The Board of Directors of KPS Consortium Berhad ("KPSCB" or "the Company") wishes to announce that its wholly owned subsidiary company, Hai Ming Development Sdn. Bhd. had on 18 November 2019, filed a suit against the Defendants at the High Court of Malaya in Kuala Lumpur (Commercial Division) to seek damages from the Defendants for the breach of the Development Agreement dated 29 April 2015 ("DA") duly entered by the Plaintiff (as a project management consultant) and the Defendants in respect of the project located at Lot 928, Mukim Rawang, District of Gombak ("the Land"), known as 928 Corporate Park @ Rawang ("the Project").

Nautical Wealth Sdn. Bhd. is the developer of the Project. Under the Project, a total of 54 units of factories are to be developed and construed on the Land:-

(a) 40 units of semi-detached factories;

(b) 1 unit of bungalow factory; and

(c) 13 units of low-costs terrace factories.

As the result of the breach of DA, the Plaintiff had suffered severe loss and general damages which is not limited to the following:-

(a) loss and monetary damages suffered;

(b) loss and damages as to costs and/or resources that had been incurred;

(c) distress and/or inconvenience suffered by the Plaintiff; and

(d) loss and general damages being the balance of the Plaintiff's entitlement under DA wherein the amount is not less than RM59,699,161.25.

The Plaintiff is claiming against the Defendants jointly and severally for the following reliefs:-

(a) declaration that the Defendants has materially breached the DA;

(b) declaration that the Defendants has committed fraud, civil and criminal breach of trust, conversion and money had and received against the Plaintiff;

(c) special damages as a result of multiple unscrupulous and dishonest actions;

(d) general damages to be assessed by the Honourable Court against the Defendants;

(e) exemplary and aggravated by the Honourable Court against the Defendants;

(f) interest at the rate of 5% per annum on the amount of the General Damages from the date of assessment until full and final settlement thereof;

(g) interest at the rate of 5% per annum on the amount of the Special Damages from date of judgement until full and final settlement thereof;

(h) cost of this action and all costs which arose; and

(i) any other or further reliefs the Honourable Court deems fit and proper.

This announcement is dated 22 November 2019.