Datuk Kamarudin Meranun has entered into a settlement with the Securities Commission for RM3.64mil over the purchase of 5.55 million Malaysia Airlines Bhd (MAS) shares between Aug 1, 2011 and Aug 5, 2011.
KUALA LUMPUR: The Securities Commission has charged the founder of Three-A Resources Bhd
(3A) and five others with insider trading offences relating to information relating to a joint venture of 3A and Singapore-listed Wilmar International Ltd.
The SC had on Tuesday charged the six individuals with insider trading offences under Section 188 of the Capital Market and Services Act 2007 (CMSA).
Fang Chew Ham, 69, the founder and managing director of 3A together with his daughter and 3A executive director Fang Siew Yee, 36, were charged for communicating material non-public information to his brother and non-executive director Fong Chiew Hean.
The offence under section 188(3)(a) CMSA was allegedly to have been committed on Sept 5, 2009.
Fong was also charged with nine counts of insider trading. He had acquired 891,000 of 3A shares between Sept 7 and Oct 5 2009 through two accounts at PM Securities Sdn Bhd while in possession of the said material non-public information.
The SC alleged that the material non-public information referred to in the charges was linked to the JV between 3A and Wilmar and later materialised through a 20% private placement of the capital of 3A to Wilmar. The information was announced to Bursa Malaysia on Oct 5, 2009.
Fang Chew Ham, Fang Siew Yee and Fong all claimed trial.
Kuala Lumpur Sessions Court Judge Tuan Mat Ghani Abdullah fixed bail at RM250,000 for Fong, while bail for Chew Ham and Siew Yee was fixed at RM200,000. All three were ordered to surrender their passports to the court.
In a separate proceeding, SC also charged Siew Yee under section 188(2)(a) CMSA for acquiring 2.72 million 3A shares between Aug 27, 2009 and Oct 5, 2009 when she had the information.
Siew Yee, who faces eight charges, is said to have acquired 3A shares through the account of Tan Bee Geok, 62.
Tan together with Chew Ham and two OSK Investment Bank Bhd dealers at the material time, Chew Lian Foon, 38, and Ong Kok Aun, 55, were charged with abetting Fang Siew Yee in the commission of the offences under section 370(c) CMSA.
The charges against Siew Yee, Chew Ham, Tan, Chew and Ong were read out before Sessions Court Judge Tuan Zulqarnain Hassan. All five claimed trial.
The SC said Siew Yee was granted bail of RM250,000 while Chew Ham, Tan, Chew and Ong were each granted bail of RM150,000. They were also ordered to surrender their passports except for Tan, who did not own one.
The offences under sections 188(2) and (3) of the CMSA 2007 are punishable with an imprisonment term not exceeding 10 years and a fine of not less than RM1mil.
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