New Silkroutes Group's former finance director gets 12 weeks' jail for manipulating company's stock price
Market makers are companies or individuals that constantly trade securities to keep a market liquid. While they can operate in the Singapore Stock Exchange, they are not allowed to manipulate share prices. The prosecution, led by Deputy Public Prosecutor Kevin Yong, said that between Feb 26, 2018 and Aug 27, 2018, the four men allegedly engaged in a conspiracy to create a misleading appearance of the price of New Silkroutes Group's securities.
To do so, the men would allegedly place orders and execute trades in New Silkroutes Group securities using the company's share buyback accounts, Goh Jin Hian's personal trading account and Huang's company trading account. DPP Yong told the court during the scheme, buy trades accounted for 28.78 per cent of total market volume. If not for their actions, the price of New Silkroutes Group securities would have closed lower on 22 trading days of the 31 days involved in the charges.The prosecution sought a 12-week jail term, noting that Teo played a"critical role" as the finance director of New Silkroutes Group.
The prosecution added that Teo was also"deeply involved in the specifics of the price manipulation and paid close attention to the trading in order to ensure its success".