KUALA LUMPUR (Aug 4): The Securities Commission (SC) has filed a civil suit against former executive director of Kencana Petroleum Bhd (Kencana), Datuk Yeow Kheng Chew as well as two others, that they had contravened regulations under the Capital Markets and Services Act 2007 (CMSA).

The SC yesterday in an update on its website also said it had dropped insider trading charges against Yeow, who is prominently known as KC Yeow, on July 20 on the instructions of the Attorney-General.

The other two named in the civil suit were Paulene Chee Yuet Fang and Tan Yee Chee.

The SC is seeking,among others:

A declaration that Yeow had contravened s188(2)(a) CMSA when he acquired 5,159,000 Kencana Petroleum Berhad (Kencana) shares between June 2, 2011 and July 8, 2011 through the trading accounts of Paulene Chee, Asia Premium Corp, Angnew Resources Limited;

A declaration that Paulene Chee had contravened s188(2)(a) CMSA in respect of the acquisition of 5,159,000 Kencana shares between 2 June 2011 and 8 July 2011 through her trading account as well as the trading accounts of Asia Premium Corp and Angnew Resources Limited;

A declaration that Tan had contravened s188(2)(a) CMSA in respect of the acquisition of 1,159,000 Kencana shares on 8 July 2011 through Paulene Chee’s trading account.

The SC is also seeking an order for a civil penalty of RM1 million against Yeow, Chee and Tan severally.

Besides that, the regulator is seeking for an order for the three individuals to be barred from being directors or having any involvement in the management of any public-listed company for 10 years.

Yeow was a former business partner of Tan Sri Mokhzani Mahathir - they were the two principal owners of the investment holding company Kencana Capital Sdn Bhd.