MARKET DEVELOPMENT
Rantau Simfoni Director Fined RM1m for Trading in Oil Palm Futures Contracts Without a Licence
Rantau Simfoni Director Fined RM1m for Trading in Oil Palm Futures Contracts Without a Licence
01/05/2013 (The Star) - Rantau Simfoni Sdn Bhd director Zamani Hamdan, 51, was slapped with an RM1mil fine by the Sessions Court here after it convicted him of trading in oil palm futures contracts without a licence.
Judge Rozana Ali Yusof found him guilty on the grounds that his defence had failed to raise reasonable doubt against the prosecutor's case.
“This is a serious matter, as investors had been victimised by his (Zamani's) actions. While a person can claim to have expertise in investing, it is not a simple burden to carry their investors' expectations. That is why there are criteria and licences for investors,” she said.
The Securities Commission (SC) had charged Zamani in October 2010 for holding himself out as a representative of OSK Investment Bank Bhd to trade in futures contracts between March and April 2010, although he did not hold a Capital Market Services Representative's Licence.
He also claimed trial to an alternative charge of carrying on the business of trading in futures contracts without a Capital Market Services Licence through Rantau Simfoni.
On Jan 23, 2013, Judge Rozana Ali acquited Zamani of the first charge but ordered him to enter his defence for the alternative offense.
The prosecuting officer from the SC, Aimi Khalidah Mohd Puzi, urged the court to hand down a heavy punishment, citing a trend of heavier sentences in commercial cases in Malaysian courts.
“In commercial crimes where the perpetrator obtains cash from their victims, if the offenders are only punished with a fine, it could be perceived that fines are only part of the costs of running such enterprises,” said Aimi Khalidah.
Zamani's counsel Nordin Othman pleaded that his client only be given a fine, as the money was still in a trading account and had not personally profited Zamani.
The Sessions Court fined Zamani RM1mil. He faces a year's prison if he fails to settle the fine.
Nordin later told reporters that he would be appealing against the decision and applying for a stay against the sentence in the interim.
The SC had warned the public in April 2010 that neither Rantau Simfoni nor Zamani was licensed by the commission to solicit monies or to trade in futures contracts.
It was learnt that RM215,000 had been collected from 11 investors, but that the SC had managed to freeze the trading account within the month. As such, none of the money had been channelled out of the trading account.
Judge Rozana Ali Yusof found him guilty on the grounds that his defence had failed to raise reasonable doubt against the prosecutor's case.
“This is a serious matter, as investors had been victimised by his (Zamani's) actions. While a person can claim to have expertise in investing, it is not a simple burden to carry their investors' expectations. That is why there are criteria and licences for investors,” she said.
The Securities Commission (SC) had charged Zamani in October 2010 for holding himself out as a representative of OSK Investment Bank Bhd to trade in futures contracts between March and April 2010, although he did not hold a Capital Market Services Representative's Licence.
He also claimed trial to an alternative charge of carrying on the business of trading in futures contracts without a Capital Market Services Licence through Rantau Simfoni.
On Jan 23, 2013, Judge Rozana Ali acquited Zamani of the first charge but ordered him to enter his defence for the alternative offense.
The prosecuting officer from the SC, Aimi Khalidah Mohd Puzi, urged the court to hand down a heavy punishment, citing a trend of heavier sentences in commercial cases in Malaysian courts.
“In commercial crimes where the perpetrator obtains cash from their victims, if the offenders are only punished with a fine, it could be perceived that fines are only part of the costs of running such enterprises,” said Aimi Khalidah.
Zamani's counsel Nordin Othman pleaded that his client only be given a fine, as the money was still in a trading account and had not personally profited Zamani.
The Sessions Court fined Zamani RM1mil. He faces a year's prison if he fails to settle the fine.
Nordin later told reporters that he would be appealing against the decision and applying for a stay against the sentence in the interim.
The SC had warned the public in April 2010 that neither Rantau Simfoni nor Zamani was licensed by the commission to solicit monies or to trade in futures contracts.
It was learnt that RM215,000 had been collected from 11 investors, but that the SC had managed to freeze the trading account within the month. As such, none of the money had been channelled out of the trading account.