Securities firm Dai Nam fined $12,000
HA NOI - (VNS) The State Securities Commission recently imposed a VND250 million (US$12,000) fine on Ha Noi's Dai Nam Securities Co for conducting illegal share trading activities.
The commission said Dai Nam Securities Co lended shares to its clients who then sold them to each other, violating recent securities regulations. Additionally, Dai Nam did not have the necessary permissions to engage in such trading.
The SSC's regulations state that securities and fund management companies are not allowed to sell or lend any shares when they neither own them nor possess permission to trade.
Dai Nam, accordingly, was fined VND150 million ($7,100) for the illegal share lending violation and VND100 million ($4,800) for trading without permission.
The commission has asked depository banks in charge of keeping assets or shares on behalf of clients to transfer money and assets to clients' accounts immediately after transactions so as to avoid money laundering.
It said investors should not borrow or lend shares to avoid hidden risks, such as property losses and disputes. — VNS