MAS issues prohibition orders to 3 traders jailed for insider trading

MAS issues prohibition orders to 3 traders jailed for insider trading

File photo of the logo of the Monetary Authority of Singapore at its building in Singapore

SINGAPORE: Three traders who were earlier convicted of insider trading have been given prohibition orders by the Monetary Authority of Singapore (MAS).

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 in a media release on Wednesday (Aug 14).

Toh Chew Leong was given a ban of 13 years.

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

All three prohibition orders took effect from Tuesday.

"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," said MAS.

READ: 3 traders jailed after making more than S$8 million from insider trading

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. 

Leong, E and Toh were convicted of insider trading offences and sentenced to three years, two-and-a-half years and one year and eight months imprisonment respectively.

This is the first case in Singapore of front-running prosecuted as an insider trading offence, which carries a more severe penalty.

Source: CNA/co(hm)