Hong Kong’s Securities and Futures Commission (SFC) has charged CITIC Pacific former senior executive, Chui Wing Nin, with insider dealing in the company’s shares prior to a profit warning issued in 2008 and has begun criminal proceedings against him.

According to SFC, around 81,000 CITIC Pacific shares were sold in September 2008 by Chui even though price sensitive information regarding CITIC's foreign exchange losses from various foreign exchange derivatives contracts was available.

The profit warning information disclosing the foreign exchange losses was, however, issued by the company on 20 October 2008.
SFC has also alleged that Chui avoided a notional loss of about $1.36m.

Eastern Magistracy principal magistrate David Dufton fixed the pre-trial review on 20 October 2011 and released him on $50,000 bail.

Chui was the assistant director of the finance department of CITIC Pacific and was also the deputy head of finance and part of CITIC Pacific's senior management.

Source:ecnandexchanges