KUALA LUMPUR, (Reuters) – Malaysia’s Securities regulator has announced that it seeks to arrest Serba Dinamik Holdings chief executive. It also charged officers of the company with submitting a false report to Malaysia’s stock exchange.

Securities Commission Malaysia (SC), in a Tuesday statement, stated that it has obtained a warrant for the arrest of Serba’s chief executive officer Mohd Abdul Karim Abullah and its group managing director Mohd Mohammed Abdul Karim. According to the regulator, “currently in custody” is the CEO.

Serba did not comment and the police also didn’t respond immediately to our request. Reuters was unable to reach Abdul Karim and establish his exact location.

According to the regulator, the misleading statement was made in reference to the 6.014 billion Ringgit ($1.44 Billion) revenue figure that Serba published in its Quarterly Report for the Period ended Dec. 31, 2020.

Following a KPMG audit report, Serba’s investigation was initiated in May.

This raised concern about the inability to verify contracts or transactions valued at 3.5 billion Ringgit. KPMG quit in June following a Serba-led lawsuit.

KPMG stated it would vigorously challenge any court proceedings but did not comment on the matter after the resignation of its auditor position.

EY Consulting was hired by Serba in July to act as an independent special reviewer following the directive from Bursa Malaysia, the stock exchange.

Last month, Serba filed a lawsuit against EY Consulting to stop it from publishing any information about the group.

EY Consulting and Bursa Malaysia did not respond immediately to our requests for comment.

Serba has had its shares suspended since December 15, when it failed to pay $222.22 million of a sukuk. In a filing to the Bourse it stated that the incident might have an impact on its financial performance.

($1 = 4.1800 ringgit)