Shipkevich Bitcoin and ICO Attorney
Felix Shipkevich November 13, 2009

Four people were found guilty of conspiring to manipulate the market in the shares of Asia Standard Hotel Group Ltd. This is the first indictable prosecution for market manipulation in Hong Kong under the Securities and Futures Ordinance.

An SFC investigation alleged that from 1 August to 5 September 2005, the four conspired to create a false or misleading impression with respect to the market for ASH Group shares in breach of section 295 of the SFO (Note 2). The SFC also alleged that:

The group’s trading activities were effectively rigged, producing a false picture of the depth and liquidity in the market for ASH Group shares;
The effect of the false trading raised the share price of ASH Group by 78%, ramping up the company’s market capitalisation by $4 billion;
The group’s trading constituted more than 50% of ASH Group shares traded during the period on turnover of approximately $190 million.

2 thoughts on “Hong Kong’s largest market manipulation case comes to a close

  1. I’m not sure if anyone remembers a series of niche sites that were around in 1996 that are basically the same as Facebook, MySpace, and have many of the functions of a Twitter. AsianAvenue, BlackPlanet, Black Voices, and Mi Genté were the facebooks and myspaces of the web suring the pre-crash of the era. Like the same social media of today, they diminished because of the still-yet-figured-out formulation of monetizing the social media and the web in general.

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