| Commencement of Forfeiture Action | ||||
|---|---|---|---|---|
| No. | Nature of Offence | Respondent(s) | Facts of Case | Outcome of Case |
| Filing of Forfeiture Application | ||||
| 1. | Money Laundering |
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The Public Prosecutor commenced a criminal application under Section 56 of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 (“AMLATFPUAA”) to forfeit property identified as Hakmilik Induk/Lot Gran 704444, No. Lot 230, Seksyen 58, Bandar dan Daerah Kuala Lumpur dan Negeri Wilayah Persekutuan Kuala Lumpur, No. Parcel 62-2 Four Seasons Private Residences Kuala Lumpur, bearing the postal address of Unit No. 62-2, Four Seasons Place Kuala Lumpur, No. 145 Jalan Ampang, 50450 Kuala Lumpur, in the possession of the 1st Respondent, Havana Bayview Sdn Bhd (Company No. 1091507-M). In addition, the applicantion is also to forfeit a sum of RM445,039.28 in the accounts of the 2nd Respondent, Wong Shee Kai, in HSBC Bank Berhad Damansara Heights Branch bearing the account number 359-147998-108. An order is also sought under Section 63 and 64 of the AMLATFPUAA that Wong Shee Kai is an absconded person. |
The notice of motion and relevant affidavits in support were filed on 3 May 2021. |
| No. | Nature of Offence | Offender(s) | Facts of Case | Outcome of Case |
| Outcome of Criminal Trials and Appeals | ||||
| 1. | Insider Trading |
|
Tan Swee Hock was charged with 28 counts of insider trading under section 188(2)(a) of the Capital Markets and Services Act 2007 (“CMSA”). He was alleged to have acquired 632,700 Transocean Holdings Berhad (THB) shares between 20 August 2009 and 6 November 2009 while in possession of material, non-public information relating to the proposed take-over offer by Kumpulan Kenderaan Malaysia Berhad of THB shares (“the inside information”). Chan Sze Yeng was charged under section 370(c) read together with section 188(2)(a) CMSA with 15 counts of abetting Tan Swee Hock in acquiring 379,100 THB shares between 9 September 2009 and 6 November 2009 while in possession of the inside information. Cheng Seng Chow was charged under section 370(c) read together with section 188(2)(a) CMSA with 15 counts of abetting Tan Swee Hock in acquiring 379,100 THB shares between 9 September 2009 and 6 November 2009 while in possession of the inside information. All three Offenders were charged on 8 December 2015. |
On 6 December 2021, the insider trading charges against Tan Swee Hock, Chan Sze Yeng and Cheng Seng Chow (“the three Offenders”) were discontinued by the SC. This was subsequent to the entering of a consent judgment in the civil High Court between the SC and the three Offenders on 26 October 2021. All three Offenders were subsequently acquitted and discharged by the court of all charges. The consent judgment can be found here: |
| 2. | Insider trading | Thai Kim Sim (“Thai”) | Thai was charged under section 188(3)(a) of the CMSA for allegedly having communicated material non-public information to one Tiong Kiong Choon between 26 October 2007 and 29 October 2007. The material non-public information was in relation to audit adjustments proposed by APL Industries’ (“APLI”) auditors which would result in APLI reporting a higher loss for the financial year ended 30 June 2007 as compared to the previously reported unaudited 4th quarter results for the same financial year and that APLI would be classified as an affected issuer pursuant to the Listing Requirements of Bursa Malaysia Securities Bhd and Practice Note 17/2005. |
Thai was charged on 15 December 2014. On 2 October 2020, the AGC filed an appeal to the Court of Appeal against the High Court’s decision. On 9 November 2021, the appeal was withdrawn by the AGC. |
| 3. | Insider trading | Tiong Kiong Choon (“Tiong”) | Tiong was charged with 2 charges under section 188(2)(a) of the CMSA for allegedly acquiring a total 6,208,500 shares of APL Industries (“APLI”) on 26 October 2007 and 29 October 2007 while in possession of inside information. The material non-public information was in relation to audit adjustments proposed by APLI’s auditors which would result in APLI reporting a higher loss for the financial year ended 30 June 2007 as compared to the previously reported unaudited 4th quarter results for the same financial year and that APLI would be classified as an affected issuer pursuant to the Listing Requirements of Bursa Malaysia Securities Bhd and Practice Note 17/2005. |
