Hong Kong’s Securities and Exchange Commission (SFC) has brought proceedings in the Court of First Instance against the former chairman and non-executive director of Ding Yi Feng Holdings Group International Limited, Mr Sui Guangyi and 20 others for alleged share manipulation. by Ding Yi Feng between March 1, 2018 and September 14, 2018.
The SFC is seeking various orders under section 213 of the Securities and Futures Ordinance (SFO) to restore the affected counterparties to their pre-trade positions and to restrain the respondents from disposing of or otherwise dealing in any assets and/or assets, and to ensure that there are sufficient assets to meet restitution orders if the Court finds that the defendants are in breach of the relevant provisions of the SFO.
The regulator had earlier issued restriction notices to a total of 17 brokers, freezing the defendants’ assets and prohibiting them from trading or processing certain assets held in their clients’ accounts related to the suspected market manipulation of Ding Yi Feng’s shares without the Prior written consent of the SFC. Restriction notices remain in effect.