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.

On 10 December 2020, the Sessions Court convicted Ong on all 3 charges and sentenced him to:

• A fine of RM75,000 (being RM25,000 per charge with 3 months imprisonment in default for each charge) and 1 day imprisonment per charge; and
• A daily fine of RM1,500 for the 673 days he had failed to appear before an Investigating Officer of the Securities Commission as required amounting to RM1,009,500 (7 months imprisonment in default).

In total, Ong was required to pay a fine of RM1,084,500. Ong’s imprisonment terms were to run concurrently. Ong subsequently filed an appeal against the decision of the High Court.

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 673 days (amounting to RM1,009,500).

Ong filed an appeal to the Court of Appeal (“COA”) against the decision of the High Court whilst the Public Prosecutor(“PP)/SC filed an appeal to the COA against the High Court’s order in setting aside the daily fine.

On 11 September 2023, the COA dismissed both appeals and affirmed the High Court’s decision. As a result, Ong’s conviction and sentence on all 3 charges remains undisturbed. Similarly, the High Court’s decision to set aside the daily fine has been maintained.  

1. Norhamzah Bin Nordin
2. Mohd Azham Bin Mohd Noor
3. Lim Hai Loon

Norhamzah was at the material time the Group Managing Director while Mohd Azham was an executive director of Kosmo Technology Industrial Berhad (“Kosmo Tech”).

Both Norhamzah and Mohd Azham were charged under section 122B(a)(bb) read together with section 122(1) of the Securities Industry Act 1983 and section 369(a)(B) read together with section 367(1) of the Capital Markets & Services Act 2007 for furnishing false statements to Bursa Malaysia Securities Berhad in relation to Kosmo Tech’s eight quarterly reports on the unaudited consolidated results for the financial years 2006 and 2007.

Lim Hai Loon, the Accounts Manager of Kosmo Tech at the material time was charged for abetting Kosmo Tech in furnishing the false statements to Bursa Malaysia Berhad in relation to Kosmo Tech’s eight quarterly reports on the unaudited consolidated results for the financial years 2006 and 2007.

Sessions Court
Both Mohd Azham and Lim Hai Loon were charged at the Kuala Lumpur Sessions Court on 26 May 2011.

Norhamzah was charged at the Kuala Lumpur Sessions Court on 7 June 2011.

On 23 September 2016, all three accused persons were acquitted and discharged by the Sessions Court at the end of the prosecution’s case.

The SC then filed an appeal to the High Court against the decision of the Sessions Court. On 30 May 2018, the High Court allowed the Prosecution’s appeal and set aside the Sessions Court decision and ordered all 3 Accused persons to enter their defence and for the matter to be heard before the same Sessions Court Judge.
The defence case commenced on 13 August 2018.

On 29 April 2019, the Sessions Court convicted Norhamzah, Mohd Azham and Lim Hai Loon and sentenced them as follows:

Norhamzah and Mohd Azham:

• 1st to 3rd charges: a fine of RM150,000 (in default 2 months jail) and 3 months imprisonment per charge.
• 4th and 5th charges: a fine of RM200,000 (in default 4 months jail) and 10 months imprisonment per charge.
• 6th and 7th charges: a fine of RM200,000 (in default 4 months jail) and 1 year imprisonment per charge.
• 8th charge: a fine of RM200,000 (in default 4 months jail) and 2 years imprisonment.
  

The judge ordered for Norhamzah’s and Mohd Azham’s jail terms to run concurrently, as such they were sentenced to a total imprisonment of 2 years and a fine of RM1.45 million respectively.

Lim Hai Loon:

• 1st and 2nd charges: a fine of RM100,000 (in default 1 month jail) and 4 months imprisonment per charge.
• 3rd to 5th charges: a fine of RM120,000 (in default 2 months jail) and 4 months imprisonment per charge.
• 6th and 7th charges: 10 months imprisonment per charge.
• 8th charge – 1 year imprisonment.

Lim Hai Loon’s jail terms were ordered to run concurrently, as such she was sentenced to a total imprisonment of 1 year and a fine of RM560,000.

The Sessions Court Judge allowed a stay of the jail terms pending the Accused persons’ respective appeals to the High Court.

High Court

On 2 December 2020, High Court allowed the Appellants’ (Accused persons) appeal and set aside their respective convictions and sentences passed by the Sessions Court.

Court of Appeal
On 15 December 2020, the Attorney-General’s Chambers (“AGC”) filed an appeal to the Court of Appeal against the High Court’s decision.

On 18 August 2023, the AGC withdrew the appeal to the Court of Appeal following a representation by the Respondents (Accused persons).

Abetting one Toh Chun Toh Gordon to engage in an act which operates as a fraud in connection with the purchase of securities (Principal Charge)

Abul Hasan, the director of Multi-code at the material time, was charged with abetting Toh Chun Toh Gordon in engaging in an act which operated as a fraud on Multi-code, in utilizing RM17.6 million of its funds to finance the purchase of 11.1 million Multi-code shares. Abul Hasan also faced an alternative charge of committing criminal breach of trust involving RM26 million of Multi-code’s funds.

On 13 March 2009, Abul Hasan was charged together with Toh Chun Toh Gordon (Gordon).

On 22 September 2011, the Sessions Court Judge convicted both Abul Hasan and Gordon of committing criminal breach of trust under section 409 of the Penal Code. Abul Hasan was sentenced to 6 years’ imprisonment while Gordon was sentenced to 12 years’ imprisonment and also a fine of RM1 million.

Abul Hasan and Gordon filed an appeal to the High Court against the conviction and sentence. The appeal by Gordon has since abated upon his demise on 27 August 2012.

