Two directors of Catalist-listed Kimly Limited (“Kimly”) and the former Chief Executive Officer (“CEO”) of Pokka International Pte Ltd (“Pokka International”) were charged today for disclosure offences under the Securities and Futures Act, (“SFA”) and the Companies Act (“CA”).
The Executive Chairman and the Executive Director of Kimly were each charged with one count under Section 203(1) read with Section 203(2) read with Section 331(1) of the SFA, in connection with Kimly’s acquisition of Asian Story Corporation Pte Ltd (“ASC”) that was announced on 2 July 2018. It is alleged that the acquisition was an interested person transaction (by virtue of the Executive Chairman’s partial beneficial ownership of ASC) that should have been disclosed under the SGX Catalist Rules, but was not.
The Executive Chairman of Kimly was further charged with one count under Section 156 of the CA for failing to disclose his interest in the acquisition of ASC to Kimly.
The former CEO of Pokka International faces three charges under Section 156 of the CA. It is alleged that the former CEO, who was also a director in Pokka International and Pokka Corporation (Singapore) Pte Ltd (“Pokka Corporation”), had partial beneficial ownership of ASC and failed to disclose his interest to Pokka International and Pokka Corporation on three occasions when ASC entered into transactions with the two Pokka entities.
If convicted, the accused persons face the following punishment:
- Imprisonment not exceeding seven years, a fine not exceeding $250,000, or both, under each count of the SFA charges; and
- Imprisonment not exceeding 12 months, or a fine not exceeding $5,000, under Section 156 of the CA charge.
SINGAPORE POLICE FORCE
12 November 2021 @ 10:30 AM