No. Offence Defendants Brief facts of the case Outcome
Outcome of Civil Action Taken
1.
  • False trading and market rigging transaction
    [s. 84 of the SIA]
  • Stock market manipulation
    [s.85 of the SIA]
Ng Wai Hong
Lo Ga Lung
Toh Pik Chai
Ling Pik Ngieh
Ng Soo Tian
Chan Kok
Chai Shou Wei
On 21 September 2017, the Securities Commission Malaysia (SC) filed a civil suit against the 7 defendants. The SC is seeking, among others:

  • A declaration that the Defendants had engaged in false trading and market rigging transactions in respect of APLI shares from 7 November 2006 to 9 November 2006;
  • A declaration that the Defendants had engaged in stock market manipulation in respect of APLI shares from 7 November 2006 to 9 November 2006;
  • An order that all the assets and properties of each of the Defendants be traced and/or followed, and thereafter paid over to the Commission;
  • A declaration that all profits earned by each of the Defendants by reason of their false trading and market rigging transactions and stock market manipulation of APLI shares are held on constructive trust for the benefit of the affected investors;
  • General and/or aggravated and/or exemplary damages against all the Defendants;
  • Special damages;
  • Civil penalty of RM 1,000,000 against each of the Defendants for the breach of section 84 and 85 of the SIA;
  • Interest;
  • An injunction to restrain each of the Defendants, whether by themselves, their agents, servants or otherwise howsoever, from trading in any counter on Bursa Malaysia for a period of 5 years;
  • An order that each of the defendants be barred from being a director of any public listed company for a period of 5 years;
  • Costs.
On 16 March 2018, all 7 Defendants entered into a settlement agreement with the SC whereby:

  • The Defendants agreed to pay a settlement sum of RM2,354,672.13 out of which RM2,154,672.13 is the sum of the unlawful gains from the false trading, market rigging and market manipulation whilst RM200,000 is the sum of the civil penalty.
  • It is also agreed that the SC is at liberty to publish the terms of the settlement on SC’s website and/or SC’s Annual Report and/or in any other publication as the SC deems fit.

Following the settlement agreement, the SC withdrew its suit against the 7 defendants.

2.
  • False trading and market rigging transaction
  • Stock market manipulation
  • Kenneth Vun @ Vun Yun Liun
  • Teng Choo Teik
  • Simon Ling Siang Hock
  • Lye Pei Ling
  • Chuah Hock Soon
  • Choong Lay Ti
  • Gui Boon Huat
On 22 July 2014, the SC filed a civil suit against the 7 Defendants. The SC sought, among others:

  • A declaration that the defendants engaged in false trading and market rigging transactions in respect of DVM shares from 14 March 2006 until 21 March 2006;
  • A declaration that the defendants engaged in stock market manipulation in respect of DVM shares from 14 March 2006 until 21 March 2006;
  • A declaration that all profits earned by the defendants are held on constructive trust for the benefit of affected investors;
  • Order that all assets and properties of each of the defendants be traced and followed and then paid to the SC for the purpose of compensating affected investors;
  • An order that each of the defendants be barred from being a director of any public listed company for a period of 5 years;
  • An order to restrain each of the defendants/their agents/servants or otherwise howsoever from trading in any counter on Bursa Malaysia for a period of 5 years;
  • Special damages of RM 3,073,231.92;
  • Civil penalty of RM1,000,000 against each of the defendants;
  • General and/or aggravated and/or exemplary damages;
  • Interest; and
  • Cost.

 

On 1 March 2018, the High Court recorded a Consent Judgment between the SC and all the Defendants granting the following orders:

  • The Defendants shall jointly and severally pay the sum of RM 3,823,231.92 which consist of:
  • Special damages of RM 3,073,231.92; and
  • A civil penalty of RM 750,000.00.
  • The Defendants shall not hold office as directors in any public listed company for a period of 5 years;
  • The Defendants shall not, whether by themselves, their agents, servants or otherwise howsoever, trade in any securities on Bursa Malaysia for a period of 5 years;
  • In the event of default in any of the terms of the Consent Judgment, the Defendant(s) in default shall be liable to pay a civil penalty of RM 1,000,000.00 to the SC, and the SC will be at liberty to take the necessary actions to execute or enforce the Consent Judgment against the Defendant(s) in default;
  • The SC is at liberty to publish the terms of the Consent Judgment on the SC’s website and/or in the SC’s Annual Report and/or in any other publication the SC deems fit; and
  • The Consent Judgment shall constitute full and final settlement of the SC’s claim against the Defendants.
3. Insider trading Chan Soon Huat On 27 May 2015, the SC filed a civil suit against Chan Soon Huat, former founder of WCT Berhad for insider trading.

The SC sought, among others:

  • A declaration that Chan had engaged in insider trading in respect of WCT Berhad securities between 30 December 2008 and 5 January 2009;
  • A payment of the sum of RM 3,238,760.55 which is equivalent to three times the amount of RM1,079,586.85 being the difference between the price at which the securities had been disposed of by Chan and the price at which the securities would have been likely to have been disposed of at the time of the disposal, if the material non-public information had been generally available;
  • Civil penalty of RM1,000,000;
  • An order that Chan be barred from being a director of any public listed company for a period of 5 years;
  • Interest;
  • Costs.
On 24 January 2018, after a full trial, the Kuala Lumpur High Court declared that the SC had successfully proven its claim against Chan. The High Court ordered Chan to pay the sum of RM3,238,760.55 claimed by the SC and a civil penalty of RM500,000 to the SC.