MAS slaps ban on 3 Singaporeans jailed for insider trading

Pedro Gonçalves
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MAS slaps ban on 3 Singaporeans jailed for insider trading

The Monetary Authority of Singapore (MAS) has issued 13-year and 15-year prohibition orders (POs) against three traders who were earlier convicted of insider trading for running an illegal share trading scheme that netted them more than S$2m each.

E Seck Peng Simon and Leong Chee Wai are banned from performing any regulated activity under the Securities and Futures Act (SFA) for 15 years, MAS said. Toh Chew Leong was given a ban of 13 years.

They are also banned from taking part in the management, acting as a director or becoming a substantial shareholder of any capital market services firm under the SFA.

The three individuals had engaged in a front-running arrangement over a period of seven years and colluded to misuse confidential information obtained in the course of their work for personal gain"

All three prohibition orders took effect from Aug 13.

MAS said the three men had colluded to misuse confidential information obtained in the course of their work for personal gain, when they were representatives of capital market services licence-holders.

"The three individuals had engaged in a front-running arrangement over a period of seven years and colluded to misuse confidential information obtained in the course of their work for personal gain," MASsaid.

Front-running refers to a broker using advance information of pending share orders to place buy or sell trades through his personal account with the aim of benefitting once the stock price moves.

The three men were representatives of Capital Market Services Licence holders when they committed the offences.

E was a remisier with UOB Kay Hian from February 2002 to Oct 1, 2014. His university schoolmate, Leong, was a senior equity dealer with First State Investments Singapore (FSIS) from Dec 28, 2002 to May 16, 2014. 

Toh was also a senior equity dealer with FSIS, from Jul 2004 to May 16, 2014. 

Last month, Leong, E and Toh were convicted of insider trading offences and sentenced to 36 months, 30 months and 20 months imprisonment respectively.

 

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