Ex-listed company chairman and executive director charged for share options fraud
2008-1-7
The ICAC has charged the former chairperson and an executive director of a listed company for alleged conspiracy to defraud and making false statements in relation to the granting of share options to employees.
Chiang Lily, 46, former chairperson of Pacific Challenge Holdings Limited (PCH), and Shah Tahir Hussain, 45, former executive director of PCH, face three joint charges - one of conspiracy to defraud and two of false statement by company directors.
They will appear in Eastern Magistracy at 9:30 am on January 8 (Tuesday) for mention.
One of the charges alleges that between February 1 and August 31, 2002, Chiang and Shah had conspired together and with other persons to defraud PCH, existing shareholders and potential investors of PCH, the Securities and Futures Commission (SFC) and The Stock Exchange of Hong Kong Limited (SEHK).
They are alleged to have falsely represented that share options were to be granted under the share option scheme of PCH to subscribe a total of 23,880,000 shares. They are also alleged to have failed to disclose that the employees or some of them in whos e names the share options would be granted would not be their beneficial owners. PCH was allegedly caused to grant the share options, while the SFC and SEHK were concealed from the true extent of the interest of Chiang in the share options.
The remaining two charges allege that Chiang and Shah, together with another former executive director of PCH, had concurred in publishing two false written statements on April 22 and June 6, 2002 respectively with intent to deceive members of PCH.
The alleged false statements were in connection with the issuing of share options to subscribe shares, in that the employees or some of them in whose names the share options were granted were not their beneficial owners.
The defendants have been released on ICAC bail, pending their court appearances on Tuesday.
Chiang Lily, 46, former chairperson of Pacific Challenge Holdings Limited (PCH), and Shah Tahir Hussain, 45, former executive director of PCH, face three joint charges - one of conspiracy to defraud and two of false statement by company directors.
They will appear in Eastern Magistracy at 9:30 am on January 8 (Tuesday) for mention.
One of the charges alleges that between February 1 and August 31, 2002, Chiang and Shah had conspired together and with other persons to defraud PCH, existing shareholders and potential investors of PCH, the Securities and Futures Commission (SFC) and The Stock Exchange of Hong Kong Limited (SEHK).
They are alleged to have falsely represented that share options were to be granted under the share option scheme of PCH to subscribe a total of 23,880,000 shares. They are also alleged to have failed to disclose that the employees or some of them in whos e names the share options would be granted would not be their beneficial owners. PCH was allegedly caused to grant the share options, while the SFC and SEHK were concealed from the true extent of the interest of Chiang in the share options.
The remaining two charges allege that Chiang and Shah, together with another former executive director of PCH, had concurred in publishing two false written statements on April 22 and June 6, 2002 respectively with intent to deceive members of PCH.
The alleged false statements were in connection with the issuing of share options to subscribe shares, in that the employees or some of them in whose names the share options were granted were not their beneficial owners.
The defendants have been released on ICAC bail, pending their court appearances on Tuesday.