Tiong was charged on 15 December 2014. On 29 September 2020, the High Court allowed Tiong’s appeal against his conviction and sentence. On 2 October 2020, the AGC has filed an appeal to the Court of Appeal against the High Court’s decision. On 9 November 2021, the appeal was withdrawn by the AGC. |
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4. |
Insider trading | Dato’ Sreesanthan a/l Eliathamby (Sreesanthan) |
On 20 July 2012, Sreesanthan was charged with seven counts of insider trading under section 188(2)(a) of the Capital Markets and Services Act (CMSA) and section 89E(2)(a) of the Securities Industry Act (SIA). He was alleged to have traded in the shares of four public listed companies while in possession of inside information relating to various corporate exercises, details of which are stated below:
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Alleged insider trading of Sime Darby Berhad shares On 22 January 2021, the Public Prosecutor filed an appeal against the decision of the Sessions Court to the High Court. On 20 October 2021, the Public Prosecutor withdrew the appeal at the High Court. Alleged insider trading of Maxis Communications Berhad shares Alleged insider trading of UEM World Berhad shares Alleged insider trading of VADS Berhad shares The withdrawals of the criminal appeal and the criminal charges were made pursuant to a Regulatory Settlement Agreement that was entered into by Sreesanthan and the SC on 13 October 2021. The details of the regulatory settlement can be found here: |
| 5. | With intent to deceive, furnished a misleading statement to Bursa Malaysia | Gan Boon Aun (Gan) |
Gan, former Chief Executive Officer and Executive Director of Transmile Group Berhad (Transmile) was charged for abetting Transmile in making a misleading statement relating to Transmile’s revenue in the company’s Quarterly Report on Unaudited Consolidated Results for the Financial Year ended 31 December 2006 which was likely to induce the purchase of Transmile’s shares by other persons, an offence under section 86(b) read together with section 122C(c) of the Securities Industry Act 1983 (SIA). Gan was also charged in alternative with intent to deceive, furnished a misleading statement to Bursa Malaysia in the same financial statement, an offence under section 122B(a)(bb) read together with section 122(1) of the SIA. |
On 12 July 2007, Gan was charged with the principal charge under section 86(b) read together with section 122C(c) of the SIA. On 26 May 2008, Gan was charged in the alternative under section 122B(a)(bb) read together with section 122(1) of the SIA. The trial commenced on 22 July 2010 and the Prosecution closed its case on 28 January 2011 after having called 42 witnesses. On 16 March 2011, the Sessions Court held that the Prosecution had proven a prima facie case and ordered Gan to enter his defence on the alternative charge. On the eve of the hearing of the defence case, Gan filed an application under section 30 of the Courts of Judicature Act 1964 (“CJA”) to challenge the constitutionality of section 122(1) of the SIA. On 15 March 2017, the Federal Court upheld that section 122(1) of the SIA was constitutional and ordered for the case to be remitted to the Sessions Court for commencement of defence case. Subsequently on 27 April 2017, Gan filed an application under rule 137 of the Rules of the Federal Court 1995 to review and set aside the decision of the Federal Court on 15 March 2017. On 21 June 2017, Gan’s application was dismissed by the Federal Court. On the eve of the hearing of the defence case, Gan made another similar application under section 30 of the CJA before the Sessions Court but it was again unsuccessful. On 6 December 2017, Gan filed an appeal to the High Court and simultaneously filed a motion for revision to the High Court on 15 December 2017. On 15 January 2018, the High Court dismissed Gan’s motion for revision. On the very same day, Gan filed an appeal to the Court of Appeal. Gan’s appeal at the High Court was dismissed on 17 May 2018 after the Prosecution successfully raised preliminary objection. On 18 May 2018, the Court of Appeal allowed the Prosecution’s preliminary objection and dismissed Gan’s appeal. The Court of Appeal ordered for the defence case to commence. The defence case finally commenced in July 2018 and on 14 February 2020, the defence closed its case without calling any other witness. On 27 August 2020, Gan was convicted by the Sessions Court on the alternative charge. Gan was sentenced to a fine of RM2.5million (in default, 18 months’ imprisonment) and 1 day imprisonment. The SC has filed an appeal to the High Court against the sentence imposed by the Sessions Court, whilst Gan is appealing against the conviction and sentence. On 18 October 2021 the High Court struck out Gan’s appeal against conviction as he had failed to attend the hearing of his appeal. |
