Serba Dinamik- victims of speculation

The info shared is based on my conversation with a well-known Malaysian millionaire who chose to be anonymous. He will be referred as T20 insider.

Malik: Hello sir, what do you think of the current mess Serba Dinamik is in at the moment?

T20 insider: To be honest, I find the red flags highlighted by KPMG to be trivial and something that ought to be resolved via discussion with the management.

Malik: what do you mean by trivial issues highlighted by KPMG?

T20 Insider: Among the findings that I find weird is the fact that KPMG were the side that initially wanted an independent reviewer to verify their findings but then went to SC anyway. Next, calling the receptionist to verify the existence of an employee and going to the wrong address is really a sloppy job for a Big4. Most troublesome is that they were using Truecaller to verify the number of Serba Dinamik’s client. For me, revealing confidential number to a third-party app with questionable privacy practice is troublesome indeed.

Malik: So, was it a right move for Serba Dinamik to sue their auditor?

T20 insider: My own personal view is that is a daring act as a lawsuit puts all the facts out in the open. Every single witness can be cross examined. All evidences, audit report is placed to a higher degree of scrutiny. I don’t think that would be an act perpetrated by a scammer.  This is an act that shows seriousness to clear their name.

Malik: People think it is a wrong move to sue the auditor, what is your take on this?

T20 insider: To be fair, auditors have been sued all around the world. Even lawyers get sued for not doing their job properly. I think what Serba Dinamik is doing should be celebrated and championed. The impact of KPMG’s action has wiped out close to 50% of their market value. The people who suffer are everyday Malaysians who have their savings in EPF and KWAP.

Malik: A lot of people are saying that Serba Dinamik’s contract in Block 7 Investment LLC is a scam, what is your take on it?

T20 insider: Well, if that was true, they would not instigate a lawsuit right that would put everything out in the open. You are talking about a company that constantly give out dividends to their investor year in and year out. If they want to embezzle money, they don’t need a contract like this or even fight this thing out. They can simple walk away like Jho Low. Serba Dinamik for years have been reliant on their engineering capabilities. For them to get a project and not finishing it would be damaging, especially when they are about to embark on their space economy journey.

Moreover, the Block 7 Investment is reported largely in various media space. No legitimate media space have denied such existence or did the Abu Dhabi Investment Authority denied or issued a statement against the company. You must remember, Serba Dinamik is now a global issue. Media left and right should be picking up hard facts but sadly what you read until now are mere speculation. No solid evidence especially if what KPMG claim is so damning, there should be factual revelation left and right, but you can see none.

Malik: Hard to take your words for it when you see EPF and other institutional investors running away? Why do you still believe in this company?

T20 insider: EPF and other institutional investors have to act based on the mandate given. If a certain stock tanks below a certain value, they have to exit. But the fact that they did not pull a full handbrake means the company itself has strong fundamentals and waiting for rebound. Heck, KPMG did not find any faults at all with them previously and only did during this lockdown where a lot of companies had new operating protocols which makes procuring some information significantly harder than before.

Malik: What would your advice be for people who are still skeptical about Serba Dinamik?

T20 insider: For me it is simple, big companies like Huawei and Microsoft thinks they are valuable partners for expansion in the tech ecosystem. Multiple contracts and backing from foreign banks is another good sign of confidence for the credibility of the company. For me, Serba Dinamik fundamentally still remains solid and has a bright future especially with their long-awaited venture into space economy. Something new for Malaysians. Ponzi Schemes usually rely on one fake company with another fake company. Serba Dinamik has been partnering with legitimate parties all around the world. I will continue to support this company. 

This is just purely sharing my conversation with a Malaysian millionaire. This is no way reflects a buy call or any other investment related advice.