MAS IMPOSES COMPOSITION AMOUNT OF $7,500 ON LION INDUSTRIES CORPORATION BERHAD FOR FAILING TO NOTIFY THE SINGAPORE EXCHANGE SECURITIES TRADING LIMITED ["SGX-ST"] OF CHANGES IN SUBSTANTIAL SHAREHOLDINGS WITHIN STIPULATED TIMEFRAME

1       On 26 January 2010, Lion Industries Corporation Berhad ["LICB"] paid a composition amount of $7,500 for contravening section 137 of the Securities and Futures Act ["SFA"] which requires substantial shareholders of listed companies to notify the securities exchange of a change in shareholdings.

2       LICB was late in notifying SGX-ST of its deemed shareholding change in Lion Asiapac Limited ["Lion Asiapac"] which took place on 27 February 2009.  LICB also failed to notify SGX-ST of its deemed shareholding change in Lion Asiapac which took place on 28 November 2008.  In addition, LICB had not notified Lion Asiapac of its deemed shareholding changes within the stipulated timeframe on both occasions.  As a result, Lion Asiapac was unable to disseminate the information to the market as required under Rule 704(3) of the SGX Listing Manual.

Substantial shareholders are required to notify the securities exchange of changes in their shareholdings in a timely manner. This is necessary for the proper functioning of a fair, efficient and transparent market.