Court of Appeal affirms Sessions Court sentence for manipulating Suremax shares.
PETALING JAYA: The Court of Appeal today unanimously upheld convictions against two former company directors for market manipulation.
It held Phillip Wong Chee Kheong, 54, and Francis Bun Lit Chun, 46, former directors of the Impetus Group of Companies, were responsible for manipulating Suremax Group Berhad shares over a period of four months.
The manipulation between November 2004 and March 2005, resulted in charges being brought by the Securities Commission Malaysia (SC) in October the same year.
The Sessions Court convicted Wong and Bun in 2011 after hearing 38 prosecution witnesses.
Today, the President of the Court of Appeal Justice Md Raus Shariff, together with Court of Appeal Justice Hamid Sultan Abu Backer and Justice Idrus Harun, affirmed the convictions and sentences that were meted out by the Sessions Court.
As a result, Wong was jailed for two years and fined RM3 million while Bun was jailed for three months and fined RM2 million. The jail sentences commenced today.
In persuading the Court of Appeal to consider the gravity of the offence committed, the SC’s prosecution team highlighted that market manipulation was not a victimless offence.
Many account holders whose accounts were used in this manipulation, suffered millions of ringgit in losses.
The manipulation committed in this case had the effect of increasing the price of Suremax shares by 77% in a span of four months, the Securities Commission Malaysia said in a statement today.