SFC commences Market Misconduct Tribunal proceedings over alleged insider dealing in Meadville Holdings Limited shares

16 Sep 2019



The Securities and Futures Commission (SFC) has commenced proceedings in the Market Misconduct Tribunal (MMT) against Mr Tom Tang Chung Yen, the former chairman and an executive director of Meadville Holdings Limited (Meadville), and Ms Li Yik Shuen, for alleged insider dealing in Meadville shares in 2009 (Notes 1 & 2).

The SFC alleges that Tang had tipped off Li about a proposed sale of Meadville’s principal businesses and Li went on to purchase Meadville shares before Meadville issued an announcement on 16 November 2009 regarding the sale of its core printed circuit board and laminate businesses as well as the distribution of a special dividend.

Li bought a total of over two million Meadville shares over three consecutive trading days and disposed of her entire shareholding in Meadville when trading of its shares resumed on 17 November 2009 and rose more than 40 per cent (Note 3).

The SFC seeks, among other things, orders for Li to disgorge $546,817, which was the profit she made from disposing of the Meadville shares.

End

Notes:

  1. Meadville was listed on the Main Board of the Stock Exchange of Hong Kong Limited on 2 February 2007 and was delisted on 19 April 2010.
  2. The Notice to the MMT which contains the statement setting out the grounds for commencing the MMT proceedings is available on the MMT’s website (www.mmt.gov.hk).
  3. Trading in Meadville shares was suspended in the afternoon of 30 October 2009.


Page last updated : 16 Sep 2019