KUALA LUMPUR: The Court of Appeal has affirmed the High Court’s decision in November 2020 which found that Datuk Sreesanthan Eliathamby had engaged in insider trading of Worldwide Holdings Bhd (Worldwide) shares in 2006.
Securities Commission Malaysia (SC), in a statement said, in dismissing Sreesanthan’s appeal, the Court of Appeal unanimously found no merits in the appeal and affirmed the judgment of the High Court and ordered Sreesanthan to pay costs of RM50,000 to the SC.
The judgment of the High Court had ordered Sreesanthan to pay the SC RM1.99 million, which was three times the profits gained as a result of the insider trading.
In addition, he was ordered to pay to the SC, a civil penalty of RM1 million and barred from being a director of any listed company for 10 years starting from Nov 18, 2020.
Sreesanthan acquired a total of 600,000 Worldwide shares between June 7 and July 11, 2006 while in possession of material non-public information relating to the proposed privatisation of Worldwide by the Selangor State Development Corporation.
At the material time, Sreesanthan was a senior partner of a law firm engaged to act as the legal adviser of the proposed privatisation of Worldwide. – Bernama
