01/06/2026

BIZ & FINANCE MONDAY | JUNE 1, 2026

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AME Elite’s FY26 net profit surges to record high RM284m PETALING JAYA: AME Elite Consortium Bhd, an integrated industrial space solutions provider, reported a record net profit of RM284 million for financial year ended March 31, 2026 (FY26), an increase of 208.4% from RM92.1 million in the previous year. The record performance was primarily driven by industrial property demand and land sale, further boosted by RM65.9 million in fair value gains net of tax and non-controlling interest, reflecting strong appreciation of the group’s investment properties. AME Elite’s revenue in FY26 grew 59.4% to RM970 million from RM608.6 million in the previous financial year. Operationally, AME Elite recorded strong demand across its industrial park portfolio, locking in RM453.6 million in new sales for FY26 from its flagship Johor developments, particularly i-TechValley at SILC (Southern Industrial and Logistics Clusters). Additionally, the group’s Northern TechValley @ BKE development in Penang recorded RM137.3 million in new sales in its first full year since its launch. Executive director and group CEO Dylan Tan Teck Eng said, “Moving into FY2027, we remain focused on sustaining our growth momentum, driven by our Johor industrial parks, progressive development of Northern TechValley @ BKE in Penang, and the upcoming i-Park @ Coalfields in Selangor with a GDV (gross development value) of RM1.3 billion. “Our construction and engineering division further strengthens our growth prospects, backed by a healthy external construction order book of RM557.5 million, while continuing to support our internal industrial park developments. Furthermore, our newly completed workers’ dormitory in i-TechValley expands our portfolio to over 9,000 beds, providing a stable and recurring income base.” In FY26, the property development segment’s revenue grew 162.8% to RM631.6 million from RM240.4 million, driven by strong development work progress and land sales to data centre. For the fourth quarter ended March 31, 2026, group revenue grew 61.6% to RM186.8 million from RM115.6 million, while net profit rose 122% to RM81.1 million from RM36.5 million in the corresponding quarter last year. The quarterly performance was driven by operational growth across all business segments, alongside fair value gains on investment properties. In respect of the record financial performance, the group declared a second interim single-tier dividend of 4 sen and a special dividend of 3 sen per share. The ex-date is set for June 18 with payment scheduled for July 3. Added to earlier payouts, the total dividend for FY2026 is 13 sen per share, more than double from 6 sen in the previous year.

Inland Revenue Board’s crackdown on mule accounts A MULE account is an account used to receive and transfer money on behalf of others, without adverse conclusions based on available information. In certain situations, unexplained receipts could potentially be treated as taxable income.

their accounts. Where bank transactions appear inconsistent with declared income, IRB may begin examining: 0 whether the receipts represent taxable income; 0 whether there is an undeclared business activity; 0 whether income has been omitted from tax filings; and 0 whether lifestyle and banking activity match reported earnings. This is where mule account arrangements become dangerous. Even individuals who claim they were merely “helping someone transfer money” may struggle to explain repeated inflows and outflows, especially where there are no supporting documents behind the transactions. The biggest problem – no docu mentation One of the most common issues in mule account cases is the complete absence of proper records. Many account holders involved in such arrangements have: 0 no agreements; 0 no invoices; 0 no proof of services rendered; and 0 no commercial explanation for the transactions. From a tax perspective, this creates a major problem; funds flowing through an account cannot be properly subs tantiated, IRB is likely to draw

Malaysia is no longer handled by just one authority. The Royal Malaysia Police (PDRM) continue to investigate online scams, fraud syndicates, and suspicious fund transfers involving layered bank accounts. The Malaysian Anti Corruption Commission abuse of power, kick backs, or illicit finan cial benefits. Banks and financial insti tutions are also actively monitoring unusual transaction patterns under anti-money laundering re in creasingly, these investigations do not stop there. Once unexplained fund movements surface, the information will trigger investi gations by IRB. When IRB starts asking questions With the expansion of e-invoicing and digital tax reporting, financial transactions are becoming far easier to trace, match and cross reference across agencies. IRB’s concern is not necessarily whether the money itself came from criminal activity because under the tax laws money gained from illegal activities will also be subjected to tax. The issue is whether taxpayers can properly explain the source and nature of the funds moving through (MACC) becomes involved where transactions may involve corruption, porting obligations. But its resources on its remaining construction and EPCC activities. With the disposal, SCM ceases to be a subsidiary of the company. As a result, SCIB’s operating structure and funding requirements will be reassessed to reflect its post disposal business direction. In line with this develop ment, SCIB

