Bursa reprimands, fines and suspends dealer rep
PETALING JAYA: Bursa Malaysia has publicly reprimanded, fined and suspended/restricted Chiang May Lin for engaging in manipulative dealing activities in the securities of 12 counters.
The regulator said in a statement yesterday that it imposed a fine of RM85,000 and suspended/ restricted Chiang for six months as/ from being a registered person of Bursa Malaysia.
The 12 counters are Land & General Bhd, TA Enterprise Bhd, Kumpulan Fima Bhd, IJM Plantations Bhd, DRB-Hicom Bhd, TDM Bhd, Ivory Properties Group Bhd, MK Land Holdings Bhd, TA Global Bhd, Eastern & Oriental Bhd, Seal Incorporated Bhd and Oriental Holdings Bhd.
In addition, Chiang is required to undergo training on conduct or professionalism of Dealer’s Representatives (DRs)/market offences (Mandatory Training).
Chiang had engaged in false market/manipulative activities in the 12 counters through the execution of on-market cross trades in the accounts of her two clients who are related to her on/ by the settlement dates or on T+4.
“These cross trades that constituted a significant portion of the shares of the 12 counters bought and sold by Chiang’s two clients’ were carried out to facilitate the rollover of trades or passing on the shares to each other and prolong the holding period for the securities acquired/ traded by her two clients,” it said.
By engaging in these cross trading activities, Chiang had entered in close proximity of time her two clients’ opposing corresponding orders, at the price and quantity that took up each other’s orders and caused the trades carried out on-market in her two clients’ accounts not to be subject to natural market forces of supply and demand by deliberately matching the opposing orders.
It also enabled the selling by her two clients to be done at the price levels dictated by her/her two clients and thus, created a false or misleading appearance as to the market for/price of the shares for the 12 counters.
Artist’s impression of EkoGateway @ KL River City.