Court rejects Soh Chee Wen’s application to be discharged from criminal prosecution

The Sessions Court today rejected an application by Soh Chee Wen to be discharged from a criminal prosecution. Soh had alleged that the charges brought against him by the Securities Commission for using a scheme to defraud Omega Securities Sdn Bhd and for abetment in the submission of false information to the Kuala Lumpur Stock Exchange (KLSE) were defective.
Sessions Court Judge Azimah Omar made the decision today, after considering all submissions. The Sessions Court Judge in finding that the charges contain sufficient particulars, are not defective and disclosed an offence, held that –

  1. the KLSE Rules for Trading by Member Companies (KLSE Rules) applies to both on and off-market securities transactions;
  2. section 87A of the Securities Industry Act 1983 (SIA) applies to any person irrespective of whether a person is a Member Company;
  3. the reference to Rule 20 of the KLSE Rules in the charges does not make the charges defective as these are merely particulars of the charge which seeks to give the accused notice of the case against him; and
  4. the term ‘contango’ mentioned in one of the charge is an industry term and therefore does not need a specific legal definition.

Soh had been charged under section 87A(a) of the SIA 1983 on 14 May 2002 for securities fraud and on 5 September 2005 to a further three alternative charges of abetment under section 122(b)(a) of the SIA read together with section 122(c) of the SIA 1983. Soh had pleaded not guilty to all charges.
Judge Azimah Omar has fixed 24-27 October 2005 to proceed with the trial.