Fu Yu Corporation (SGX:F13) has yet to initiate legal proceedings against individuals, including its largest shareholder Victor Lim, in connection with a probe into its unit, Fu Yu Supply Chain Solutions, which was involved in unverifiable payment arrangements, the company said in a Friday filing with the Singapore Exchange.

The components manufacturer issued demand letters in April, all of which were denied by the individuals involved, but noted that it "has not commenced a claim through court proceedings yet."

The allegations relate to the AEPL acquisition, questionable expense reimbursements, and a pre-paid commission deal involving entities allegedly linked to the individuals.

Fu Yu said it is reviewing the findings of an independent report by Rajah & Tann LLP and will seek formal legal advice after completing the Maxwellisation process, a step that allows individuals criticized in a report to respond before publication.

The board also said the investigation and legal review will continue even if a new board is appointed at the June 27 annual general meeting, where resolutions to remove and elect directors have been proposed.