FOREIGN TRADER AGREES TO SETTLE SEC CHARGES IN NEXEN CASE

(The following is a reformatted version of a press release
issued by the Securities and Exchange Commission, received via
e-mail and confirmed by the sender.) 
May 1, 2013 
Foreign Trader Agrees to Settle SEC Charges in Nexen Insider
Trading Case 
A Singapore businesswoman whose assets were frozen last year as
part of a major insider trading action has agreed to pay more
than $500,000 to settle charges that she purchased shares of
Nexen Inc. while in possession of nonpublic information about
the company’s impending acquisition by China-based CNOOC Ltd. 
In July 2012, the SEC obtained an emergency court order freezing
multiple Hong Kong and Singapore-based trading accounts just
days after the Nexen acquisition was announced and suspicious
trading in Nexen securities was detected. The SEC’s complaint
alleged that in the days leading up to the announcement, Hong
Kong-based firm Well Advantage Limited and other unknown traders
purchased Nexen stock based on confidential details about the
acquisition. 
In the weeks that followed, the SEC’s investigation identified
Singapore resident Choo Eng Hong, an executive at a privately
owned furniture manufacturing business, as one of the previously
unknown traders charged in the complaint. Brokerage records
obtained by the SEC show that Choo loaded up on Nexen stock and
contracts for difference (CFDs) in the last three trading days
before the announcement of the Nexen acquisition, and that she
generated profits of over $400,000 after the news was made
public. 
Under the terms of the settlement, which is subject to court
approval, Choo has agreed to the entry of a final judgment
requiring her to pay disgorgement of her ill-gotten gains of
$466,477.62 and a penalty of $100,000, and permanently enjoining
her from future violations of Section 10(b) of the Exchange Act
and Rule 10b-5 thereunder. Ms. Choo neither admits nor denies
the SEC’s allegations. 
In October 2012, the SEC announced a settlement with the lead
defendant, Well Advantage, which agreed to pay more than $14.2
million to settle the insider trading charges. More recently, in
March 2013, the SEC announced that a Hong Kong-based broker, her
husband, and her brokerage clients agreed to pay more than $3.3
million to settle the SEC’s claims. 
(sgp) NY 
#<278855.14078.3.4.1.0.76>#
 
 
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