KUALA LUMPUR: Sapura Resources Bhd has taken legal action against its former managing director, Datuk Shahriman Shamsuddin, and three other parties, seeking more than RM3.2 million in damages for alleged breaches of fiduciary, statutory, and contractual duties, as well as conspiracy to injure the company and its subsidiaries.
The suit follows an internal investigation concluded in March, with findings submitted to both Bursa Malaysia and the Companies Commission of Malaysia (SSM). A formal complaint was also filed with the SSM for potential violations of the Companies Act 2016, and a police report has been lodged as part of regulatory requirements.
In a filing with Bursa on Thursday, Sapura Resources said the writ of summons was filed at the High Court of Malaya in Kuala Lumpur, naming Shahriman as the first defendant. The other defendants include former employees Syed Haroon Omar Alshatrie, Syed Muhammad Hasan Alsagoff, and Explorer Group Sdn Bhd.
The claims relate to payments made for deposits to Malaysia Airports Holdings Bhd (MAHB), mutual separation schemes, consultancy fees, trip expenses, and legal costs. The company is also seeking general, aggravated, and equitable compensation for alleged losses, including foregone business opportunities such as a potential IPO valued at RM82.1 million.
Shahriman was placed on garden leave in September 2024 when the investigation commenced and subsequently resigned from his position in October. He had served on Sapura Resources’ board since 2005, and was appointed managing director in 2007.
The legal proceedings come amid a long-standing dispute between Shahriman and his brother, Tan Sri Shahril Shamsuddin, over their family’s investment entity, Sapura Holdings Sdn Bhd, where both hold equal stakes of 40.5%. A petition to wind up Sapura Holdings was filed by Shahriman in September 2024, marking a significant escalation in their ongoing feud.
At the centre of the investigation is Shahriman’s alleged interest in Explorer Group, a company said to be in direct competition with Sapura Resources’ aviation units, Sapura Aero Sdn Bhd and DNest Aviation Sdn Bhd. He has served as a director of Explorer Group since 2019.
Sapura Resources said further updates will be provided to Bursa Malaysia as material developments arise. The company’s shares remained unchanged at 25 sen on Thursday, giving it a market capitalisation of approximately RM65 million.
