197 / 220
1 9 3
NOTES TO THE FINANCIAL STATEMENTS
31 MARCH 2018
Kumpulan Fima Berhad (11817-V) •
Annual Report 2018
42. Associates and activities
Details of associates are as follows:
Proportion of
ownership interest
Name of company
2018
2017
Principal activities
%
%
Marushin Canneries (Malaysia) Sdn. Bhd.
(162963-U)*
38.0
38.0
Manufacturer and sale of canned fish
Held through subsidiary:
Giesecke & Devrient Malaysia Sdn. Bhd.
(573030-M)*
20.0
20.0
Printing and production of bank notes
*
Associates audited by firms of chartered accountants other than Hanafiah Raslan & Mohamad.
43. Material litigation
(i)
Hak Guna Usaha No. 01/Nunukan Barat
On 23 August 2016, the Company’s subsidiary, PT Nunukan Jaya Lestari (“PTNJL”), received an order issued by the
Menteri Agraria dan Tata Ruang/Kepala Badan Pertanahan Nasional (“Ministerial Order”) dated 25 July 2016 to revoke
PTNJL’s right for the cultivation of oil palm in Kalimantan Utara with immediate effect.
The Ministerial Order was on the basis that the HGU was improperly issued due to administrative irregularities
performed by certain officers of the Badan Pertanahan Nasional Provinsi Kalimantan Timur at the time of the issuance
of the HGU in 2003, resulting in parts of the area within the HGU to overlap with forestry areas.
On 21 October 2016, PTNJL filed an application in the Pengadilan Tata Usaha (“PTUN”) in Jakarta, Indonesia seeking
an order to annul the Ministerial Order. Simultaneously, in the said application, PTNJL has also sought an order from
PTUN to postpone the enforcement of the Ministerial Order pending full and final determination of the matter by the
Indonesian courts.
On 13 June 2017, the State Administrative Court delivered an oral judgment and dismissed the application filed by
PTNJL to annul the Ministerial Order. On 21 June 2017, PTNJL had filed an application to the Court of Appeal to
appeal against the decision of the State Administrative Court and has 14 days from the date of the decision to file its
statement of appeal.