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KUALA LUMPUR: FFM Bhd, an 80 per cent subsidiary of PPB Group Bhd, has received a notice of the proposed decision issued by the Malaysia Competition Commission (MyCC) pursuant to Section 36 of the Competition Act 2010.

In a filing with Bursa Malaysia today, PPB said the proposed decision is premised primarily on the allegation that FFM had engaged in agreements and/or concerted practices to fix the quantum of poultry feed prices in breach of Section 4 of the Act.

"FFM has clarified that at this juncture, the proposed decision is not final. MyCC has in its press statement today highlighted that its findings are provisional and it should not be assumed that any enterprise has broken the law at this stage.

"FFM is of the view that the allegation of infringement is without merit. It will review the matter with its external legal counsel and respond to the MyCC within the stipulated time to defend its position on the matter,” it said.

Meanwhile, MyCC has also served the same notice to Leong Hup Feedmill Malaysia Sdn Bhd (LFM), a wholly owned subsidiary of Leong Hup International Bhd, pursuant to Section 36 of the Competition Act 2010.

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In a separate filing, Leong Hup said the proposed decision is premised primarily on the allegation that LFM had engaged in agreements and/or concerted practices to fix the quantum of poultry feed price which is in breach of Section 4(1) read together with Section 4(2)(a) and 4(3) of the Act.

"The company would like to clarify that at this juncture, the proposed decision including the proposed financial penalty and proposed directions are not final.

"The company and LFM strongly believe that the allegation of the aforesaid infringement is without merit and intend to defend such allegation vigorously. The company and LFM will review the matter with the external legal counsel and submit written representations within the specified period and make an oral representation before the MyCC,” it said. - Bernama