| 6. | Prohibited conduct of person in possession of inside information |
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Lim KC was charged with 11 charges under section 188(2)(a) of the CMSA for acquiring M3nergy Berhad (M3nergy) shares between 6 August 2008 to 11 September 2008 while in possession of inside information. Lim KC was the CEO and Director of Melewar Industry Group Berhad and was also a Director of M3nergy at the material time. The inside information was in relation to the proposed take-over offer by Melewar (BVI) Ltd (Melewar) to acquire M3nergy which was announced to Bursa Malaysia on 12 September 2008. The shares were acquired by Lim KC through trading accounts belonging to 2 other individuals. Tay HC was charged with 9 charges of abetting Lim KC in the commission of the offences under section 370(c) read together with section 188(2)(a) of the CMSA. Tay HC is one of the account holders of the trading account used by Lim KC to acquire the M3nergy shares. Tay is Lim KC’s brother-in-law. Theng BC was charged with 11 charges of abetting Lim KC in the commission of the offences under section 370(c) read together with section 188(2)(a) of the CMSA. Theng BC was the remisier who executed the trades of the M3nergy shares for Lim KC. |
Lim KC, Tay HC and Theng BC were charged in the Sessions Court on 24 November 2015. On 30 April 2018, the Sessions Court acquitted and discharged Lim KC, Tay HC and Theng BC without calling for their defence. On 3 May 2018, the Prosecution filed an appeal to the High Court against the acquittal. On 7 July 2020, the High Court allowed the appeal and set aside the order of acquittal and called for defence against all 3 accused persons. The defence case will be heard before the same Sessions Court judge. The charges against Lim KC, Tay HC and Theng BC were discontinued by the SC on 26 July 2021 following the entering of a consent judgment between the 3 Accused persons and the SC on 28 April 2021. The consent judgment details can be found here : |
| 7. |
Insider trading |
Sreesanthan A/L Eliathamby |
Sreesanthan was charged with seven counts of insider trading under section 188(2)(a) of the Capital Markets and Services Act (CMSA) and section 89E(2)(a) of the Securities Industry Act (SIA). He was alleged to have traded in the shares of four public listed companies while in possession of inside information relating to various corporate exercises, details of which are stated below:
VADS Berhad while in possession of VADS’s proposed privatisation. |
In one of criminal actions against Sreesanthan, he was charged on 20 July 2012 with 3 counts of insider trading under section 89E(2)(a) of the SIA for allegedly to have traded in the shares of Sime Darby Berhad while in possession of the proposed acquisition of companies within the Sime Darby, Guthrie and Golden Hope groups by Synergy Drive Sdn Bhd. On 11 January 2021, the Sessions Court acquitted and discharged Sreesanthan at the end of the prosecution case. On 22 January 2021, the Public Prosecutor filed an appeal against the decision of the Sessions Court to the High Court. |
| 8. | Insider Trading | Ewe Lay Peng |
On 29.3.2017, Ewe Lay Peng was charged contravention of section 188 CMSA relating to the proposed conditional take-over offer by OSPL Holdings Sdn Bhd (OHSB) to acquire all voting shares in PacificMas not already owned by OHSB. |
On 14 July 2021, the principal and alternative insider trading charges against Ewe Lay Peng were withdrawn. This was subsequent to the entering of a consent judgment in the civil Sessions Court with Ewe Lay Peng 24 May 2021. The consent judgment can be found here: |
| 9. | Insider Trading | Ramesh a/l Rajaratnam |
Ramesh was charged with 3 counts of insider trading under section 188(2)(a) of the Capital Markets and Services Act (CMSA). He is alleged to have disposed of 10,200,800 Malaysian Merchant Marine Bhd (MMM) shares on 11 January 2010, 19 February 2010 and 22 February 2010 while in possession of inside information relating to the following:
