Mohd Raffique and Ariffin were charged in 2002 for committing an offence under section 84(1) of the Securities Industry Act 1983 (Act 280) for their involvement in the purchases of Actacorp Holdings Berhad warrant (Acta-warrant) on the Kuala Lumpur Stock Exchange (now Bursa Malaysia Berhad). These purchases were intended to increase the price of Acta-warrant during the material period.

The charge alleged that both Mohd Raffique and Ariffin have instructed Halim Ahmad, a dealer’s representative in Mayban Securities Sendirian Berhad to purchase Acta-warrants from 4 to 23 December 1997. The purchases of the Acta-warrants were executed via a trading account of Setron (Malaysia) Berhad and PSC Industries Berhad respectively.

In the course of the trial, the prosecution had called 18 witnesses to establish its case against the two accused. The trial is now fixed for the defence’s case from 19 to 22 February 2008, 26 to 29 February 2008 and 25 to 26 March 2008.

In 2003, the SC secured its first criminal conviction for market manipulation, which notably also involved Acta-warrants. Puniyamurthi a/l Perianan was charged for manipulating the price of Acta-warrants by actively purchasing the warrants in September 1997 and December 1997. Puniyamurti pleaded guilty and was fined RM3 million.