| November 27, 2017: |
Filing criminal charges of committing market manipulation of the shares of Stream Co., Ltd. against four suspects. «Summary» (Provisional Translation) The SESC filed charges against four suspects with the Tokyo District Public Prosecutors Office for violation of the Financial Instruments and Exchange Act. The conduct underlying the charges is as described below.
No.1-1: Suspects A and B raised the price of the shares which Stream Co., Ltd. (“Stream”) issued, listed on the MOTHERS market of the Tokyo Stock Exchange, Inc., from 410 yen to 576 yen between February 13, 2014, and February 20, 2014 (“period 1”), in an attempt to raise the price of the shares:
･ For the purpose of inducing sales and purchases of the shares, the suspects A and B, in conspiracy with E, F, G and other(s), conducted (i) a series of purchases and entrustments of the shares that would mislead others into believing that sales and purchases of the shares were thriving and would cause fluctuations in the price of the shares in the market, (a) by purchasing up to a total of 180,600 shares using methods such as placing a series of limit purchase orders at prices above the best offer price and executing the orders at increasing prices, under the name of nine persons via five securities firms on six trading days during the period 1 in the market, and (b) by conducting entrustments of purchases up to a total of 103,700 shares using methods such as placing certain amounts of limit purchase orders to support the price of the shares at prices below the best bid price in the multiple price ranges, under the name of seven persons via five securities firms on six trading days during the period 1 in the market.
･ For the purpose of misleading others about the state of sales and purchases of the shares such as misleading others into believing that sales and purchases of the shares were thriving, the suspects A and B, in conspiracy with E, F, G and other(s), conducted (ii) fake sales and purchases of the shares without the transfer of right, by selling and purchasing for a total of 10,000 shares at the same time, under the name of one person via one securities firm on two trading days during the period 1 in the market, and conducted (iii) sales and purchases of the shares based on collusion made in advance in which one party promised to sell the shares, and the other party promised to purchase the shares around the same time at the same price, by selling for a total of 91,500 shares, under the name of three persons via three securities firms and purchasing the same amount of the shares, under the name of eight persons via five securities firms on three trading days during the period 1 based on the collusion in the market.
No.1-2. The suspects A and B raised the price of the shares from 574 yen to 800 yen between May 22, 2014, and May 28, 2014 (“period 2”), in an attempt to raise the price of the shares:
･ For the purpose of inducing sales and purchases of the shares, the suspects A and B, in conspiracy with E, F, G and other(s), conducted (i) a series of purchases and entrustments of the shares that would mislead others into believing that sales and purchases of the shares were thriving and would cause fluctuations in the price of the shares in the market, (a) by purchasing up to a total of 164,600 shares using methods such as placing a series of limit purchase orders at prices above the best offer price and executing the orders at increasing prices, under the name of six persons via five securities firms on five trading days during the period 2 in the market, and (b) by conducting entrustments of purchases up to a total of 15,000 shares using methods such as placing certain amounts of limit purchase orders to support the price of the shares at prices below the best bid price in the multiple price ranges, under the name of four persons via four securities firms on five trading days during the period 2 in the market.
･ For the purpose of misleading others about the state of sales and purchases of the shares such as misleading others into believing that sales and purchases of the shares were thriving, the suspects A and B, in conspiracy with E, F, G and other(s), conducted (ii) fake sales and purchases of the shares without the transfer of right, by selling and purchasing for a total of 900 shares at the same time, under the name of two persons via three securities firms on May 28, 2014, in the market, and conducted (iii) sales and purchases of the shares based on collusion made in advance in which one party promised to sell the shares, and the other party promised to purchase the shares around the same time at the same price, by selling for a total of 49,900 shares, under the name of one person via one securities firm and purchasing the same amount of the shares, under the name of two persons via two securities firms on May 26, 2014, based on the collusion in the market.
No.2-1: The suspects A, B, C and D raised the price of the shares from 808 yen to 1,059 yen between June 25, 2014, and June 27, 2014 (“period 3”), in an attempt to raise the price of the shares:
･ For the purpose of inducing sales and purchases of the shares, the suspects A, B, C and D, in conspiracy with E, F, G and other(s), conducted (i) a series of purchases and entrustments of the shares that would mislead others into believing that sales and purchases of the shares were thriving and would cause fluctuations in the price of the shares in the market, (a) by purchasing up to a total of 101,600 shares using methods such as placing a series of limit purchase orders at prices above the best offer price and executing the orders at increasing prices, under the name of nine persons via six securities firms on three trading days during the period 3 in the market, and (b) by conducting entrustments of purchases up to a total of 23,500 shares using methods such as placing certain amounts of limit purchase orders to support the price of the shares at prices below the best bid price in the multiple price ranges, under the name of six persons via five securities firms on three trading days during the period 3 in the market.
