SEC suspends all operations of broker Asia Wealth Securities
The Securities and Exchange Commission (SEC) suspended all operations of brokerage firm Asia Wealth Securities (AWS) after its net capital was recorded at below zero for more than five days.
The company blamed this on the More Return Plc (MORE)’s trading debacle.
The SEC announced on Tuesday that it has also ordered AWS to transfer its clients’ assets to other brokers immediately.
The SEC said AWS’s capital had stayed at below zero since November 14 and it had failed to take proper action as required by the law, like cancelling all advance selling and purchasing orders placed by clients.
The commission also accused AWS of failing to inform its clients and transferring their accounts to other brokers as required by law.
Meanwhile, Asia Wealth Securities explained on its website that its stock broking rights had been suspended on November 18 because it had been hit by default orders to buy MORE shares.
The Anti-Money Laundering Office and police said major shareholder, Apimuk Bamrungwong, and 24 alleged accomplices, had issued a purchase order for 1.5 billion MORE shares in a supposed move to manipulate share prices. However, they defaulted on the payment, causing severe damage to brokers handling the orders.
AWS has apologised for the inconvenience caused and said it always complied with SEC regulations and would try to solve the issue as soon as possible.
AWS clients can call the SEC 1207 hotline and press 7 to file complaints against the broker or they can e-mail [email protected].
Related report:
Amlo freezes THB5.3bn in assets of alleged MORE stock manipulator