On 29 September 2020, the High Court allowed Abul’s appeal and set aside the conviction and sentence on jurisdictional grounds. On 2 October 2020, an appeal to the Court of Appeal was filed against the acquittal and discharge of Abul by the AGC.

The AGC and SC jointly conducted the appeal hearing at the Court of Appeal on 27 May 2022. On 20 July 2022, the Court of Appeal unanimously allowed the appeal and set aside the decision of the High Court. The Court of Appeal further remitted the case to the High Court for the merits of the case to be heard before another High Court judge.

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).

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 on 21 June 2011, 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. Consequently, the trial was stayed pending determination by the Federal Court.

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.

After the matter was remitted back to the Sessions Court by the Federal Court, Gan made another similar application under section 30 of the CJA before the Sessions Court, but it was dismissed by the trial court.

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 a 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 on 27 July 2018 with Gan taking the stand. On14 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 RM2.5 million (in default, 18 months’imprisonment) and 1 day imprisonment.

The SC filed an appeal to the High Court against the sentence imposed by the Sessions Court, whilst Gan appealed against both the conviction and sentence.

On 18 October 2021, Gan’s appeal against his conviction was struck out by the High Court as Gan had failed to attend the hearing of his appeal.

On 25 January 2022, the High Court proceeded to hear the SC’s appeal against sentence in Gan’s absence as the court was satisfied that the SC’s Notice of Appeal was served on Gan as Gan’s counsel had attended the case management on two occasions before the counsel discharged himself.

Amirruddin bin Nin (“Amirruddin”) 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 2017 and 2018. The Orders required him to attend before the Investigating Officer for examination relating to a money laundering investigation pursuant to section 32(3)(a) of AMLATFPUAA

Amirruddin was charged at the Kuala Lumpur Sessions Court on 19 February 2020. After a full trial, on 14 July 2022, the Sessions Court convicted Amirruddin on all 3 charges and sentenced him as follows:

• A fine of RM100,000 and 1 day imprisonment for each of the 3 charges (in default of fine, 6 months imprisonment);
• Imprisonment term for all 3 charges to run concurrently; and
• A daily fine of RM2,000 for the 979 days he had failed to appear before an Investigating Officer of the Securities Commission as required which amounts to RM1,958,000 (12 months imprisonment in default).

In total, Amirruddin was required to pay a fine of RM2,258,000.

Following the decision of the Sessions Court, Amirruddin filed an appeal against his conviction and sentence to the High Court. On 28 June 2023, the High Court ordered as follows:

• Conviction and sentence for the first charge is maintained;
• Conviction and sentence for the second and third charges are set aside; and
• Daily fine of RM2,000 for 979 days, which amounts to RM1,958,000 is set aside.

Charles Chua, formerly Vice President of Debt Markets at Hong Leong Investment Bank Berhad, was charged with 17 counts of securities fraud under section 179(b) of the Capital Markets and Services Act 2007 (“CMSA”).

He is alleged to have deceived 10 individuals who suffered losses amounting to RM1,738,292 between July 2017 and May 2019. The monies were deposited by the investors into Charles’ banking accounts upon his representation in relation to purported investment schemes involving the subscription of securities, when in fact such schemes did not exist.

Charles Chua was charged in the Kuala Lumpur and Melaka Sessions Courts with a total of 17 charges under section 179(b) of the CMSA.

On 16 June 2022, he faced 4 charges in 2 separate courts at the Kuala Lumpur Sessions Court. On 24 June 2022, he faced a further 13 charges in 2 separate courts in the Melaka Sessions Court. The charges at the Melaka Sessions Courts were subsequently transferred to the Kuala Lumpur Sessions Court on 18 August 2022.
On 29 March 2023, Charles Chua pleaded guilty to 1 charge whilst the remaining 16 charges were taken into consideration by the Sessions Court during sentencing under section 171A of the Criminal Procedure Code.

Following Charles Chua’s guilty plea, the Sessions Court convicted him and sentenced him to three years imprisonment and a fine of RM1 million (in default of the fine, to be imposed with 12 months imprisonment). The Court ordered for the imprisonment term to run from Charles Chua’s date of arrest, which was on 15 June 2022.

Market manipulation

Low Thiam Hock

Low, former Executive Chairman of Repco Holdings Berhad (“Repco”), was charged for manipulating the price of Repco shares under section 84(1) of the Securities Industry Act (‘SIA’) 1983

On 11 January 2016, after a full trial, the Sessions Court convicted Low of market manipulation under section 84(1) of the Securities Industry Act 1983. On 29 February 2016, Low was sentenced to 5 years imprisonment and a fine of RM5 million (in default 5 years imprisonment). Low filed an appeal to the High Court against his conviction and sentence.

On 17 February 2023, the High Court dismissed Low’s appeal against conviction and affirmed the finding of guilt by the Sessions Court.

The High Court however allowed Low’s appeal against sentence in part, whereby the court reduced the sentence of imprisonment from five years to one year but maintained the fine of RM5 million handed down by the Sessions Court in 2016.

Following the judgment, the High Court further granted a stay of execution of the sentence of both the imprisonment term and fine pending the disposal of Low’s appeal to the Court of Appeal. The Prosecution has also filed an appeal to the Court of Appeal against the High Court's decision in reducing the imprisonment term.

Background
Low was charged on 18 September 1999. At the end of the Prosecution’s case during which 25 witnesses were called, the Sessions Court acquitted Low on the basis that the charge was not proven. The Securities Commission (“SC”) then appealed to the High Court which affirmed the Sessions Court’s decision. On further appeal by the SC, the Court of Appeal on 28 February 2013 overturned the decision of the High Court and ordered Low to enter his defence on the charge against him, and remitted the case to the Sessions Court for the defence case to be heard. The defence case commenced on 18 October 2013.