KUALA LUMPUR, Feb 5 — The criminal trial of former New Silkroutes Group chief executive Goh Jin Hian and the company’s former chief corporate officer Kelvyn Oo Cheong Kwan began on Tuesday, with prosecutors pointing to WhatsApp messages allegedly showing discussions on pushing up the firm’s share price to support acquisitions and capital-raising efforts.

According to The Straits Times, Goh and Oo were charged in September 2023 alongside former finance director William Teo Thiam Chuan and GTC Group sole director Huang Yiwen, facing a total of 132 charges linked to alleged false trading offences.

GTC Group had been engaged by New Silkroutes as a commercial market maker to help provide market liquidity.

The prosecution’s first witness, Commercial Affairs Department (CAD) officer Jacqueline Wei, told the court that investigations into New Silkroutes began after a referral from the Singapore Exchange, which led investigators to information suggesting Huang was involved in false trading with the company’s management.

Wei said CAD later uncovered WhatsApp messages between Huang and Teo, and subsequent investigations in June 2020 revealed chats involving Goh and Oo that allegedly showed their awareness of false trading activities. CAD began investigating Goh and Oo four months later.

Prosecutors said the accused had worked with Huang to artificially inflate New Silkroutes’ share price to meet internal targets, citing chat messages in which Goh allegedly said there was “no need to break the bank to keep our shares up”.

They also highlighted a September 2018 incident where Goh was accused of placing late trades to lift the stock’s closing price.

If convicted under the Securities and Futures Act, the accused face up to seven years’ jail, a fine of up to $250,000, or both. 

The trial resumes today with the cross-examination of Wei.