INSIDER TRADING: 2 CHARGED

Ex-Aseambankers equity markets head, wife illegally profited from RBH deal, says SC

THE Securities Commission Malaysia (SC) yesterday charged Goh Keng Huat, formerly head of equity markets at Aseambankers Malaysia Bhd (now known as Maybank Investment Bank Bhd) and his wife, Wee Siew Ling, for insider trading.

Both Goh and Wee were arrested in Singapore on Sunday with the assistance of the police and their Singapore counterparts.

Goh was charged at the Kuala Lumpur Sessions Court for acquiring 851,600 units of Road Builder Holdings (M) Bhd (RBH) shares while in possession of material, non-public information between September 4, 2006 and October 16, 2006.

Goh, who faces 10 charges under section 89E(2)(a) of the Securities Industry Act 1983, was alleged to have acquired the RBH shares via trading accounts belonging to Wee.

SC has also filed charges against Wee for abetting Goh by allowing her accounts to be used for the purpose of acquiring the said shares.

Both claimed trial against all charges and were granted bail of RM500,000 with two sureties.

The case has been fixed for mention on December 6.

SC alleged that the non-public information referred to in the charges against Goh and Wee was to the proposed acquisition of all assets and liabilities of RBH by IJM Corporation Bhd at a total indicative purchase price of approximately RM1.56 billion.

Insider trading is punishable with imprisonment of up to 10 years and a fine of not less than RM1 million.

A person who abets another individual in the commission of the offence is liable to face the same punishment.