2 remisiers jailed for aiding in market rigging of Koyo shares

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Goh, 35, was convicted on two counts of aiding to execute the illegal trades after he pleaded guilty, with three other similar charges taken into consideration for sentencing purpose.

He was initially alerted to the scheme after his firm’s compliance department flagged suspicious trades in a trading account. Instead of disengaging from the scheme and reporting its existence to the authorities, Goh agreed to be a party to the scheme by placing orders using four accounts opened by his clients allegedly on Lin's instructions.

Deputy public prosecutor Suhas Malhotra, in pressing for imprisonment for the duo, argued that 53 accounts at eight brokerages were used in the manipulation of Koyo shares. He commented:"The market for Koyo shares was severely distorted. By the end of the scheme, the market bore no connection to genuine forces of supply and demand for Koyo shares."

He noted that Koyo share price increased from a low of 16 Singapore cents on Aug 12, 2014, to a high of 40 cents on Jan 7, 2016 and a week later on Jan 14. The counter was given a trade with caution warning by the Singapore Exchange on Jan 15 - a Saturday - and the price crashed from a previous close of 34 cents to 5.6 cents on the following Monday.Mr Foo had in 2016 disputed the allegations of market rigging when he was assisting the authorities in investigations.

 

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