･ For the purpose of misleading others about the state of sales and purchases of the shares such as misleading others into believing that sales and purchases of the shares were thriving, the suspects A, B, C and D, in conspiracy with E, F, G and other(s), conducted (ii) fake sales and purchases of the shares without the transfer of right, by selling and purchasing for a total of 5,000 shares at the same time, under the name of five persons via four securities firms on two trading days during the period 3 in the market, and conducted (iii) sales and purchases of the shares based on collusion made in advance in which one party promised to sell the shares, and the other party promised to purchase the shares around the same time at the same price, by selling for a total of 9,000 shares, under the name of one person via one securities firm and purchasing the same amount of the shares, under the name of two persons via two securities firms on June 27, 2014, based on the collusion in the market.
No.2-2 The suspects A, B, C and D raised the price of the shares from 1,400 yen to 1,510 yen between July 17, 2014, and July 24, 2014 (“period 4”), in an attempt to raise the price of the shares:
･ For the purpose of inducing sales and purchases of the shares, the suspects A, B, C and D, in conspiracy with E, F G and other(s), conducted (i) a series of purchases and entrustments of the shares that would mislead others into believing that sales and purchases of the shares were thriving and would cause fluctuations in the price of the shares in the market, (a) by purchasing up to a total of 142,100 shares using methods such as placing a series of limit purchase orders at prices above the best offer price and executing the orders at increasing prices, under the name of thirteen persons via six securities firms on five trading days during the period 4 in the market, and (b) by conducting entrustments of purchases up to a total of 137,300 shares using methods such as placing certain amounts of limit purchase orders to support the price of the shares at prices below the best bid price in the multiple price ranges, under the name of nine persons via five securities firms on five trading days during the period 4 in the market.
･ For the purpose of misleading others about the state of sales and purchases of the shares such as misleading others into believing that sales and purchases of the shares were thriving, the suspects A, B, C and D, in conspiracy with E, F, G and other(s), conducted (ii) fake sales and purchases of the shares without the transfer of right, by selling and purchasing for a total of 2,300 shares at the same time, under the name of one person via two securities firms on July 18, 2014, in the market, and conducted (iii) sales and purchases of the shares based on collusion made in advance in which one party promised to sell the shares, and the other party promised to purchase the shares around the same time at the same price, by selling for a total of 59,000 shares, under the name of one person via one securities firm and purchasing the same amount of the shares, under the name of ten persons via five securities firms on three trading days during the period 4 based on the collusion in the market .
The SESC appreciates the assistance of the Japan Exchange Regulation and the Monetary Authority of Singapore in this matter. |
| November 21, 2017: |
Filing criminal charges of committing market manipulation of the shares of Stream Co., Ltd. against three suspects. «Summary» (Provisional Translation) The SESC filed charges against three suspects with the Tokyo District Public Prosecutors Office for violation of the Financial Instruments and Exchange Act. The conduct underlying the charges is as described below.
No.1: The three suspects raised the price of the shares which Stream Co., Ltd. (“Stream”) issued, listed on the MOTHERS market of the Tokyo Stock Exchange, Inc., from 410 yen to 576 yen between February 13, 2014, and February 20, 2014 (“period1”), in an attempt to raise the price of the shares:
･ For the purpose of inducing sales and purchases of the shares, the suspects, in conspiracy with A and other(s), conducted (i) a series of purchases and entrustments of the shares that would mislead others into believing that sales and purchases of the shares were thriving and would cause fluctuations in the price of the shares in the market, (a) by purchasing up to a total of 180,600 shares using methods such as placing a series of limit purchase orders at prices above the best offer price and executing the orders at increasing prices, under the name of nine persons via five securities firms on six trading days during the period 1 in the market, and (b) by conducting entrustments of purchases up to a total of 103,700 shares using methods such as placing certain amounts of limit purchase orders to support the price of the shares at prices below the best bid price in the multiple price ranges, under the name of seven persons via five securities firms on six trading days during the period 1 in the market.
･ For the purpose of misleading others about the state of sales and purchases of the shares such as misleading others into believing that sales and purchases of the shares were thriving, the suspects, in conspiracy with A and other(s), conducted (ii) fake sales and purchases of the shares without the transfer of right, by selling and purchasing for a total of 10,000 shares at the same time, under the name of one person via one securities firm on two trading days during the period 1 in the market, and conducted (iii) sales and purchases of the shares based on collusion made in advance in which one party promised to sell the shares, and the other party promised to purchase the shares around the same time at the same price, by selling for a total of 91,500 shares, under the name of three persons via three securities firms and purchasing the same amount of the shares, under the name of eight persons via five securities firms on three trading days during the period 1 based on the collusion in the market.
