Padini confirms all frozen bank accounts restored as MACC probe continues
KUALA LUMPUR: Fashion retailer Padini Holdings Bhd has confirmed that all bank accounts belonging to the company and its subsidiaries that were previously frozen by the Malaysian Anti-Corruption Commission (MACC) have now been fully released, marking a significant development in an ongoing anti-money laundering investigation.
The company said the lifting of the account freeze allows its financial operations to return to normal after several accounts were temporarily restricted since April as part of investigations conducted under the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 (AMLA).
In a statement, Padini stressed that the decision to unfreeze the accounts came without any member of its organisation being arrested, prosecuted or formally charged in relation to the investigation.
The retailer said none of its directors, management personnel, employees or authorised representatives have been implicated through criminal charges, while neither the company nor any subsidiary has been subjected to asset forfeiture proceedings linked to the case.
Padini reiterated that it has consistently maintained its innocence since the investigation began, emphasising that neither the group nor any of its business entities had engaged in unlawful or improper activities.
The company also reaffirmed its commitment to maintaining high standards of corporate governance, transparency and ethical business practices, adding that it continues to enforce a strict zero-tolerance policy towards corruption, bribery, money laundering and any other form of illegal or unethical conduct.
The temporary freezing of the accounts was announced in April after MACC initiated investigations under AMLA. At the time, Padini assured shareholders that the affected accounts represented only a small proportion of the group’s overall cash holdings and that business operations across its nationwide retail network remained unaffected.
The company had also stated that daily operations, supplier payments, employee salaries and customer services continued without interruption despite the restrictions imposed on several bank accounts.
Subsequent updates from MACC in May revealed that investigators had detained eight individuals while recording statements from another 10 people as part of a broader money laundering investigation involving financial transactions associated with the case.
However, the anti-graft agency clarified that Padini itself was not the target of the investigation and acknowledged that the retailer had cooperated fully throughout the investigative process by providing the information and assistance requested by enforcement authorities.
The latest development is expected to provide greater certainty for investors following months of regulatory scrutiny, as the restoration of all affected bank accounts removes a key operational concern that had attracted market attention since the investigation became public.
Padini said it remains focused on strengthening stakeholder confidence while continuing to operate its business in accordance with the highest standards of accountability and compliance.
The company also expressed appreciation to its shareholders, customers, business partners, employees and other stakeholders for their continued confidence, patience and unwavering support throughout the investigation, reaffirming its commitment to preserving public trust and delivering long-term value through responsible corporate governance.
