Former Alpha Energy Director Fined S$137,000 by MAS for Insider Trading

The Monetary Authority of Singapore (MAS) has imposed a civil penalty of S$137,000 on Mr Ang Yew Jin Eugene, a former non-executive director of Alpha Energy Holdings Limited (AEHL), for insider trading.

The case relates to an announcement on November 18, 2019, that an AEHL creditor had demanded the immediate payment of US$64 million following a loan default. This sum represented approximately ten times the value of the group's current assets as of June 30, 2019. AEHL's shares were suspended from trading immediately after the announcement.

MAS stated that Mr Ang was aware of the group's failure to make the repayment and knew the creditor had the right to demand the full principal sum.

On November 13, 2019, while in possession of this non-public, material information, Mr Ang sold 2,413,300 AEHL shares held in his parents' trading accounts. According to MAS, this action allowed his parents to avoid losses of approximately S$54,900.

Mr Ang admitted to contravening the insider trading provision under the Securities and Futures Act and has paid the civil penalty without court action. He also provided a voluntary undertaking not to be a director or be involved in the management of a company for a two-year period.

The action resulted from a joint investigation by the MAS and the Commercial Affairs Department of the SPF, which was initiated after a referral from the Singapore Exchange Regulation Private Limited.