The US securities regulator now has got order from the court to freeze assets of a CEO from china who was suspected to be playing online in trade. The activities of the CEO was termed ‘suspicious’ in the trading and it has gone ahead a deal of $10 billion by an US listed company called Qihoo 360 Technologies Co Ltd. The Securities and Exchange Commission (SEC) has told in its statement last Tuesday that Luo Haijian, who reside at Guangzhou has gone through trading that values about $1million in the Qihoo.
The New York Court filing
In the court filing, the Securities and Exchange Commission has told that the 33 years old Luo Haijian, CEO of the famous 4399 Co Ltd, has bet that the Qihoo’s price for their stock will rise in a very short time span. He has purchased the “out of money” of $700,000 as the call options with the US brokerage account before the formal announcement of the buyout. The Qihoo has received the offer for buyout from the consortium on June 17. He offer was given by the consortium’s CEO and chairman Hongyi Zhou. He has added this mobile security software making company into the list of companies in china that have been offered to leave the listings in New York and have been asked to move back to their home.
The stocks of Qihoo have started 9 percent more on news. Luo Haijian has sold all the call options. He has asked his brokers to transfer about $600,000 of proceeds to the bank account he has in Singapore. According to Securities and Exchange Commission, these assets were to be frozen by the US regulator. Thus the actions were taken and the assets were frozen now.
SEC’s statement on the suspicious CEO
The New York regional officer of SEC, Andrew Calamari has given a statement that the time of suspicion and the total size of the Luo’s trade have actually made the regulatory to move all his assets into frozen state. They have also made sure that Luo cannot move further with his proceedings and has locked his account to stop all the illegal profits to get out of it. Thus these actions will prevent the Luo from any moves in trade or siphoning money from the account during the course of investigation by the US jurisdiction.
There is no history about Luo trading the Qihoo securities with the US brokerage account which was opened last march. The regulatory has told that Luo was actually tipped off regarding the deal by someone who has expected or subsequently did to get the benefit. The spokeswoman on behalf of the 4399 has told that the company was not aware about the investigation made to Luo before the announcement made by the SEC. she also told that all the proceedings of the company is happening normally and will move further with consistency in state of the company now.
The New York Court filing
In the court filing, the Securities and Exchange Commission has told that the 33 years old Luo Haijian, CEO of the famous 4399 Co Ltd, has bet that the Qihoo’s price for their stock will rise in a very short time span. He has purchased the “out of money” of $700,000 as the call options with the US brokerage account before the formal announcement of the buyout. The Qihoo has received the offer for buyout from the consortium on June 17. He offer was given by the consortium’s CEO and chairman Hongyi Zhou. He has added this mobile security software making company into the list of companies in china that have been offered to leave the listings in New York and have been asked to move back to their home.
The stocks of Qihoo have started 9 percent more on news. Luo Haijian has sold all the call options. He has asked his brokers to transfer about $600,000 of proceeds to the bank account he has in Singapore. According to Securities and Exchange Commission, these assets were to be frozen by the US regulator. Thus the actions were taken and the assets were frozen now.
SEC’s statement on the suspicious CEO
The New York regional officer of SEC, Andrew Calamari has given a statement that the time of suspicion and the total size of the Luo’s trade have actually made the regulatory to move all his assets into frozen state. They have also made sure that Luo cannot move further with his proceedings and has locked his account to stop all the illegal profits to get out of it. Thus these actions will prevent the Luo from any moves in trade or siphoning money from the account during the course of investigation by the US jurisdiction.
There is no history about Luo trading the Qihoo securities with the US brokerage account which was opened last march. The regulatory has told that Luo was actually tipped off regarding the deal by someone who has expected or subsequently did to get the benefit. The spokeswoman on behalf of the 4399 has told that the company was not aware about the investigation made to Luo before the announcement made by the SEC. she also told that all the proceedings of the company is happening normally and will move further with consistency in state of the company now.