KUALA LUMPUR (June 27): Three counters linked to prominent investor Datuk Dr Yu Kuan Chon fell during Thursday’s early trade, following the Securities Commission (SC)’s statement on Wednesday that it has sued him for alleged market rigging and manipulation.

Property developer YNH Property Bhd (KL:YNHPROP) fell as much as 12.5 sen or 20.7% to 49 sen during Thursday’s early trade. At 11.30am, it was trading at 48.5 sen, valuing the group at RM257 million.

It emerged as the most active counter on Bursa Malaysia. with 65.3 million shares changing hands, nearly doubling its 20-day moving average.

Meanwhile, industrial mould manufacturer Rapid Synergy Bhd (KL:RAPID) fell eight sen or 8.89% to 82 sen, with 2.07 million shares exchanging hands. Shares of agricultural manufacturer Imaspro Corp Bhd (KL:IMASPRO) were also down four sen or 3.06%, after 151,400 shares were traded.

Yu is the largest shareholder in YNH Property Bhd, with a 32.6% stake. He is the chairman and executive director of the company. He also holds a 22.8% stake in Rapid Synergy and a 15.7% stake in Imaspro.

It is worth mentioning that all three counters experienced rapid selldown in January. Rapid Synergy has lost as much as 97.1% year-to-date, while YNH has also lost 87.9%. Imaspro has not been spared from the selldown, losing as much as 69.4% since the beginning of the year.

On Wednesday, the SC alleged that Yu had traded Shangri-La Hotels (M) Bhd (KL:SHANG) shares between March 1, 2018 and July 24, 2018, in a manner that caused a surge in the traded volume and share price of the hospitality group.

The regulator said it is seeking orders to compel Yu to pay disgorgement amounting to RM26.57 million, three times the gain from the alleged manipulation.

It also wants a civil penalty of RM1 million to be imposed on Yu and for him to be barred from managing any public company for five years, and from trading on the stock exchange for the same period. 

https://www.theedgemarkets.com/node/717000