MAS takes action against former Maybank relationship manager for insider trading

Former relationship manager at Maybank Singapore branch pays S$50,000 penalty for insider trading.

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MAS takes action against former Maybank relationship manager for insider trading

Former relationship manager at Maybank Singapore branch pays S$50,000 penalty for insider trading.

20 May 2014

The Monetary Authority of Singapore (MAS) has taken civil penalty action against Koh Huat Heng for insider trading.

Koh was a relationship manager and a team head in the Affluent Banking Unit of Malayan Banking Singapore branch (Maybank).

On 18 June last year, Koh purchased 140,000 shares in SGX-listed Sin Heng Machinery.

This, while he was holding on to non-public and price-sensitive information concerning Sin Heng’s planned rights issue.

The company subsequently announced a rights issue of up to 114.8 million shares at 16 cents each on June 23, 2013.

Koh has paid MAS a civil penalty of S$50,000 for contravening the Securities & Futures Act.

He is also prohibited from providing any financial advisory service or becoming a substantial shareholder of a licensed financial adviser for three years.

MAS Assistant Managing Director (Capital Markets), Mr Lee Boon Ngiap said: “MAS expects a person who has been appointed as a representative of a financial adviser to act honestly and with integrity, especially in relation to the information that he obtains in the course of his work. To maintain the public’s confidence in our financial services sector, we will take firm action against any representative who fails to do so.”

A civil penalty action is not a criminal action and does not attract criminal sanctions. The regime, which became operational in 2004, aims to provide a nuanced approach to combat market misconduct.
- CNA/do

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