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Ramesh was charged on 29 April 2015 with three counts of insider trading. On 11 September 2019, the Sessions Court found Ramesh guilty on all counts. Ramesh was sentenced to 5 years imprisonment and a fine of RM3 million (in default 3 years imprisonment) for each charge. The jail terms to run concurrently. On 20 May 2021, the High Court allowed Ramesh’s appeal. The conviction and sentence were accordingly set aside. The Public Prosecutor has filed an appeal to the Court of Appeal against the High Court’s decision. |
| 10. | Abetting United U-Li Corporation Berhad (“U-Li”) in making a misleading statement to Bursa Malaysia. | Yue Chi Kin |
Yue Chi Kin (“Yue”) was charged under section 122B (b)(bb) read together with section 122C(c) of the Securities Industry Act 1983 for abetting U-Li in making a misleading statement to Bursa Malaysia in its Annual Report and Financial Statements for the financial year ended 31 December 2004. Yue was at the material time the audit partner of Messrs Roger Yue, Tan & Associates which audited U-Li’s financial results for its financial year ended 31 December 2004. |
Yue was charged at the Kuala Lumpur Sessions Court on 28 April 2009. On 9 January 2014, the Sessions Court ordered Yue to enter his defence to the charge. On 21 October 2015, the Sessions Court found Yue guilty under section 122B (b)(bb) read together with section 122C(c) of the Securities Industry Act 1983 and sentenced him to one year imprisonment and fine of RM400,000 (in default 6 months imprisonment). On 10 March 2019, the High Court allowed Yue’s appeal and set aside the Sessions Court’s conviction and sentence. The Public Prosecutor has filed an appeal to the Court of Appeal on 25 March 2019 against the High Court’s decision. On 19 April 2021, the Public Prosecutor withdrew its appeal at the Court of Appeal. |
| 11. | Insider trading | Fang Siew Yee |
Fang Siew Yee (Fang), former Executive Director of Three-A Resources Berhad (3A), was charged under section 188(3)(a) of the Capital Market and Services Act 2007 (CMSA) for having communicated material non-public information to one Fong Chiew Hean on 5 September 2009. The material non-public information was in relation to the collective venture between the businesses of 3A and Wilmar International Limited (Wilmar) which later materialized through a 20% private placement of the issued and paid-up share capital of 3A to Wilmar. |
Fang was charged on 25 October 2016. On 23 March 2021, Fang pleaded guilty to the charge. The Sessions Court convicted Fang and sentenced her to 1 day imprisonment and a fine of RM2.5 million. |
| 12. | Insider trading | Fang Siew Yee |
Fang Siew Yee (Fang), former Executive Director of Three-A Resources Berhad (3A), was charged with 8 counts of insider trading under section 188(2)(a) of the Capital Market and Services Act 2007 (CMSA) for acquiring 2,720,000 units of 3A shares between 27 August 2009 and 5 October 2009 while in possession of material non-public information. The material non-public information was in relation to the collective venture between the businesses of 3A and Wilmar International Limited (Wilmar) which later materialized through a 20% private placement of the issued and paid-up share capital of 3A to Wilmar. |
Fang was charged on 25 October 2016. On 23 March 2021, Fang pleaded guilty to all 8 charges. The Sessions Court convicted Fang on the 8 charges and sentenced her to 1 day imprisonment and a fine of RM2.5 million for the first charge. The remaining seven charges were taken into consideration by the Sessions Court under section 171A of the Criminal Procedure Code during sentencing. |
| 13. | Failng to appear before an Investigating Officer of the Securities Commission Malaysia in connection with an investigation | Ong Kar Kian |
Ong Kar Kian (“Ong”) was charged with 3 counts of offences under section 32(8)(a) of Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 (AMLATFPUAA) for failing to comply with Orders issued by an SC Investigating Officer in 2018. The Orders required him to attend before the Investigating Officer for examination relating to a money laundering investigation under section 32(3)(a) of (AMLATFPUAA). Ong who was the Group Accountant of Asia Media Group Berhad was required by the Public Prosecutor to assist in an ongoing investigation under the Capital Markets and Services Act 2007 and AMLATFPUAA. |
Ong was charged at the Kuala Lumpur Sessions Court on 19 February 2020.
