Singapore, 14 April 2023… Mr Tay Yew Khem and Ms Hui Choy Leng have been convicted and sentenced to 12 weeks’ imprisonment and 4 months’ imprisonment respectively for insider trading in the shares of Broadway Industrial Group Limited (BIGL), and for other offences under the Securities and Futures Act (SFA) and the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act (CDSA). 

2. In July and August 2016, Mr Tay and Ms Hui received from Mr Tan Chee Keong, then the Chief Financial Officer of BIGLMr Tan was convicted and sentenced for insider trading and acquiring benefits of criminal conduct on 10 June 2022. Please refer to the media release on his conviction. , non-public and material information concerning BIGL’s sale of its businesses. Thereafter, Mr Tay and Ms Hui purchased BIGL shares, ahead of the company’s announcement on 22 August 2016 that it had entered into a conditional sale and purchase agreement to sell two of its businesses. 

3. After the company’s announcement on 22 August 2016, both Mr Tay and Ms Hui sold BIGL shares and made profits of $43,377 and $77,906 respectively. In addition, Mr Tay gave $30,000 to Mr Tan as his agreed share of profits.

4. On 6 March 2023, Mr Tay pleaded guilty to and was convicted of two charges of insider trading under section 219(2)(a) of the SFA, and one charge of transferring benefits from criminal conduct under section 47(2)(b) of the CDSA. Ten charges under section 219(2)(a) of the SFA were taken into consideration for the purpose of sentencing. On 28 March 2023, Mr Tay was sentenced to 12 weeks’ imprisonment.

5. On 14 April 2023, Ms Hui pleaded guilty to and was convicted of two charges of insider trading under section 219(2)(a) of the SFA. Four charges under section 219(2)(a) of the SFA and one charge under section 201(b) of the SFA were taken into consideration for the purpose of sentencing. On 14 April 2023, Ms Hui was sentenced to 4 months’ imprisonment. Mr Tan, Mr Tay, and Ms Hui have paid $30,000, $43,377, and $77,906 respectively to the State, as disgorgement of their share of profits from the offences.

6. Mr Tay’s and Ms Hui’s convictions were a result of a joint investigation conducted by the Monetary Authority of Singapore and the Commercial Affairs Department of the Singapore Police Force. The investigations against the two individuals arose from a referral by the Singapore Exchange Securities Trading Limited. 

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Additional Information

(A) Section 219(2)(a) of the SFA (Cap 289) 

Section 219(2)(a) prohibits a person who is not connected to any corporation but is in possession of materially price-sensitive information, which he knows is materially price-sensitive and not generally available, and the information would have a material effect on the price or value of securities, from subscribing for, purchasing or selling, or entering into an agreement to subscribe for, purchase or sell these securities.

(B)  Section 201(b) of the SFA 

Section 201(b) prohibits a person from directly or indirectly, in connection with the subscription, purchase or sale of any securities, engaging in an act, practice or course of business which operates as a fraud or deception, or is likely to operate as a fraud or deception, upon any person.

(C) Section 47(2)(b) of the CDSA (Cap 65A)

Section 47(2)(b) prohibits a person from converting, transferring, or removing from jurisdiction property which he knows or has reasonable grounds to believe that it directly or indirectly represents’ another person’s benefits from criminal conduct.