Civil Action in 2026 - Civil Actions and Regulatory Settlements

Civil Action in 2026

No.	Nature of Offence	Defendant(s)	Brief Facts of the Case	Outcome

Outcome of Civil Action Taken
1.	Insider trading	Dato' Ng Back Heang (Dato’ Ng)	On 9 April 2020, a civil action was initiated against Dato' Ng for breach of section 188(2) of the Capital Markets and Services Act 2007 (CMSA). This was in relation to the disposal of 16,500,000 Patimas Computers Berhad (Patimas) shares held in his account, between May and July 2012. The SC sought, among others, the following: A declaration that Dato' Ng has contravened section 188(2) of the CMSA whilst in possession of material, non-public information relating to audit queries and issues regarding the suspicious transactions between Patimas and its top debtors; Payment of the sum of RM1,237,500 which is equivalent to three (3) times the amount of the loss avoided , i.e., RM412,500; A civil penalty of RM1,000,000; An order that Dato' Ng be barred from being a director of any public listed company for a period of 5 years; Interest; and Costs.	On 16 November 2022, after a full trial, the Kuala Lumpur High Court declared that the SC had successfully proven its claim against Dato’ Ng. The High Court granted the reliefs sought by the SC as follows: A declaration that Dato’ Ng has contravened Section 188(2)(a) of the CMSA; A payment of the sum of RM1,237,500 being an amount equal to three (3) times the losses avoided; Civil penalty of RM700,000; An order that Dato’ Ng be barred from being a director of any public listed company for a period of 5 years starting from 16 November 2022; Interest at the rate of 5% per annum on the judgment sum from the date of judgment to the date of full realization; and Costs of RM100,000. The SC’s press release following the decision of the High Court can be found at the following link : https://www.sc.com.my/resources/media/media-release/sc-wins-insider-trading-civil-suit-against-patimas-computers-berhad-former-executive-director On 13 December 2022, Dato’ Ng filed an appeal to the Court of Appeal against the High Court’s decision. On 2 September 2025, the Court of Appeal unanimously dismissed Dato’ Ng’s appeal and upheld the High Court’s decision. The COA awarded costs of RM30,000 to the SC. The SC’s press release following the decision of the Court of Appeal can be found at the following link : https://www.sc.com.my/resources/media/media-release/court-of-appeal-rules-in-favour-of-sc-in-insider-trading-civil-appeal On 1 October 2025, Dato’ Ng filed a leave application to appeal to the Federal Court. On 2 July 2026, the Federal Court unanimously dismissed Dato’ Ng’s leave application to appeal and awarded costs of RM50,000 to the SC. The SC’s press release following the decision of the Federal Court can be found at the following link: https://www.sc.com.my/resources/media/media-release/federal-court-rules-in-scs-favour-leave-application-of-former-patimas-executive-director-in-insider-trading-civil-appeal-dismissed.

Outcome of Civil Action Taken

Insider trading

Dato' Ng Back Heang (Dato’ Ng)

On 9 April 2020, a civil action was initiated against Dato' Ng for breach of section 188(2) of the Capital Markets and Services Act 2007 (CMSA).
This was in relation to the disposal of 16,500,000 Patimas Computers Berhad (Patimas) shares held in his account, between May and July 2012.
The SC sought, among others, the following:

A declaration that Dato' Ng has contravened section 188(2) of the CMSA whilst in possession of material, non-public information relating to audit queries and issues regarding the suspicious transactions between Patimas and its top debtors;
Payment of the sum of RM1,237,500 which is equivalent to three (3) times the amount of the loss avoided , i.e., RM412,500;
A civil penalty of RM1,000,000;
An order that Dato' Ng be barred from being a director of any public listed company for a period of 5 years;
Interest; and
Costs.

On 16 November 2022, after a full trial, the Kuala Lumpur High Court declared that the SC had successfully proven its claim against Dato’ Ng. The High Court granted the reliefs sought by the SC as follows:

A declaration that Dato’ Ng has contravened Section 188(2)(a) of the CMSA;
A payment of the sum of RM1,237,500 being an amount equal to three (3) times the losses avoided;
Civil penalty of RM700,000;
An order that Dato’ Ng be barred from being a director of any public listed company for a period of 5 years starting from 16 November 2022;
Interest at the rate of 5% per annum on the judgment sum from the date of judgment to the date of full realization; and
Costs of RM100,000.

The SC’s press release following the decision of the High Court can be found at the following link : https://www.sc.com.my/resources/media/media-release/sc-wins-insider-trading-civil-suit-against-patimas-computers-berhad-former-executive-director

On 13 December 2022, Dato’ Ng filed an appeal to the Court of Appeal against the High Court’s decision.

On 2 September 2025, the Court of Appeal unanimously dismissed Dato’ Ng’s appeal and upheld the High Court’s decision. The COA awarded costs of RM30,000 to the SC.

The SC’s press release following the decision of the Court of Appeal can be found at the following link : https://www.sc.com.my/resources/media/media-release/court-of-appeal-rules-in-favour-of-sc-in-insider-trading-civil-appeal

On 1 October 2025, Dato’ Ng filed a leave application to appeal to the Federal Court.

On 2 July 2026, the Federal Court unanimously dismissed Dato’ Ng’s leave application to appeal and awarded costs of RM50,000 to the SC.

The SC’s press release following the decision of the Federal Court can be found at the following link: https://www.sc.com.my/resources/media/media-release/federal-court-rules-in-scs-favour-leave-application-of-former-patimas-executive-director-in-insider-trading-civil-appeal-dismissed.