No.2: The three suspects raised the price of the shares from 574 yen to 800 yen between May 22, 2014, and May 28, 2014 (“period 2”), in an attempt to raise the price of the shares:
･ For the purpose of inducing sales and purchases of the shares, the suspects, in conspiracy with A and other(s), conducted (i) a series of purchases and entrustments of the shares that would mislead others into believing that sales and purchases of the shares were thriving and would cause fluctuations in the price of the shares in the market, (a) by purchasing up to a total of 164,600 shares using methods such as placing a series of limit purchase orders at prices above the best offer price and executing the orders at increasing prices, under the name of six persons via five securities firms on five trading days during the period 2 in the market, and (b) by conducting entrustments of purchases up to a total of 15,000 shares using methods such as placing certain amounts of limit purchase orders to support the price of the shares at prices below the best bid price in the multiple price ranges, under the name of four persons via four securities firms on five trading days during the period 2 in the market.
･ For the purpose of misleading others about the state of sales and purchases of the shares such as misleading others into believing that sales and purchases of the shares were thriving, the suspects, in conspiracy with A and other(s), conducted (ii) fake sales and purchases of the shares without the transfer of right, by selling and purchasing for a total of 900 shares at the same time, under the name of two persons via three securities firms on May 28, 2014, in the market, and conducted (iii) sales and purchases of the shares based on collusion made in advance in which one party promised to sell the shares, and the other party promised to purchase the shares around the same time at the same price, by selling for a total of 49,900 shares, under the name of one person via one securities firm and purchasing the same amount of the shares, under the name of two persons via two securities firms on May 26, 2014, based on the collusion in the market.
No.3: The three suspects raised the price of the shares from 808 yen to 1,059 yen between June 25, 2014, and June 27, 2014 (“period 3”), in an attempt to raise the price of the shares:
･ For the purpose of inducing sales and purchases of the shares, the suspects, in conspiracy with A and other(s), conducted (i) a series of purchases and entrustments of the shares that would mislead others into believing that sales and purchases of the shares were thriving and would cause fluctuations in the price of the shares in the market, (a) by purchasing up to a total of 101,600 shares using methods such as placing a series of limit purchase orders at prices above the best offer price and executing the orders at increasing prices, under the name of nine persons via six securities firms on three trading days during the period 3 in the market, and (b) by conducting entrustments of purchases up to a total of 23,500 shares using methods such as placing certain amounts of limit purchase orders to support the price of the shares at prices below the best bid price in the multiple price ranges, under the name of six persons via five securities firms on three trading days during the period 3 in the market.
･ For the purpose of misleading others about the state of sales and purchases of the shares such as misleading others into believing that sales and purchases of the shares were thriving, the suspects, in conspiracy with A and other(s), conducted (ii) fake sales and purchases of the shares without the transfer of right, by selling and purchasing for a total of 5,000 shares at the same time, under the name of five persons via four securities firms on two trading days during the period 3 in the market, and conducted (iii) sales and purchases of the shares based on collusion made in advance in which one party promised to sell the shares, and the other party promised to purchase the shares around the same time at the same price, by selling for a total of 9,000 shares, under the name of one person via one securities firm and purchasing the same amount of the shares, under the name of two persons via two securities firms on June 27, 2014, based on the collusion in the market.
No.4: The three suspects raised the price of the shares from 1,400 yen to 1,510 yen between July 17, 2014, and July 24, 2014 (“period 4”), in an attempt to raise the price of the shares:
･ For the purpose of inducing sales and purchases of the shares, the suspects, in conspiracy with A and other(s), conducted (i) a series of purchases and entrustments of the shares that would mislead others into believing that sales and purchases of the shares were thriving and would cause fluctuations in the price of the shares in the market, (a) by purchasing up to a total of 142,100 shares using methods such as placing a series of limit purchase orders at prices above the best offer price and executing the orders at increasing prices, under the name of thirteen persons via six securities firms on five trading days during the period 4 in the market, and (b) by conducting entrustments of purchases up to a total of 137,300 shares using methods such as placing certain amounts of limit purchase orders to support the price of the shares at prices below the best bid price in the multiple price ranges, under the name of nine persons via five securities firms on five trading days during the period 4 in the market.
･ For the purpose of misleading others about the state of sales and purchases of the shares such as misleading others into believing that sales and purchases of the shares were thriving, the suspects, in conspiracy with A and other(s), conducted (ii) fake sales and purchases of the shares without the transfer of right, by selling and purchasing for a total of 2,300 shares at the same time, under the name of one person via two securities firms on July 18, 2014, in the market, and conducted (iii) sales and purchases of the shares based on collusion made in advance in which one party promised to sell the shares, and the other party promised to purchase the shares around the same time at the same price, by selling for a total of 59,000 shares, under the name of one person via one securities firm and purchasing the same amount of the shares, under the name of ten persons via five securities firms on three trading days during the period 4 based on the collusion in the market.
The SESC appreciates the assistance of the Japan Exchange Regulation and the Monetary Authority of Singapore in this matter. |