In total, Ong is required to pay a fine of RM1,084,500. Ong’s imprisonment terms are to run concurrently. On 17 December 2020, Ong filed an appeal to the High Court against his sentence and conviction together with an application to stay the payment of his fine pending the results of his appeal. On 8 January 2021, the High Court rejected Ong’s stay application and directed him to pay the fine within 14 days of the decision. On 23 December 2021, the High Court affirmed Ong’s conviction and sentence on all 3 charges but set aside the daily fine of RM1,500 for the 673 days (amounting to RM1,009,500. On 5 January 2022, the AGC filed an appeal against the decision of the High Court setting aside the daily fine imposed by the Sessions Court.
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| No. | Nature of Offence | Offender(s) | Facts of Case | Date Charged |
| Criminal Prosecution Initiated – Person(s) Charged | ||||
| 1. | With intent to deceive furnished a false statement to Bursa Malaysia | Mohd Abdul Karim bin Abdullah | Mohd Abdul Karim bin Abdullah was charged with furnishing a false statement relating to the revenue of Serba Dinamik to Bursa Malaysia Securities Berhad. The charge which was preferred under section 369(a)(B) of the Capital Markets and Services Act 2007 (“CMSA”) was in relation to Serba Dinamik’s Quarterly Report on the Consolidated Results for the Quarter and Year Ended 31 December 2020. Mohd Karim, who at the time of the commission of the offence was a director of Serba Dinamik Holdings Berhad, is deemed to have committed an offence under section 369(a)(B) read together with section 367(1) of the Capital Markets and Services Act 2007 (Act 671), and punishable under section 369 of the same Act. | Mohd Karim was charged on 29 December 2021 at the Kuala Lumpur Session Court. |
| 2. | Falsification of records | Muhammad Hafiz bin Othman | Muhammad Hafiz bin Othman was charged for causing the books of Serba Dinamik Sdn Bhd, a related corporation to Serba Dinamik Holdings Berhad to be falsified. Muhammad Hafiz allegedly instructed the preparation of false documentations relating to the sales of Serba Dinamik Sdn Bhd wherein the information in the said false documentations were recorded in the accounting records of Serba Dinamik Sdn Bhd. The charge preferred was in relation to section 368(1)(b)(i) of the Capital Markets and Services Act 2007 (Act 671), and punishable under section 368(2) of the same Act. | Muhammad Hafiz bin Othman was charged on 29 December 2021 at the Shah Alam Session Court. |
| 3. | With intent to deceive furnished a false statement to Bursa Malaysia | Serba Dinamik Holdings Berhad (“Serba Dinamik”) | Serba Dinamik was charged with furnishing a false statement relating to the revenue of Serba Dinamik to Bursa Malaysia Securities Berhad. The charge which was preferred under section 369(a)(B) of the Capital Markets and Services Act 2007 (“CMSA”) was in relation to Serba Dinamik’s Quarterly Report on the Consolidated Results for the Quarter and Year Ended 31 December 2020. | Serba Dinamik was charged on 28 December 2021 at the Kualan Lumpur Session Court. |
| 4. | With intent to deceive furnished a false statement to Bursa Malaysia | Syed Nazim bin Syed Faisal | Syed Nazim bin Syed Faisal was charged with furnishing a false statement relating to the revenue of Serba Dinamik to Bursa Malaysia Securities Berhad. The charge which was preferred under section 369(a)(B) of the Capital Markets and Services Act 2007 (“CMSA”) was in relation to Serba Dinamik’s Quarterly Report on the Consolidated Results for the Quarter and Year Ended 31 December 2020. Syed Nazim, who at the time of the commission of the offence was a director of Serba Dinamik Holdings Berhad, is deemed to have committed an offence under section 369(a)(B) read together with section 367(1) of the Capital Markets and Services Act 2007 (Act 671), and punishable under section 369 of the same Act. | Syed Nazim bin Syed Faisal was charged on 28 December 2021 at the Kualan Lumpur Session Court. |
