)(a)(B) of the SCMA. *	2 December 2015

Nature of Breach

Parties Involved

Brief Description of Breach

Action Taken

Date of Action

Breached the AOB’s registration conditions imposed under Section 31O(3) of the Securities Commission Malaysia Act 1993 (SCMA) read together with the following paragraphs of the AOB’s Handbook on Registration:

Paragraph 5.04(c) -requirement for an audit firm to comply with auditing and ethical standards in Malaysia.
Paragraph 5.04(b) – requirement for an audit firm to carry out its practice honestly, competently and with due care.
Paragraph 5.04(e) – requirement for an audit firm to ensure that persons who audit the financial statements of a public interest entity (PIE) on its behalf are appropriately qualified, sufficiently trained and competent.

Wong Weng Foo & Co

Wong Weng Foo & Co failed to comply with requirements of the International Standard on Quality Control 1 (ISQC 1) in discharging professional duties in the performance of audit of PIEs.
Wong Weng Foo & Co failed to carry out its practice honestly, competently and with due care.
Wong Weng Foo & Co failed to ensure that the auditor who audit the financial statements of PIEs are appropriately qualified, sufficiently trained and competent. As a result, there were recurring and numerous significant deficiencies in the audit of public listed entities for the financial year ended 31 December 2013 and 30 June 2014.

Revocation of the Wong Weng Foo & Co’s registration with AOB pursuant to Section 31Q(1)(a)(B) of the SCMA.*

2 December 2015

Breached the AOB’s registration conditions imposed under Section 31O(3) of the SCMA read together with the following paragraphs of the AOB’s Handbook on Registration :

Paragraph 5.05(d) -requirement for an individual auditor to comply with auditing and ethical standards in Malaysia.
Paragraph 5.05(c) – requirement for an individual auditor to carry out his/her practice honestly, competently and with due care.

Wong Weng Foo
Managing Partner of Wong Weng Foo & Co.

The Managing Partner failed to comply with the relevant requirement of the ISQC 1 in discharging his professional duties as the Managing Partner of Wong Weng Foo & Co.
The Managing Partner failed to carry out his practice honestly, competently and with due care.

Revocation of the Managing Partner’s registration with AOB pursuant to Section 31Q(1)(a)(B) of the SCMA. *

2 December 2015

Breached the AOB’s registration conditions imposed under Section 31O(3) of the SCMA due to specific breaches of auditing standards in relation to the performance of the audit of the financial statements of two public listed entities for the financial years ended 31 December 2013 and 30 June 2014.

Abdul Halim Bin Husin
Partner of Wong Weng Foo & Co who was the engagement partner in the audit of two public listed entities for the financial years ended 31 December 2013 and 30 June 2014.

The Partner failed to comply with certain requirements of the International Standards on Auditing in discharging his professional duties in the performance of the audit of two public listed entities.

Revocation of the Partner’s registration with AOB pursuant to Section 31Q(1)(a)(B) of the SCMA. *

2 December 2015

* On 31 December 2015, Wong Weng Foo & Co (WWF & Co) and its partners Wong Weng Foo (WWF) and Abdul Halim Husin (AHH) appealed to the Securities Commission Malaysia (SC) against the Audit Oversight Board’s (AOB) decision on 2 December 2015 to revoke their registration.

Having considered the grounds of their appeals, the SC has decided to reject the appeals and affirmed AOB’s decision to revoke the registrations of WWF & Co, WWF and AHH. The revocations will take effect from 20 July 2016.

Note: Pursuant to Section 31ZB of the Securities Commission Malaysia Act 1993, all action taken by the AOB are subject to an appeal to the Commission within thirty (30) days from the date on which such person is notified of the decision.