In a statement today, it said the “disgorgement of profits” was part of a regulatory settlement agreement with the SC for insider trading of shares in Maxis Communications Bhd, UEM World Bhd and VADS Bhd.

“Following this settlement, the SC, with the consent of the public prosecutor, withdrew related criminal proceedings against Sreesanthan and its appeal against his acquittal in another case for insider trading of Sime Darby Bhd shares,” it said.

The SC also said the settlement did not affect another ongoing civil case against Sreesanthan over his acquisition of 600,000 Worldwide Holdings Bhd shares while allegedly in possession of non-public information between June and July 2006.

It said Sreesanthan was ordered to pay nearly RM3 million in disgorgement and penalty and was barred from holding directorships of public-listed companies for 10 years, effective Nov 18 last year.

Sreesanthan, who was a senior partner in a law firm, had acted as a legal adviser for the proposed privatisation of Worldwide.

He has filed an appeal to the Court of Appeal against this decision.

The SC noted that although Sreesanthan was charged in July 2012 for insider trading involving Sime Darby, Maxis Communications, UEM World and VADS shares, the trial only commenced in 2019 as he had challenged the investigative powers of the SC and sought for the disclosure of witness statements and documents.

Yesterday, the Kuala Lumpur High Court affirmed Sreesanthan’s acquittal on insider trading charges after the prosecution withdrew its appeal.

Early this year, Kuala Lumpur sessions court judge Zamri Bakar acquitted Sreesanthan, without calling for his defence, over the charges of insider trading.

Zamri had said the prosecution failed to establish a prima facie case and concurred with the defence that the supposed insider information was in the public domain.