SINGAPORE - The State Court of Singapore has doled out hefty fines at two individuals over unauthorised share trading, the result of a civil penalty action launched by the Monetary Authority of Singapore (MAS) in 2013.
Mr Wang Boon Heng and Ms Foo Jee Chin were fined $75,000 and $50,000 respectively, by the Court judgment out on March 8. They will also pay the $58,636.23 for the legal costs.
"This civil penalty action reflects MAS' firm stance against unauthorised trading, which is a deception against broking firms that are unaware of the beneficial owner behind the trades," the central bank's assistant managing director for capital markets Lee Boon Ngiap said.
Mr Wang was found to have carried out share trading for his own benefits in accounts opened in Ms Foo's name with DMG & Partners and UOB Kay Hian, between September and December 2007.
This was deemed a breach of Securities and Futures Act section 201(b), which prohibits fraudulent share trading, because the broking firms did not authorise or give consent to Mr Wang's actions.
By allowing Mr Wang to trade in her accounts without the broker firms' authorisation or consent, Ms Foo was also deemed to have intentionally deceived the broking firms.
"Such behaviours carry regulatory risks as perpetrators of insider trading and market manipulation often hide behind nominee accounts," Mr Lee said.