|August 1, 2016:
Filing a criminal charge against a person suspected of committing insider trading in violation of the Financial Instruments and Exchange Act.
The SESC filed a charge against the suspect with the Tokyo District Public Prosecutor’s Office for committing insider trading in relation to a revision of the ordinary profit forecast for ALBERT Inc. (“ALBERT”).
The suspect, who was chair of the board at ALBERT, listed on MOTHERS of Tokyo Stock Exchange, Inc., was involved in the management of the company. The suspect had come to know a material fact which may have had a significant influence on investors’ investment decisions in the course of the suspect’s duty around September 16, 2015. The material fact was a figure of the ordinary profit forecast for the fiscal year from January 1, 2015 to December 31, 2015, indicating a move from the black into the red, judging from a disparity between the figure of the ordinary profit forecast announced on February 19, 2015, and the newly calculated figure.
Although there is no exemption clause applicable under the Financial Instruments and Exchange Act (“FIEA”), the suspect sold a total of 19,100 ALBERT shares for a total of 38,256,400 yen under the name of Relative A via a securities firm between October 15, 2015, and October 29, 2015, prior to the announcement of the material fact.
In addition, the suspect conveyed the material fact to Relative B and Acquaintance C for the purpose of avoiding their losses by selling ALBERT shares prior to the announcement of the material fact around October 7, 2015.
Although there is no exemption clause applicable under the FIEA, Relative B and Acquaintance C, who knew the material fact, sold ALBERT shares prior to the announcement of the material fact.