Page 59 - SC SCAR 2023 ENGLISH Flipbook

PART 2 REGULATORY PERFORMANCE AND OUTCOMES
Highlights of the SC’s Successful Enforcement Cases
Former investment banker deceives 10 investors with non-existent securities
On 29 March 2023, the Sessions Court convicted Chua Yi Fuan (Charles) for one charge of securities fraud while taking into consideration another 16 charges for securities fraud, which were all offences under section 179(b) of the CMSA.
Charles pleaded guilty and was sentenced to a three year imprisonment term and was fined RM1 million where his failure to pay the fine will result in 12 months’ imprisonment.
The 17 charges of securities fraud that Charles faced were for deceiving 10 investors into believing that they were investing in purported investment schemes involving subscription of non-existent securities which caused 10 investors to suffer losses amounting to RM1,738,292.
Read more on media release ‘Former Investment Banker Jailed Three Years For Deceiving Investors’. https://www.sc.com.my/resources/media/media-release/ former-investment-banker-jailed-three-years-for- deceiving-investors
RM2.36 million disgorgement for insider trading
On 13 April 2023, the SC successfully proved its case in the civil suit against Toh Kai Fatt (Toh) for committing insider trading. The High Court ordered Toh to pay a sum of RM2.36 million being an amount equal to three times the profit made by him as a result of the insider trading, to pay the SC a civil penalty of RM250,000 and barred him from being a director of any PLC for a period of five years. Toh was also restrained from trading in any securities for a period of five years.
Read more on media release ‘SC Wins Insider Trading Civil Suit’. https://www.sc.com.my/resources/media/media-release/ sc-wins-insider-trading-civil-suit
Conviction and sentence for failure to appear before the SC’s Investigating Officer affirmed by the High Court and Court of Appeal
Amirruddin Nin
On 28 June 2023, the High Court affirmed the conviction and sentence of Amirruddin Nin (Amirruddin) on one charge under section 32(8)(a) of the AMLATFPUAA for failing to comply with written order to appear before an Investigating Officer of the SC in 2017. The High Court also affirmed the sentence of one day imprisonment and a fine of RM100,000 for the said charge. However, the High Court set aside the conviction and sentence for the second and third charges together with the daily fine of RM2,000 which was imposed by the Sessions Court.
The SC initially charged Amirruddin with three charges on 19 February 2020 at the Kuala Lumpur Sessions Court. After a full trial, the Sessions Court convicted Amirruddin on all three charges and sentenced him to one day imprisonment, RM100,000 fine for each of the three charges and also imposed a daily fine of RM2,000 for 979 days for the continuing offence.
Read more on the SC’s updates on criminal prosecution in 2023. https://www.sc.com.my/regulation/enforcement/ actions/criminal-prosecution/updates-on-criminal- prosecution-in-2023
Ong Kar Kian
On 11 September 2023, the Court of Appeal affirmed the conviction of Ong Kar Kian on three charges under section 32(8)(a) of the AMLATFPUAA for failing to comply with written orders to appear before an Investigating Officer of the SC in 2018. The Court of Appeal also affirmed the sentence of one day imprisonment and a fine of RM25,000 for each charges. However, the Court of Appeal affirmed the High Court’s decision to set aside the daily fine of RM1,500 which was imposed by the Sessions Court.
The SC had initially charged Ong Kar Kian with the three charges on 10 December 2020 at the Kuala Lumpur Sessions Court. At the end of the defense case the Sessions Court judge convicted Ong Kar Kian and imposed a one day imprisonment, RM25,000 fine for each charge and also imposed a daily fine of RM1,500 for 673 days for continuing offence. The total amount of fine imposed was RM1,084,500.
SECURITIES COMMISSION MALAYSIA ANNUAL REPORT 2023 57