Mayer is a company that became listed on the Main Board of the Stock Exchange of Hong Kong Limited in June 2004, which principally is engaged in the processing and manufacturing of different kinds of steel sheets and steel pipes.
The Market Misconduct Tribunal (MMT) fined Mayer Holdings Limited (Mayer) and nine of its current and former senior executives a total of $10.2 million after they were found to have failed to disclose inside information as soon as reasonably practicable as required under the Securities and Futures Ordinance (SFO).
The SFC alleges that between April and August 2012, while auditing Mayer’s financial statements for the year ended December 2011, the then auditors of Mayer repeatedly communicated with Mayer’s management about the following issues that they had identified:
The suspicious nature of the disposal of a wholly-owned subsidiary of Mayer, for HK$15.5 million. Mayer did not have control over the projects in Vietnam, which it bought for HK$620 million, and their valuations appeared to have been inflated; and two subsidiaries of Mayer’s jointly controlled entity had made substantial prepayments of US$10 million and US$4 million respectively without security to suppliers which appeared to be irrecoverable.
Securities and Future Commissions (SFC): MMT sanctions Mayer Holdings Limited and its current and former senior management for late disclosure of inside information, 5 Apr 2017
Mayer Holdings: Annual Report , 25 Apr 2010