IN the latest crackdown on share trading irregularities, three former directors of Tung Fong Hung Holdings have been censured by the Hong Kong Stock Exchange.
In the first case of its kind, the listing committee has taken action against the three for selling shares in the company without giving proper notice to the board.
''The listing division of the exchange takes a very serious view of share dealings by directors,'' Herbert Hui, head of the listing division, said last night.
The three who have been censured are Chan Lei-han, Luk Man-lien and Wang Wen-shan. All were found to have been in breach of the Model Code for Securities Transactions which directors of listed companies are obliged to follow.
After an investigation into share dealings, which took place in August of last year, the listing committee found that they had disposed of shares without notifying the chairman or other members of the board of the group, which retails Chinese medicines, health foods and dried seafood.
It was announced at the time that Ms Chan had sold 9.62 million shares, equivalent to 2.06 per cent of the issued capital, and that a further 1.54 per cent of the capital was sold shortly after by Mr Luk. The remaining shares involved in the transactions, amounting to a further two per cent of the capital, were sold by Mr Wang.
