KUALA LUMPUR: A former investment banker has been charged by the Securities Commission for defrauding investors into depositing monies amounting to RM201,000 for shares investment.
According to a statement issued by the capital markets regulator, it had also charged Ruwan Amaresh Shaun Ponniah, 35, for an offense relating to unlicensed capital market activities.
Ruwan was an associate director of Debt Capital Markets at CIMB Investment Bank when the offences took place between October 2018 and June 2020.
He faced 10 charges under section 179(b) of the Capital Markets and Services Act 2007 (CMSA) for falsely representing to seven individuals that he would invest their monies in shares listed on the Malaysian and foreign stock exchanges.
If convicted, Ruwan faces a jail term not exceeding 10 years and a fine of not less than RM1mil.
Ruwan also faced one charge under section 58(1) CMSA for holding himself out as carrying on a business in fund management without being licensed or a registered person for fund management under the CMSA.
According to the SC,fund management is a regulated activity under Schedule 2 of the CMSA, thus any person carrying out this activity must be licensed by the regulator.
The offence carries a maximum fine of RM10mil or imprisonment for a term not exceeding 10 years or both, if convicted.
Ruwan claimed trial to all 11 charges in three separate courts and was imposed with a total bail sum of RM210,000.
The SC urged the public to refer to the SC Investment Checker, a one-stop portal available on the SC’s website - www.sc.com.my/investment-checker - to verify if an individual and/or entity is authorised by the SC to offer, promote, or sell any capital market products and services in Malaysia.
