The Securities and Futures Commission (SFC) of Hong Kong has applied for an interim order from the Court of First Instance to freeze assets intended for compensation to affected investors in an alleged sophisticated ramp-and-dump scheme involving the shares of KNT Holdings Limited.
This Application is part of the SFC’s legal proceedings under section 213 of the Securities and Futures Ordinance (SFO) against 17 individuals (Defendants) for allegedly manipulating the shares of KNT between February and May 2019.
In parallel, a criminal trial will commence at the District Court on 6 April 2027 in which 12 of the 17 Defendants involved in the above-mentioned legal proceedings were charged with various criminal offences in relation to the same alleged ramp-and-dump scheme.
In this Application, the SFC is seeking to restrain five Defendants from disposing of their assets up to $219 million, representing the estimated loss suffered by the affected investors.
The first hearing of the Application took place today. The Court provided further directions and adjourned the Application to 22 December 2025 for a substantive hearing.