the account holder being the true owner of the funds or fully aware of their origin. Such arrangements are often exploited by criminals to move illicit funds through the financial system and obscure the money trail, and the illicit funds can originate from illegal activities such as drug trade, money laundering, tax evasion, etc. A common example is a “cash out transaction” from the conversion of cryptocurrencies to “real money” and here a mule account will be used to pass through such monies to third parties locally or overseas. Other examples are transferring casino winnings from overseas to Malaysian parties and conversion monies not subjected to tax. Unfortunately, many inter mediaries only realise the serious ness of the situation after enforce ment agencies begin knocking on their doors including the Inland Revenue Board (IRB). A growing multi-agency enforce ment network The detection of mule accounts in Consolidated Industries Bhd (SCIB) has completed the RM113 million disposal of SCIB Concrete Manu facturing Sdn Bhd (SCM), a landmark transaction that sharpens the company’s focus on its construction and engineering, procurement, construction and commissioning (EPCC) businesses while prompting a reassessment of its capital-raising plans. SCIB said the completion of the transaction marks a significant step in its ongoing business realignment, following shareholders’ approval for the disposal of SCM and of land at an extraordinary general meeting. The disposal of SCM for a cash consideration of RM113 million enables SCIB to unlock value from its manufacturing business and refocus

Not just a criminal problem anymore A common misconception is that if no criminal charges are filed, the issue simply disappears. That is not necessarily the case. Even where PDRM or MACC investigations do not ultimately result in prosecution, IRB may still independently pursue tax audits, estimated assessments, penalties or further scrutiny over un explained funds. In other words, escaping criminal charges does not automatically eliminate tax exposure. Conclusion For taxpayers, the message is becoming increasingly clear. Allowing bank accounts to be used by third parties, even casually or for “side income”, will carry serious tax consequences.

The real risk may begin when the authorities start asking one simple question: “Can you prove where the money came from?” This article is contributed by Thannees Tax Consulting Services Sdn Bhd managing director SM Thanneermalai (www.thannees.com). SCIB completes RM113m disposal of concrete-making arm PETALING JAYA: Sarawak

and more sustainable oppor tunities in the construction and EPCC space. “With SCM no longer forming part of the company moving forward, it is only prudent that we reassess our funding requirements and capital plans based on the company’s revised business structure. Our priority is to ensure that any future capital exercise is properly aligned with SCIB’s operational needs, financial posi tion and long-term strategic direction.” Moving forward, the company may consider a revised rights issue with warrants scheme and submit a fresh application to Bursa Malaysia Securities at a later date, subject to further assessment of the funding requirements.

purchase of machinery in relation to SCM’s manufacturing business. Following the disposal, the intended utilisation is no longer relevant to the company’s revised operating structure. Executive chairman Datuk Chong Loong Men said, “The completion of

the SCM dis posal is an important milestone for SCIB as it allows us to conclude a major com

will not pro ceed with the p r opo s ed rights issue with warrants

ponent of our corporate realign ment exercise. This exercise allows us to unlock significant value from our manufacturing business and landbank, while strengthening our financial position to pursue larger

based on the current scheme. The company noted that a substantial portion of the proceeds from the earlier proposed rights issue had been earmarked for the con struction of factory facilities and the

Exit from PN17 status marks end of Capital A’s most difficult period In January, Teleport secured

built within the AirAsia ecosystem but are now operating inde pendently. AirAsia spent 25 years proving that low-cost aviation could work in Asia. Capital A is now making a different bet – that what was built around the airline is worth just as much as the airline itself.

better insulated from the airline industry’s cyclical swings and positioned to grow across multiple fronts. The businesses that now make up Capital A, ADE in MRO, Teleport in logistics, AirAsia MOVE in travel, AirAsia Next in brand and data, and Santan in food and beverage, were

logistics market, leveraging its asset light model and expanding airline partnerships to capture rising cross border trade flows. The PN17 exit marks the end of the most difficult period in Capital A’s corporate history. With its aviation and non-aviation businesses now formally separated, the group is

of more than 55 partner airlines and expand into key global markets, particularly high growth corridors linking China, the rest of Asia and Europe via the Middle East. The group is targeting to grow Teleport’s cargo volumes at twice the pace of the broader e-commerce

US$50 million in pre-IPO growth capital from HPS Investment Partners, a BlackRock company, to scale its asset-light model for cross-border e-commerce. The funds will be deployed to secure additional strategic capacity across its network

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