SINGAPORE, Jan 11 — The regulator and operator of Singapore's stock market, the Singapore Exchange Group, is reviewing SPH Media’s circulation information, following news that the organisation inflated the circulation numbers of its publications by 10 to 12 per cent.
Strict rules relate to the timely release of material information so that investors can make informed decisions about buying shares. The deliberate release of inaccurate information that has a material impact on a company's share price is also covered by such laws.The Business Times While SPH Media did not state the period of time in which the circulation numbers were inflated, The Straits Times reported that an internal review was initiated in March last year.
“If there has been any deliberate act to mislead the market, there will not be a let up and appropriate action should be taken.”The whole matter of inflating circulation numbers is very serious, said Professor Mak Yuen Teen, professor of accounting at NUS Business School, who specialises in corporate governance.“It’s not just a matter of mistakes being made,” he said.
“For instance, the contracts specifically mentioned the circulation numbers, or set advertising prices specifically because of the circulation numbers,” said Prof Mak.