Financial News
Written by: Zhang Weilun
2020-12-10 18:19
Last update date: 2020-12-10 18:19
The Market Misconduct Tribunal ruled after a retrial that Zheng Zee, the former executive director, chief financial officer and company secretary of ENN Energy (2688), had conducted insider trading in the shares of China Gas (0384) in 2011.
The Tribunal ruled in March 2017 that Zheng Zee had not conducted insider trading in the shares of China Gas.
The SFC appealed the ruling of the Tribunal.
In September 2018, the Court of Appeal ruled that the SFC’s appeal was successful and issued an order to transfer the case to another tribunal composed of different members to make a ruling solely on whether Zheng Zee ever bought and sold shares of China Gas.
On November 30, 2020, after a retrial, the Tribunal ruled that Zheng Zee was more likely to have bought and sold China Gas shares after considering the following: Zheng Zee was not a credible witness, and his evidence was not considered. He had worked at the Bank of China (Hong Kong) Make arrangements for opening a nominee account and accessing bank statements.
The Tribunal pointed out that the trading of China Gas’s shares was clearly related to Zheng Zee’s obtaining inside information. The source of the transaction instructions made via the Internet (through the IP address of ENN Energy’s office) and smart phone was related to where Zheng Zee was at the time. Related.
The tribunal concluded that it is impossible for a nominee or an unidentified person to issue the relevant transaction instructions and will decide on the sanctions against Zheng Zee at a later date.
China Gas Securities Regulatory Commission