| No. | Nature of Offence | Offender(s) | Facts of Case | Date Charged |
|---|---|---|---|---|
Criminal Prosecution Initiated - Persons Charged |
||||
1. |
Short selling |
Richard Ng Weng Fatt | Richard Ng short sold 20 lots of Latexx Partners Berhad shares. | Richard Ng was charged on 28 March 1997. |
| 2. | CIMB Securities Sdn Bhd (CIMB Securities) | CIMB Securities, Credit Lyonnais and Ng short sold 141 lots of Proton Berhad shares. | CIMB Securities, Credit Lyonnais and Ng were charged on 11 December 1997. | |
| Credit Lyonnais Pte Ltd (Credit Lyonnais) | ||||
| Ng Wai Hong | ||||
| 3. | CIMB Securities Sdn Bhd (CIMB Securities) | CIMB Securities Ng were charged for short selling because its dealer's representative Ng Wai Hong had short sold 22 units of Arab-Malaysian Corporation Berhad shares on 29 August 1997. | CIMB Securities and Ng were charged on 11 December 1997. | |
| Ng Wai Hong | ||||
| 4. | Carrying out bogus futures transactions (Bucketing) | Lew Lee Yin | Lew, a Director of North American Resources Consultant Sdn Bhd (NAREC), had personal knowledge of 22 bogus futures transactions. NAREC's investors were deceived into believing that their orders were actually transacted on the Hong Kong Futures Exchange, when in fact it was never the case. | Lew and NAREC were charged on 29 November 1996. |
| North American Resources Consultant Sdn Bhd (NAREC) | NAREC had deceived investors that their orders were transacted on the Hong Kong Futures Exchange when in fact it was not. | |||
Outcome of Criminal Prosecution - Persons Fined |
||||
| 1. | Short selling | Richard Ng Weng Fatt | Richard Ng was charged on 28 March 1997 for short selling 20 lots of Latexx Partners Berhad shares. | Richard Ng pleaded guilty and was convicted on 1 October 1997 of the offence. He was fined RM100,000. |
