Hong Kong, Asia's leading financial centre
Caproasia.com | The leading source of data, research, information & resource for financial professionals, investment managers, professional investors, family offices & advisors to institutions, billionaires, UHNWs & HNWs. Covering capital markets, investments and private wealth in Asia. How do you invest $3 million to $300 million? How do you manage $20 million to $3 billion of assets? Caproasia - Learn more



This site is for accredited investors, professional investors, investment managers and financial professionals only. You should have assets around $3 million to $300 million or managing $20 million to $3 billion.










Hong Kong Court Orders HK & SG Listed Co. Sound Global Ltd Chairman Wen Yibo to Buy Shares from Shareholders at Court-Determined Price in Landmark Ruling, 12 Years Disqualification for Inflating Bank Balances by $379 Million

13th October 2022 | Hong Kong

The Hong Kong Securities & Futures Commission (SFC) has obtained an order (from Hong Kong court) on former Hong Kong & Singapore listed company Sound Global Ltd Chairman Wen Yibo to buy shares from other shareholders at a court-determined price in a first-of-its-kind landmark ruling (under section 214 of the HK Securities & Futures Ordinance ~ SFO), with a further 12 years disqualification as a director or management of any corporation for inflating bank balances by $379 million (RMB 2.72 billion) in 2013.  Hong Kong Court: “The Court was satisfied that as a result of Wen’s scheme, which involved five bank accounts maintained by Sound Global’s subsidiaries at two Mainland banks for the financial years of 2011, 2012 and 2013, the bank balances of the company’s subsidiaries were inflated by RMB 2.18 billion and RMB 2.72 billion as at 31 December 2012 and 2013 respectively, representing 82% and 89% of the net assets of Sound Global as reported in its 2012 and 2013 annual reports.”   Ashley Alder, the SFC’s Chief Executive Officer: “The share purchase order represents an important milestone in the SFC’s efforts to protect the investing public from wrongful conduct by management of listed companies and our determination to deploy our full range of regulatory tools to tackle market misconduct and uphold market integrity.”  See below for more information. 

 



- Article continues below -



Sign Up
Basic Member: $5 Monthly | $60 Yearly
Newsletter Daily 2 pm (Promo): $20 Monthly | $180 Yearly (FP: $680)


The 2024 Investment Day
6th March Hong Kong | 13th March Singapore

Private Equity, Hedge Funds, Boutique Funds, Private Markets & more. Taking place on 6th March 2024 in Hong Kong, 13th March 2024 in Singapore.
Visit | Register here


The 2024 Family Office Summit
10th April Hong Kong | 24th April Singapore

Join 100+ single family offices & family office professionals in Hong Kong & Singapore
Links: 2024 Family Office Summit | Register here





“ Hong Kong Court Orders HK & SG Listed Co. Sound Global Ltd Chairman Wen Yibo to Buy Shares from Shareholders at Court-Determined Price in Landmark Ruling, 12 Years Disqualification for Inflating Bank Balances by $379 Million “

 

Sound Global is an investment holding company listed on the Singapore Exchange Securities Trading Limited and on the Main Board of The Stock Exchange of Hong Kong Limited (SEHK) (former stock code: 967) since 6 October 2006 and 30 September 2010 respectively.  It was voluntarily delisted from the Singapore Exchange Securities Trading Limited on 27 January 2014 and was delisted by the SEHK with effect from 13 September 2022. 

Section 214(2)(e) of the SFO provides that the Court may “make any other order it considers appropriate, whether for regulating the conduct of the business or affairs of the corporation in future, or for the purchase of the shares of any members of the corporation by other members of the corporation…”

 

Hong Kong SFC Statement

Hong Kong, Asia’s leading financial centre
  • Court orders Sound Global to purchase shares from investors

The Securities and Futures Commission (SFC) has obtained an order in the Court of First Instance against the chairman and executive director of Sound Global Ltd. (Sound Global), Mr Wen Yibo, to purchase shares held by the other shareholders of the company at a price to be determined by the Court – after he was found to have orchestrated a scheme to falsify the company’s bank balances and fabricated relevant bank statements and balance confirmations (Notes 1 to 3).

The order was the first of its kind made under section 214 of the SFO (Note 4).  

The Court also issued a disqualification order for 12 years against Wen, who was ordered to pay the SFC’s costs on an indemnity basis (Note 5).

The Court was satisfied that as a result of Wen’s scheme, which involved five bank accounts maintained by Sound Global’s subsidiaries at two Mainland banks for the financial years of 2011, 2012 and 2013, the bank balances of the company’s subsidiaries were inflated by RMB 2.18 billion and RMB 2.72 billion as at 31 December 2012 and 2013 respectively, representing 82% and 89% of the net assets of Sound Global as reported in its 2012 and 2013 annual reports.

Mr Ashley Alder, the SFC’s Chief Executive Officer said: “The share purchase order represents an important milestone in the SFC’s efforts to protect the investing public from wrongful conduct by management of listed companies and our determination to deploy our full range of regulatory tools to tackle market misconduct and uphold market integrity.”

The SFC would like to acknowledge and thank the China Securities Regulatory Commission for its assistance in the investigation of this case.

