Read what The Edge reported about US broker reveals losses
So, just how much losses could securities firms in Singapore be staring at? At least one broking house has detailed its exposure and losses. Nasdaq listed Interactive Brokers Group, a US electronic discount broker and market maker, says it has about 70 accounts with substantial exposure – ranging from more than US$10 million ($12.4 million) to as much as US$200 million – to the designated securities.
“The accounts were margined and we were able to liquidate only a small part of the position. The accounts are currently in deficit to the extent of approximately US$68 million,” said Thomas Peterffy, chairman and CEO of Interactive Brokers, during the firm’s quarterly earnings conference call on Oct 15.
“We believe the customers have substantial assets independent of the companies involved and we are currently organising our legal team to collect on these debts,” Peterffy said. “At this point, it’s too early for us to tell how much we can recover soon.” Interactive Brokers expects its earnings for the current quarter to be hit by the fallout.
SIAS will be meeting with SGX officials on Monday 28th October 2013, 2pm to discuss the regulatory action taken or will be taken with respect to the 3 recently designated stocks, Blumont, Asiasons and LionGold. A number of disgruntled investors have been calling SIAS to inquire about what action the authorities are taking against any wrong doing by anyone , if any.
SIAS will also be holding a forum to discuss the rights of the shareholders in the affected 3 stocks on 14th November 2013 at 7pm at MND Auditorium. Admission is by registration only. To register, investors can do so online at
www.sias.org.sg
G1 Investments Pte Ltd (“G1 Investments”), a wholly-owned subsidiary of the Company, has received a notice dated 2 April 2014 from the Commercial Affairs Department of the
Singapore Police Force (“CAD”) requiring G1 Investments’ assistance with the CAD’s investigations into an offence under the Securities and Futures Act (Chapter 289) (the “SFA”).
The CAD has requested for access to, amongst others, all corporate electronic data from 1 January 2011 to-date,
information technology equipment and data storage devices (if any) belonging to Mr. Neo Kim Hock, the Executive Chairman of the Board, and Mr. James Hong Gee Ho, Executive Director of the Company.
Further, the Company has been informed that Mr. Hong has been requested to assist the CAD in its investigations into a possible infringement under the SFA. Mr. Hong has indicated that he will cooperate fully with CAD in its investigations.
The business and operations of the Company are not affected by the investigations and will continue as normal.
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