Disclosure from the State Securities Commission
The case of “Louis group” – get involved, coordinate as soon as there are “strange” signs
As Vietnamese people reportedOn April 20, 2022, the Investigation Police Agency of the Ministry of Public Security issued a decision to prosecute the case “Stock market manipulation” that occurred at Tri Viet Securities Joint Stock Company, Joint Stock Company. Louis Holdings, Louis Capital Joint Stock Company, Louis Land Joint Stock Company and related entities; at the same time, issued a decision to prosecute the accused, an order to arrest the accused for temporary detention, and a search order for 04 individuals for the crime of “manipulating the stock market as prescribed in article 211 of the penal code.
Specifically, 4 individuals include: Do Thanh Nhan – Chairman of Louis Holdings Joint Stock Company, member of the Board of Directors of Louis Capital Joint Stock Company, Louis Land Joint Stock Company; Trinh Thi Thuy Linh – Administrative Director of Louis Holding Joint Stock Company; Do Duc Nam, General Director of Tri Viet Securities Joint Stock Company; Le Thi Thuy Lien – Financial Services employee of Tri Viet Securities Joint Stock Company.
Defendant Do Thanh Nhan. (Photo: BCA)
Talking to the press about this case, a representative of the State Securities Commission (SSC) said that the prosecution and detention of those who have manipulated securities is not the first time on the stock market. However, to be able to give quick handling results like the case involving “Louis group” is a great effort and determination from the Investigative Police Agency of the Ministry of Public Security (C03)”.
“In any stock market, there is always a potential for manipulation of securities. However, from the time when the transactions are detected with abnormal signs, to the time when a case of securities manipulation is handled, the The authorities must conduct a close investigation, which requires a lot of complicated operations and takes a long time, so giving the results very soon at “Louis group” is a great effort, determination and responsibility. of the Investigative Police Agency of the Ministry of Public Security (C03).
More specifically, although it was only in a short time, the investigation process that came to the results was handled strictly, in accordance with the process and regulations of the law. The investigation results continue to be a practical demonstration of the very drastic direction of the Government and the Ministry of Finance in strictly handling violations, to enhance transparency, soundness and sustainability. for the stock market,” said a representative of the State Securities Commission.
More specific information about this incident, a representative of the State Securities Commission said, based on the monitoring results and information reported in the press about the price increase of some stocks related to Louis group, the State Securities Commission has indicated direct the functional units, the Stock Exchange to closely monitor the transactions of these securities codes; required the Stock Exchanges to report on monitoring analysis of trading shares of the Louis group.
“Determining that this is a complicated case, affecting the stock market, the SSC actively discussed and coordinated with the police agency from the beginning to handle the case” – a representative of the SSC informed.
Accordingly, the State Securities Commission has checked the transactions of TGG and BII shares. On the basis of the test results of TGG and BII stock transactions, the State Securities Commission determined that there were signs of price manipulation for TGG and BII shares of the group of accounts related to Do Thanh Nhan. Because the case showed signs of violating the criminal law, the State Securities Commission transferred to the Investigative Police Agency of the Ministry of Public Security (C03) all documents and documents related to the inspection results of TGG, BII stock transactions. to investigate and handle in accordance with the law.
“Currently, the SSC is continuing to closely coordinate with the police authorities in handling cases related to Louis’ group,” added a representative of the SSC.
Previously, the State Securities Commission had made many decisions on administrative sanctions for violations at related companies in the “Louis Group” such as: fine Louis Holdings, a fine of more than 161 million VND due to transactions exceeding the registered value and suspending securities trading for 2 months; fined more than 232 million VND for TGG due to a series of violations on disclosure of information and corporate governance;….
Many efforts to correct mistakes, healthy market
Following the growth momentum in 2021, the stock market maintained stable development in the first quarter of 2022. However, the profit-taking trend along with the impact of some adverse information on the real estate, stock market, Corporate bonds and political tensions in the world have caused Vietnam’s stock market to undergo a number of strong corrections from the beginning of April until now.