Notes:

  1. Sound Global is an investment holding company listed on the Singapore Exchange Securities Trading Limited and on the Main Board of The Stock Exchange of Hong Kong Limited (SEHK) (former stock code: 967) since 6 October 2006 and 30 September 2010 respectively.  It was voluntarily delisted from the Singapore Exchange Securities Trading Limited on 27 January 2014 and was delisted by the SEHK with effect from 13 September 2022.
  2. Wen is the founder of Sound Global, and had been a chairman and executive director of the company since 7 November 2005.
  3. On 13 April 2016, trading in Sound Global’s shares was suspended pursuant to Rule 8(1) of Securities and Futures (Stock Market Listing) Rules.  On 14 June 2019, the SFC commenced proceedings under section 214 of the Securities and Futures Ordinance (SFO) against Sound Global and others.
  4. Section 214(2)(e) of the SFO provides that the Court may “make any other order it considers appropriate, whether for regulating the conduct of the business or affairs of the corporation in future, or for the purchase of the shares of any members of the corporation by other members of the corporation…”
  5. Section 214(2)(d) of the SFO provides that the Court may order that a person shall not be or continue to be a director or in any way be involved, directly or indirectly, in the management of any corporation for a period of up to 15 years.
  6. The judgment is available on the Judiciary’s website (Court Reference: HCMP868/2019).



Managing $20 million to $3 billion. Investing $3 million to $300 million.
For Investment Managers, Hedge Funds, Boutique Funds, Private Equity, Venture Capital, Professional Investors, Family Offices, Private Bankers & Advisors, sign up today. Subscribe to Caproasia and receive the latest news, data, insights & reports, events & programs daily at 2 pm.

Join Events & Find Services
Join Investments, Private Wealth, Family Office events in Hong Kong, Singapore, Asia-wide. Find hard-to-find $3 million to $300 million financial & investment services at The Financial Centre | TFC. Find financial, investment, private wealth, family office, real estate, luxury investments, citizenship, law firms & more.  List hard-to-find financial & private wealth services.

Have a product launch? Promote a product or service? List your service at The Financial Centre | TFC. Join interviews & editorial and be featured on Caproasia.com or join Investments, Private Wealth, Family Office events. Contact us at [email protected] or [email protected]

Caproasia.com | The leading source of data, research, information & resource for financial professionals, investment managers, professional investors, family offices & advisors to institutions, billionaires, UHNWs & HNWs. Covering capital markets, investments and private wealth in Asia. How do you invest $3 million to $300 million? How do you manage $20 million to $3 billion of assets?



Quick Links


2021 Data Release
2020 List of Private Banks in Hong Kong
2020 List of Private Banks in Singapore
2020 Top 10 Largest Family Office
2020 Top 10 Largest Multi-Family Offices
2020 Report: Hong Kong Private Banks & Asset Mgmt - $4.49 Trillion
2020 Report: Singapore Asset Mgmt - $3.48 Trillion AUM


For Investors | Professionals | Executives
Latest data, reports, insights, news, events & programs
Everyday at 2 pm
Direct to your inbox
Save 2 to 8 hours per week. Organised for success

Register Below

For CEOs, Heads, Senior Management, Market Heads, Desk Heads, Financial Professionals, Investment Managers, Asset Managers, Fund Managers, Hedge Funds, Boutique Funds, Analysts, Advisors, Wealth Managers, Private Bankers, Family Offices, Investment Bankers, Private Equity, Institutional Investors, Professional Investors

Get Ahead in 60 Seconds. Join 10,000 +
Save 2 to 8 hours weekly. Organised for Success.

Sign Up / Register


    InvestorProfessionalFamily OfficeExecutive


    SubscriptionMembershipEvents


    Professional InvestorPrivate WealthFamily OfficePrivate BankingWealth ManagementInvestmentsAlternativesPrivate MarketsCapital MarketsESG & SICEO & EntrepreneursTax, Legal & RisksHNW & UHNWs Insights










    Web links may be disabled on mobile for security.
    Please click on desktop.










    Caproasia Users

    • Manage $20 million to $3 billion of assets
    • Invest $3 million to $300 million
    • Advise institutions, billionaires, UHNWs & HNWs

    Caproasia Platforms | 11,000 Investors & Advisors

    Monthly Roundtable & Networking

    Family Office Programs

    The 2024 Investment Day

    • March 2024 - Hong Kong
    • March 2024 - Singapore
    • June 2024 - Hong Kong
    • June 2024 - Singapore
    • Sept 2024 - Hong Kong
    • Sept 2024 - Singapore
    • Visit: The Investment Day | Register: Click here

    Caproasia Summits

    Contact Us

    For Enquiries, Membership
    [email protected], [email protected]

    For Listing, Subscription
    [email protected], [email protected]

    For Press Release, send to:
    [email protected]

    For Events & Webinars
    [email protected]

    For Media Kit, Advertising, Sponsorships, Partnerships
    [email protected]

    For Research, Data, Surveys, Reports
    [email protected]

    For General Enquiries
    [email protected]





    Caproasia | Driving the future of Asia
    a financial information technology co.
    since 2014




    Previous articleCiti Private Bank Hires UBS Veteran Keith Lee as Hong Kong HNW Market Manager, Focusing on Clients with More than $10 Million
    Next articleHong Kong SFC Fines Asia Research & Capital Mgmt $223,000 for Failure to Comply with EU Short-Selling Reporting Requirements on London Exchange Premier Oil, Head of Compliance & Operations Billy Wong Banned for 2 Months
    Caproasia.com covering capital markets, investments and private wealth in Asia. Our users manage, advise & invest $25 trillion assets in Asia