ACE Market-listed radio frequency identification (RFID) specialist SMTrack Bhd has condemned the baseless accusations against the company in relation to the implementation of the RFID system at the North-South Expressway (NSE) toll plazas.
While the group normally would not respond to sensational news on internet, the current accusations have a severe reputation on SMTrack’s integrity as they have affected investors’ confidence.
“To date, SMTrack is not involved in the RFID projects at the toll plazas,” the company’s deputy executive chairman Azmi Osman pointed out in a media statement.
“Of course, as a company that specialises in RFID solutions, we believe in the value-add that this technology will bring to our community. However, at this juncture, we are not involved in the project.”
Nevertheless, Azmi expressed confidence that the introduction of RFID at toll plazas would improve efficiency and traffic over the long term.
“Travelling would become seamless, and it’s something that we believe we can help contribute towards public convenience … with proper tests, we expect there will be improvement on the RFID system.”
Azmi was obviously referring to the RFID system supplied by Touch ‘n Go Sdn Bhd (TnG) which is implemented by expressway concessionaire Plus Malaysia Bhd at 83 toll plazas along the NSE.
Recently, there had been hiccups under the RFID system that came into effect on Jan 17 at all toll plazas between Juru and Skudai on the NSE. As a result, there had been severe traffic congestion as many motorists could not make their toll payments via the system.
In an unrelated development, Azmi also refuted allegations that the appointment of Datuk Saiful Nizam Mohd Yusoff as the company’s independent non-executive director (INED) is related to his political connections.
“Saiful Nizam’s appointment has nothing to do with his political connections and it has been done based solely on his merits and experience,” justified Azmi.
“The group would not discriminate against any individuals based on their background and would take extra measures to disclose any potential conflict of interest if there were any. As an INED, Saiful Nizam is not involved in the day-to-day business decisions and operations.”
Also noteworthy is that the group did not involve Tan Sri Lee Kim Yew in any lobbying for projects despite the latter’s emergence as a substantial shareholder.
“SMTrack is a public-listed entity, hence any investor who has confidence with the company could invest in the company via the open market. We are proud that Lee sees the potential within the group and has taken the decision based on his own investment capacity,” noted Azmi.
“However, we would like to reiterate that Lee is not part of the group’s strategic and operation team and is not involved in any projects lobbying for the group.”
All-in-all, Azmi claimed that the three baseless accusations have a negative impact on the integrity of SMTrack as well as Malaysia’s capital market which serves as a vital platform to drive growth in the country.
He therefore pleaded to the Government and law enforcers to take action against parties responsible for such lies. Moreover, the group will not hesitate to take legal action against propagators of those baseless accusations to protect SMTrack’s integrity.
“If these baseless accusations led to the departure of prominent investors and credible leaders such as Lee and Saiful Nizam, there will be a damaging impact to the group’s reputation, financial performance and even our share prices,” Azmi pointed out. “Therefore, I plead for both Lee and Saiful Nizam to remain with the group.”
At the close of last Friday’s (Jan 28) trading, SMTrack was down 0.5 sen or 3.03% to 16 sen with 80.92 million shares traded, thus valuing the company at RM105 mil. – Jan 30, 2022
