KUALA LUMPUR (Dec 12): The Sessions Court convicted two former officers of Jalatama Management Sdn Bhd on Monday (Dec 12) for carrying out a business of dealing in derivatives without a licence, said the Securities Commission Malaysia (SC).

In a statement, the SC said the two Kuala Lumpur-based Jalatama officers ― Su Eng Kooi and Yap Choong Seong, both aged 47 ― were convicted on two charges under Section 58(1) of the Capital Markets and Services Act 2007 (CMSA) by judge Ahmad Kamar Jamaluddin.

“After a full trial, each of the accused persons was convicted and sentenced to a one-year imprisonment, and a fine of RM1 million (in default, a further one-year imprisonment), for each of the two charges,” the regulator said, adding that the court ordered for the jail terms to be served concurrently.

Those found guilty of the two charges are liable to a fine not exceeding RM10 million, or imprisonment not exceeding 10 years, or both.

The SC reminded members of the public that “dealing in derivatives is a regulated activity and any person carrying on a business of dealing in derivatives requires a licence from the SC under the CMSA”.

The regulator also advised investors to verify the licence or regulation information of individuals, companies and platforms offering capital market services or products, before deciding on investment opportunities.

“They should also check the SC’s investor alert list, which is constantly updated to warn investors of identified companies or individuals that carry out unlicensed activities or scams,” it added.