Australian regulators report that a former banking associate at Royal Bank of Canada (RBC) has been sentenced to jail time for tipping inside information.
The Australian Securities and Investments Committee (ASIC) says that a former banking associate at Royal Bank of Canada, John Kay Jin Khoo, of Bulimba, Queensland was sentenced on August 8 to 23 months in jail in the Sydney District Court, after he pled guilty to four charges of communicating inside information.
The ASIC says that Khoo gained the inside information while working at RBC on several proposed corporate takeovers. He then passed that information on to a former day trader, who also pled guilty to one count of insider trading; and, another person.
“Insider trading will not be tolerated,” said ASIC commissioner, Cathie Armour. “It cannot be any clearer. If you choose to act in this way, there is a very good chance you will be caught, and as today’s judgment shows, there is a very good chance you will go to jail.”
ASIC acknowledged the assistance provided by RBC during the investigation.