Contradicting Azam’s explanation that he allowed his brother to purchase shares using his trading account.
Following criticism for saying there was “no conclusive evidence” of proxy trading by MACC chief Azam Baki, the Securities Commission (SC) has clarified that it found no evidence of such an instance.
This appears to contradict Azam’s explanation that he allowed his brother Nasir Baki to purchase shares using his trading account.
In a statement this evening, the SC stated it found that Azam had “control” over his own trading account.
He had also used it to trade shares.
“The SC wishes to clarify that the independent evidence gathered at the inquiry into Azam’s trading account shows that Azam is the named account holder and had control of the said trading account.
“(And) Azam operated the account that he had opened, in that he had given instructions to buy, sell and transfer securities from the said account,” it explained.
“Therefore, the SC arrived at the decision that there was no breach of Section 25(4) of the Securities Industry (Central Depositories) Act 1991 (Sicda),” added the capital markets regulator.
Section 25(4) states that every securities account must either be in the name of the beneficial owner of the deposited securities or in the name of an authorised nominee.
Azam came under the spotlight over his ownership of 1,930,000 shares in Gets Global Berhad (previously KBES Berhad) on April 30, 2015, worth around RM772,000 at the time.
His shareholding in Gets Global Berhad went down to 1,029,500 as of March 31, 2016, worth around RM340,000 at the time.
He also held 2,156,000 warrants in Excel Force MSC Berhad in March 2016.
The share ownership in 2015 and 2016 had raised questions on whether it was commensurate with his income as a public servant and conflict of interest concerns.
Azam claimed the shares were not his but purchased by his brother in his name, prompting the SC to also get involved over the possible misuse of his trading account.
Jan 18, SC: Azam inquiry inconclusive