In its decision, the Court of Appeal panel comprising Justices YA Dato’ Che Mohd. Ruzima bin Ghazali, YA Dato’ Azmi bin Ariffin and YA Datuk Hayatul Akmal binti Abdul Aziz, held that the apex court has always been cautious in exercising the power of review of its earlier decision, and that the review powers of the court may only be exercised in exceptional circumstances. The panel found that the high threshold for leave to review the prior decision of the Court of Appeal had not been met in Ramesh’s application.

On 6 May 2024, a previous Court of Appeal panel comprising Justices YA Datuk Vazeer Alam Mydin Meera (now a Federal Court Judge), YA Dato’ Ahmad Zaidi Ibrahim, and YA Datuk Wong Kian Kheong had allowed the Securities Commission Malaysia’s (SC) appeal and set aside a 2021 High Court decision that acquitted Ramesh of insider trading.

The Court of Appeal ruled that the High Court had erred in acquitting Ramesh without considering the merits of the case, and as such reinstated the conviction and sentence imposed by the Sessions Court and remitted the case to the High Court to be reheard on its merits.

Ramesh was first charged at the Kuala Lumpur Sessions Court on 29 April 2015 with three counts of insider trading under Section 188(2)(a) of the Capital Markets and Services Act 2007 (CMSA).

Following a full trial, he was found guilty and sentenced to five years’ imprisonment and a fine of RM3 million (in default three years imprisonment) for each charge. Ramesh subsequently appealed to the High Court and was granted a stay of execution pending the appeal.

On 20 May 2021, Judicial Commissioner YA Dato’ Azhar Abdul Hamid set aside Ramesh’s conviction and sentence on all three charges, on the grounds that the Sessions Court judge had committed judicial copying, without hearing the merits of the case.

The SC, with the consent of the Public Prosecutor, appealed to the Court of Appeal against the acquittal in respect of the first charge only.

The rehearing of Ramesh’s appeal on its merits has been fixed before the High Court on 20 August 2025.

Insider trading is a serious offence that undermines the integrity of the capital market and erodes investor confidence. The SC’s continuous enforcement demonstrates its commitment to addressing misconduct and abuses affecting the integrity of the capital markets.