THE Philippine Stock Exchange (PSE) over the weekend said it has suspended the trading of shares in agribusiness firm Calata Corp. due to multiple violations of disclosure rules.
The trading suspension took effect on June 30, 2017 at 2:20 p.m. and will be in place for a month.
The PSE said the company, whose shares trade under the ticker symbol CAL, violated the rules on timely disclosure of disposition of shares by company directors and principal officers, and disclosure of updates on previous disclosures on material information that may affect investors’ decision.
“The PSE also found CAL to have violated the “blackout rule” which prohibits directors and principal officers who have obtained material non-public information to trade their company’s shares within a prescribed period,” the exchange said.
“The blackout rule is in place to provide the investing public with a fair market environment by disallowing the possible trading of company insiders, using non-public information that they may have access to by virtue of their position in the company,” it added.
Calata was also slapped with a monetary fine.
“We would like to assure the investing public that the exchange upholds strict compliance with our disclosure rules for the protection of investors and to maintain a fair and orderly market,” PSE President and Chief Executive Officer Ramon Monzon said.
“The parameters for timeliness of disclosures have been put in place precisely for these reasons and any violation will need to be dealt with accordingly consistent with our rules,” he added.
The exchange noted that penalties are imposed without prejudice to further regulatory actions that the PSE may undertake in relation to the disclosure violations that have been committed by Calata.