HK regulator secures jail term for inside dealing

HONG KONG, April 20 (Reuters) - Hong Kong's securities watchdog secured its second conviction in an insider dealing case on Monday, with a former official from Chinese Estates Holdings (0127.HK) sentenced by a Hong Kong court to eight months in prison.

Andy Lam, a former accounting manager with the property developer was also fined HK$130,000 (US$16,770) and an additional HK$54,394 in investigation costs, the Securities and Futures Commission said in a statement.

Lam was found guilty of buying shares in Chi Cheung Investment Co (0112.HK) in his own and his wife's name in 2007 after learning of a proposed asset swap transaction between Chinese Estates and Chi Chueng.

Lam and his wife made a profit of HK$209,000 through the transaction, the SFC said.

Earlier this month a former BNP Paribas Peregrine Capital investment banker was sentenced to 26 months' imprisonment in Hong Kong's first criminal conviction for insider trading. ($1=7.750 Hong Kong dollars) (Reporting by Parvathy Ullatil; Editing by Greg Mahlich)