Four sentenced for shares offences

Hong Kong: A court sentenced four people to up to 30 months in prison for manipulating the market in shares of Asia Standard Hotel Group Ltd. in 2005.

Chan Chin Yuen, a garment factory owner, was sentenced to 30 months; his brother Chan Chin Tat, sister-in-law Elaine Au Yeung Man Chun and Chui Siu Fung all were handed 26 month sentences by Deputy Judge Johnny Chan. He also ordered them to pay the prosecution’s costs of HK$288,400 (€24,800) each.

The four were convicted of trading shares among themselves to mislead investors about the depth and liquidity of Asia Standard Hotel stock.

The case is the first market manipulation offence Hong Kong’s Department of Justice has brought to trial under the Chinese city’s Securities and Futures Ordinance, which carries a maximum penalty of HK$10 million (€860,000) and 10 years in prison.