SC charges 3A founder and five oth­ers with in­sider trad­ing

The Sun (Malaysia) - - SUNBIZ -

PETAL­ING JAYA: The Se­cu­ri­ties Com­mis­sion Malaysia (SC) charged Three-A Re­sources Bhd (3A) founder and man­ag­ing di­rec­tor Fang Chew Ham and five oth­ers with in­sider trad­ing, for trad­ing in the com­pany shares while in pos­ses­sion of ma­te­rial non-pub­lic in­for­ma­tion.

The ma­te­rial non-pub­lic in­for­ma­tion refers to the col­lec­tive ven­ture be­tween the busi­nesses of 3A and Wil­mar In­ter­na­tional Lim­ited (Wil­mar), which later ma­te­ri­alised through a 20% pri­vate place­ment of the is­sued and paid-up share cap­i­tal of 3A to Wil­mar. The said in­for­ma­tion was an­nounced to Bursa Malaysia on Oct 5, 2009.

Chew Ham, 69, to­gether with his daugh­ter and 3A ex­ec­u­tive di­rec­tor Fang Siew Yee, 36, were charged for com­mu­ni­cat­ing ma­te­rial non-pub­lic in­for­ma­tion to his brother and nonex­ec­u­tive di­rec­tor Fong Chiew Hean, prior to the an­nounce­ment, on Sept 5, 2009.

Fong was also charged for nine counts of in­sider trad­ing. He had ac­quired 891,000 units of 3A shares be­tween Sept 7 and Oct 5, 2009 through two ac­counts at PM Se­cu­ri­ties Sdn Bhd.

Chew Ham, Siew Yee and Fong all claimed trial. Kuala Lumpur ses­sions court judge Tuan Mat Ghani Ab­dul­lah fixed bail at RM250,000 for Fong, while bail for Chew Ham and Siew Yee were fixed at RM200,000. All three were or­dered to sur­ren­der their pass­ports to the court.

In a sep­a­rate pro­ceed­ing, the SC also charged Siew Yee un­der Sec­tion 188(2)(a) of the Cap­i­tal Mar­kets and Ser­vices Act (CMSA) for ac­quir­ing 2.72 mil­lion units of 3A shares. The of­fence is said to have been com­mit­ted be­tween Aug 27, 2009 and Oct 5, 2009.

“Siew Yee, who faces a to­tal of eight charges, is said to have ac­quired 3A shares through the ac­count of Tan Bee Geok, 62. Tan to­gether with Chew Ham and two OSK In­vest­ment Bank Bhd deal­ers at the ma­te­rial time, Chew Lian Foon, 38, and Ong Kok Aun, 55, were charged for abet­ting Siew Yee in the com­mis­sion of the of­fences un­der sec­tion 370(c) CMSA,” it said. All five claimed trial.

Siew Yee was granted bail of RM250,000 while Chew Ham, Tan, Chew and Ong were each granted bail of RM150,000. They were also or­dered to sur­ren­der their pass­ports ex­cept for Tan, who did not own one.

The of­fences are pun­ish­able with a jail term of not more than 10 years and a fine of not less than RM1 mil­lion.

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