| 5. | With intent to deceive furnished a false statement to Bursa Malaysia | Azhan Bin Azmi | Azhan Bin Azmi was charged with furnishing a false statement relating to the revenue of Serba Dinamik to Bursa Malaysia Securities Berhad. The charge which was preferred under section 369(a)(B) of the Capital Markets and Services Act 2007 (“CMSA”) was in relation to Serba Dinamik’s Quarterly Report on the Consolidated Results for the Quarter and Year Ended 31 December 2020. Azhan bin Azmi, who at the time of the commission of the offence was an officer of Serba Dinamik Holdings Berhad, is deemed to have committed an offence under section 369(a)(B) read together with section 367(1) of the Capital Markets and Services Act 2007 (Act 671), and punishable under section 369 of the same Act. | Azhan Bin Azmi was charged on 28 December 2021 at the Kuala Lumpur Session Court. |
| 6. | With intent to deceive furnished a false statement to Bursa Malaysia | Muhammad Hafiz bin Othman | Muhammad Hafiz bin Othman was charged with furnishing a false statement relating to the revenue of Serba Dinamik to Bursa Malaysia Securities Berhad. The charge which was preferred under section 369(a)(B) of the Capital Markets and Services Act 2007 (“CMSA”) was in relation to Serba Dinamik’s Quarterly Report on the Consolidated Results for the Quarter and Year Ended 31 December 2020. Muhammad Hafiz, who at the time of the commission of the offence was an officer of Serba Dinamik Holdings Berhad, is deemed to have committed an offence under section 369(a)(B) read together with section 367(1) of the Capital Markets and Services Act 2007 (Act 671), and punishable under section 369 of the same Act. | Muhammad Hafiz bin Othman was charged on 28 December 2021 at the Kuala Lumpur Session Court. |
| 7. | Knowingly causes the furnishing of a false statement to Bursa Malaysia Securities Berhad | Ong Kar Kian | Ong Kar Kian was charged with one count of knowingly causing the furnishing of a false statement relating to the revenue of Asia Media Group Berhad (“Asia Media”) to Bursa Malaysia Securities Berhad. The charge which was preferred under section 369(b)(B) of the Capital Markets and Services Act 2007 (“CMSA”) read together with section 367(1) CMSA was in relation to a false statement contained in Asia Media’s ‘Quarterly report on consolidated results for the 4th quarter ended 31 December 2015’ | Ong Kar Kian was charged on 30 September 2021 at the Kuala Lumpur Sessions Court. |
| 8. | Holding out as a fund manager without a license. |
Uzir Bin Abdul Samad |
Uzir a former director of UAS Management Bistari Sdn Bhd was charged for committing an offence under section 58(1) of the Capital Markets and Services Act 2007 (CMSA) for holding himself out as a fund manager when he is not licensed by the Securities Commission to carry out the regulated activity of fund management. Uzir was also charged for committing two offences under section 362(3) of the CMSA for using the titles of “Fund Manager” and “Securities Commission Capital Market Services Representative’s Licence (CMSRL) holder” respectively, tending to create the belief that he was licensed to carry on the business of fund management. |
Uzir was charged on 24 March 2021 at the Johor Bahru Sessions Court. |
