MAS: Two CIMB Trading Representatives Penalized for False Trading
MAS (Monetary Authority of Singapore) has penalised two former CIMB Securities (Singapore) trading representatives for false trading in the shares of SGX-listed energy services provider KS Energy Ltd.
In a notice, MAS said the two former representatives – Ms Ngin Kim Choo and Mr Yeo Jin Lui – executed a client's instructions to purchase KS Energy shares for the purpose of creating a false or misleading appearance with respect to the price of the stock.
Ngin and Yeo managed a CIMB trading account for Mr Kris Wiluan, who was convicted for three charges of false trading and fined SGD 480,000 in May 2021. Wiluan was the CEO and chairman of KS Energy. He was first charged in August 2020 for rigging the market on 112 trading days between December 2014 and September 2016.
MAS says Wiluan's instructions to conduct false trades were conveyed to Ngin and Yeo, who had the discretion to manage and advise on the execution of trades. Ngin traded KSE shares on 29 occasions and Yeo on 7 occasions, inflating the traded price of KSE shares.
Without court action, Ngin has paid civil penalties of SGD 100,000 and received a five-year prohibition order. Yeo paid SGD 50,000 and received a four-year prohibition order.
The prohibition orders prevent both from performing any regulated activity or from taking part in the management of, acting as a director of, or becoming a substantial shareholder of a holder of any capital markets services firm under the Securities and Futures Act or any financial advisory firm under the Financial Advisers Act.
"Trading representatives must play their part in helping to safeguard market integrity," said MAS assistant managing director Ms Loo Siew Yee. "It is unacceptable for trading representatives to knowingly facilitate market misconduct."
"The civil penalties and prohibition orders against the two individuals reflect MAS' firm resolve to stamp out such conduct."
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