KUALA LUMPUR (Sept 18): Ambank Islamic Bhd is seeking a public auction of a property in Penang belonging to Seacera Group Bhd over a sum of RM18.31 million owed to the bank under an Islamic loan facility taken by its subsidiary Seacera Ceramics Sdn Bhd (SCSB). 

In a filing with Bursa Malaysia, Seacera Group Bhd said SCSB received a legal summons on Sept 5, and that the date of the auction had yet to be fixed but shall not be less than one month from the date of the court order.  

Seacera said the financial impact is dependent on the final sale value of the auction against the book value of the said land. 

It is seeking professional legal advice. 

The Penang high court has set Oct 10 for hearing. 

In April, Seacera becomes a PN17 company after it defaulted in the payment of principal and profits to AmBank Islamic Bhd, and was unable to provide a solvency declaration to Bursa Malaysia Securities Bhd. 

Subsequently, Seacera was served a letter of demand from Ambank Islamic in respect of total amount outstanding and due payable under the Murabahah Tawarruq Term Financing-I and Cashline-I. It was required to settle the debts within seven days from June 19, 2019. 

Seacera fell half a sen or 2.7% to 18 sen at closing today, for a market capitalisation of RM85.38 million. The counter saw some 6.08 million shares traded.