Able Engineering (HKG:1627) said it is cooperating with authorities following construction issues at several Light Public Housing projects, according to a Sunday Hong Kong bourse filing.

Shares of the company were down nearly 12% in Monday morning trade.

The filing was issued in response to a separate government press release on Friday, in which the Housing Bureau and the Development Bureau said they had accepted an independent investigation report submitted by the Architectural Services Department.

The investigation identified construction malpractices at three Light Public Housing sites in Siu Lam, Tuen Mun, and Chai Wan, the government said.

According to the press release, punitive measures were imposed on the parties involved, including a one-year suspension from tendering for public works contracts for Able Engineering Company, a subsidiary of Able Engineering Holdings.

The government said the contractor was responsible for construction and related quality assurance at the affected sites.

Authorities added that the case may involve suspected criminal acts, including the provision of false statements, and has been reported to the police.

In its filing, Able Engineering Holdings said the incidents may have involved criminal acts by individuals and that it had proactively reported the cases earlier.