| HONG KONG
HONG KONG Dec 20 A Hong Kong court has ordered
hedge fund Tiger Asia Management LLC, founder Bill Sung Kook
Hwang and head trader Raymond Park to pay HK$45 million ($5.80
million) to around 1,800 investors affected by insider trading
involving two stocks.
The ruling is the second this month in cases brought by the
Securities and Futures Commission (SFC) forcing an individual or
firm to pay investors money they lost out on because of insider
Tiger Asia had admitted engaging in insider trading in 2008
and 2009 in the Hong Kong-listed stocks of China Construction
Bank Corp (CCB) and Bank of China Ltd
"The restoration amount represents the difference between
the actual price of BOC and CCB shares sold by Tiger Asia and
the value of those shares taking into account the inside
information known to Tiger Asia," the SFC said in a statement on
In December last year, Tiger Asia admitted to charges of
wire fraud, brought by the U.S. Securities and Exchange
Commission (SEC), in connection with the trades in the Chinese
bank shares that the SFC alleged were illegal.
The SEC also charged head trader Park with insider trading.
Park and fund founder Hwang agreed to settle the SEC's charges
without admitting or denying them.
Tiger Asia in August last year said it would return money
entrusted to it by investors by the end that month as the SFC
investigation in Hong Kong was likely to be prolonged.
Earlier this month, a former Morgan Stanley banker
convicted of insider trading was ordered to pay more than 290
investors a total of HK$23.9 million.