The SC alleged that the prominent investor had traded the hotel’s shares between March 1, 2018, and July 24, 2018, in a manner that caused a surge in the traded volume and share price of the hotel group.

“Yu allegedly traded and transacted in Shangri-La shares using 15 Central Depository System (CDS) accounts during the material period.

“His trades represented approximately 81.9% of the total volume of Shangri-La shares traded on the market during this period,” it said in a statement today.

In its June 24 filing, the SC alleged that Yu had engaged in manipulative activities in the trading of Shangri-La shares, and that Yu’s actions were in breach of Sections 175(1) and/or 176(1) of the Capital Markets and Services Act 2007.

The SC is seeking, among others, a disgorgement of more than RM26.5 million, which is three times the profits alleged to have been made by the defendant as a result of the breach.

The commission is also claiming a civil penalty of RM1 million and an order to bar the defendant from being appointed as a chief executive or director in any public-listed company or its subsidiaries for a period of five years.