Saturday, 1 October 2016
Last updated 14 hours ago
Dec 20 2013 | 12:19pm ET
Tiger Asia Management has been hit with a HK$45.3 million (US$5.8 million) bill for insider-trading.
A Hong Kong court ordered the defunct hedge fund, founder Bill Hwang and former executive Raymond Park to make the payment after the three admitted to insider dealing and market manipulation, the Hong Kong Securities and Futures Commission, which brought the case, said. The money will be returned to about 1,800 investors who traded with Tiger Asia.
The SFC accused New York-based Tiger Asia of trading on confidential information about two Chinese banks in 2008 and 2009. Tiger Asia wound up pleading guilty to parallel charges in the U.S. last December.
The Hong Kong case was delayed after Tiger Asia argued—successfully at first—that the SFC could not sue it without a criminal finding against it. Such recourse was not available to Hong Kong authorities, because Tiger Asia had no physical presence in the city. But Hong Kong's highest court in April rejected that argument, giving the SFC the green-light to sue.