According to experts, in addition to the objective reasons mentioned above, the market is also partly affected by psychology because of information about the prosecution and detention of a number of individuals and leaders in the market.
Most experts believe that the psychological effects are only short-term, investors in the market need to calm down because the prospect and growth forecast of Vietnam’s stock market is still evaluated positively. The drastic actions of the Government, authorities and regulatory agencies should be viewed from a positive perspective in order to make the market healthy, protect businesses and genuine investors, and support the development of the stock market. more sustainable development in the future.
Talking to reporters, a representative of the State Securities Commission’s leadership admitted that, although it was significantly affected by the complicated and prolonged development of the Covid-19 pandemic, under the direction of the Ministry of Finance, supervision, Inspection, inspection and handling of violations on the stock market are still guaranteed and promoted.
Accordingly, on the legal side, the management agency continues to improve the legal regulations on administrative sanctions, strengthen the capacity to detect violations by developing and submitting to the Ministry of Finance for submission to the Government for promulgation of Decree No. 128/2021/ND-CP amending and supplementing a number of articles of Decree 156/2020/ND-CP stipulating penalties for administrative violations in the field of securities and stock market.
Along with that, despite many impacts of the implementation of Covid-19 prevention measures, the State Securities Commission still strengthened inspection teams. The SSC has deployed 44 inspection teams in 2021 and 4 in the first quarter of 2022, in which, in addition to the periodic inspection missions, the SSC has stepped up extraordinary inspection teams when detecting abnormal signs in the field. transactions, activities, thematic inspection teams on service provision of securities companies.
The SSC has severely sanctioned administrative violations in the stock market. (Photo: VTC)
In 2021, the State Securities Commission issued a total of 568 administrative sanctioning decisions with a total fine of VND 25.9 billion, including sanctioning 4 individuals who manipulated 3 stock codes with a total of 2 fines. ,3 billion dong; for the first time sanctioning a foreign institutional investor who conceals his true ownership to evade the obligation to disclose information, and violates regulations on foreign ownership ratio (HDI Global SE); sanctioning 2 enterprises offering corporate bonds to the public but not registering with the State Securities Commission, at the same time forcing the recall of bonds and refunding money to investors (Vset Group and Apec Group); fined 1 securities company (VIS) for violations in providing corporate bond services.
Entering 2022, from the beginning of the year to the first week of April 2022 (April 8, 2022), the State Securities Commission has issued 77 decisions on sanctioning administrative violations with a total fine of VND 8.87 billion; in which, sanctioned 2 individuals with manipulative acts with a total fine of 1.2 billion dong.
Along with that, the State Securities Commission has closely coordinated with units of the Ministry of Public Security, the City Public Security. Hanoi in cases of verification and investigation of violations of the law. Accordingly, in the first months of 2022, the police agency prosecuted 2 cases on the stock market (ASA, Mr. Trinh Van Quyet) and 1 case where the defendants were related to the issuance of corporate bonds. Tan Hoang Minh).
Even in a country where integrity is especially valued like Japan, stock market manipulation still occurs. Accordingly, the Japanese prosecutor’s office in late March ordered the arrest of a vice president of SMBC securities company Nikko, and at the same time prosecuted five employees of this company for manipulating the stock market. stock. Currently SMBC Nikko is the third largest securities company in Japan.
According to the prosecution’s indictment, SMBC Nikko traders placed large buy orders late in the trading session in an attempt to artificially push up the stock price – an action the market regulator alleges. forced to manipulate the market. If convicted, the aforementioned SMBC Nikko employees could face up to 10 years in prison.
This incident has shaken the financial markets of the country of the rising sun as the Japanese government strives to turn the country into a major financial center of the world.
at Blogtuan.info – Source: danviet.vn – Read the original article here
