Pursuits
Hontex to Compensate Investors After Reaching Settlement
This article is for subscribers only.
Hontex International Holdings Co., suspended from trading after the Hong Kong securities regulator accused it of misleading investors, agreed to pay shareholders HK$1.03 billion ($133 million) to end a lawsuit.
Hontex “accepts and acknowledges” that statements in its prospectus were false and misleading, Simon Westbrook, a lawyer for the Securities and Futures Commission, said on the 13th day of a High Court trial in which the regulator accused the fabric maker of inflating sales, profit and cash figures in its December 2009 listing prospectus.