ISKANDAR PUTERI: The owner of Xin Jian Chang Sdn Bhd, the distribution company involved in the socks controversy, has been given 60 days to provide an explanation to the local authorities regarding why the factory should not be shut down for violating its business licence terms.
Datuk Mohd Jafni Md Shukor, the State Housing and Local Government Committee chairman, stated that investigations revealed the company’s breach of the terms of the business licence granted by the Batu Pahat Municipal Council for a shoe storage and distribution facility.
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“The factory was authorized to only engage in the storage and distribution of shoes, yet it was found to be packaging socks and gloves, activities that were not included in their original licence application. This is the reason why a notice of licence cancellation and premises closure was issued to them,” he informed the press at his office in the Dato’ Abdul Rahman Andak Building on Thursday (March 21).
The company owner must outline the corrective actions they plan to take in order to persuade the local authority to allow them to keep their licence.
ALSO READ: Business licence still valid until MPBP considers submission, vendor in socks controversy says
“If the licence is revoked, it will pose challenges for the company as they could be blacklisted, making it difficult for them to reapply unless they start a new company,” he remarked.
These comments were made in response to the notice of business licence cancellation and closure of business operations given to the factory due to its distribution of the controversial socks to KK Super Mart convenience stores.
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Authorities seized five pairs of the controversial socks last Tuesday during an inspection at the factory that was responsible for packaging and distributing the socks to the chain’s outlet in Bandar Sunway, Petaling Jaya, Selangor.
It was discovered during the inspection that the factory had imported 16 packages containing 18,800 pairs of socks, but no additional controversial socks were found aside from those already confiscated.
An investigation is ongoing under Section 298A and Section 505(b) of the Penal Code and Section 233 of the Communications and Multimedia Act (CMA) 1998. – Bernama
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